When buying second home in Bulgaria, be extremely careful when signing any preliminary agreements. Be sure to check when the property ownership will be transferred, at what moment exactly. The builders usually prefer that they get rid of the apartment/house at the moment of obtaining Act 15.
Act 14 This protocol (minutes) is to be drafted by the builder when the construction works of the building reach the so called “rough construction” or shell construction.
Act 15 is actually a protocol (minutes) signed by the investor, the builder, the architect and the private audit construction company. This protocol is to certify that the building is finished (not suitable for living though) and all the construction works are actually conformed to the approved architectural plan. However Act 15 doesn’t allow you to legally inhabit the premises. Act 15 is an act of formal delivery of the building by the builder to the investor. Developers usually try to sell premises at the stage of Act 15. You shouldn’t agree on that. But if you do, prepare to have trouble obtaining Act 16 (Habitation certificate” or “certificate for living suitability”) i.e. collecting all the necessary documents.
Act 16 or”habitation certificate” is the formal certificate issued by the municipality audit commission. The latter checks if all the documents conform to the Bulgarian construction legislation as well as if the building is properly connected to the electricity, sewerage and water suppler. It checks if the premises are secure and suitable for living. You have to mind Act 16 when buying property in Bulgaria.
10 February 2009 4:10 pm
I have purchased two apartments in Bansko through a company called MRI Construction and both have now been granted Act 15. They are requiring the final payment for these apartments as per the agreements. Have you heard of MRI and if so what sort of feedback have you had? Am I legally required to pay the balance once act 15 has been granted? Please let me have your comments in due course. Many thanks.
18 June 2009 6:18 pm
Do not give any more money to MRI etc.They are all liars! People have lost a lot of money. If you contact the support group for people against MRI. You will find out more. Google MRISG.
18 July 2009 1:08 am
although we have had keys and stayed in our apt for the last year we have not had act 16 passed, we have pursued for this on-going and were recently told we have now been grantd act 16. We have now been informed to have it secured, we as apt owners have to pay 10 leva per sqr metre to the authorities, total for all apts 158.000 leva and then a 0.15% per sq metre in the future. Does this sound right.
29 September 2009 6:00 pm
re. MRI. Get onto MRISG and get talking with countless unhappy MRI customers. Don’t pay them another penny.
1 July 2010 10:45 am
I am the owner of an apart.( for 4.5 years) without act 16.
Have been informed it now rests in Lord Mayors office awaiting certification.
As one of 50 owners do we need one for each apart. or a general one for the complex.
I would appreciate your response.
Regards,
James
1 July 2010 10:58 am
Act 16 is granted to the whole building. It can’t be granted for individual
apartments. As an owner (with title deed) you have the right to check
the status of Act 16 application, so you can ask the municipality
administration of the status. You can ask if such application has been
submitted at all or if yes, how long will you need to wait.
28 July 2010 12:52 pm
hello
i purchased an apartment in sunny beach (solas complex) i have paid the full asking price and want to complete but have been told i cant complete until the building gets its act 16 where do i stand and what is involved in act 16
many thanks
rory
12 August 2010 5:52 pm
What can be done if the developer is pushing to complete but has not got ACT 16. Especially if all monies have already been paid. Got a friend in this situation.
17 May 2011 12:12 am
I have had a 3 bedroom house built in Varna. I had agreed to DIY the final interior and floors. This is now almost complete. I have requested the builder to apply for act 16 certification but have been advised that the prices and conditions have hanged and it will now cost approximatly 5000Lv. Is this realistic? Is it possible to apply myself or find a third party to apply. I plan to live in the house in August, must it be completly finished before act 16 is available to me? What are the consequences of living in the house without act 16?
18 May 2011 4:35 pm
Dear Cliff,
the application fee for Act 16 is based on the total built up area of the house. Each municipality has its own rates, so this needs to be checked in the Construction Department in the municipality, where your house is located.
If the house ownership is transferred to you with a title deed you can apply yourself as owner. However you need to have all the construction papers. The builder is obliged to hand those to you upon request.
20 July 2011 5:42 pm
Over two years ago I was asked by the builders solicitors for the FINAL 1/3rd payment as signed contract, I smelt a rat! and went out and NOTHING had been done in 2 yeras still an empty shell! This was Sunny Beach Bulgaria. I now say to everyone who wishes to but an apartment “Do NOT buy and less you can see its completed! Not half or 2/3rds complete BUT COMPLETED. Then Always seek a Bulgarian Solicitor! NEVER take any Builder or estate agents word! They are ALL Liars!
25 July 2011 10:59 am
C D Powell, you’re absolutely right. People who buy overseas property often underestimate the need of independent solicitor. They think the builder is diligent, but they usually are not. Sometimes a small legal fee prior the property purchase can save you thousands of pounds lost in bad investment.
14 January 2012 2:50 pm
I have bought a apartment in sunnybeach (sunnyday 5) there is 250 apartments wich are near all sold there the developer keeps saying they will get ACT 15 & 16 it takes 5 years the complex as been there since 2008 can you tell me what i can do about this I am going over there in june for 3 weeks
15 January 2012 11:16 am
Act 16 and Act 16 can be organised by the owners of all apartments in the building. The thing is that expenses are involved in paying the construction audit company and the experts from the City Council. This costs had already been included in the purchase agreements, so the buyers are actually paid for them. An option would be that the apartment owners collect the money and organise obtaining of act 15/act 16 and then sue the developer for the costs incurred. Make sure if you do this to obtain an injunction on developer’s assets, otherwise there might be no assets to recover from.