Co-owned property in Bulgaria: sell your share or divide

Co-owned property in Bulgaria: how to sell your share or divide the property

An apartment, house or plot of land in Bulgaria is often owned by several people at once: heirs, former spouses, relatives. As long as everyone agrees, there is no problem. But as soon as one wants to sell, another wants to live in the property and a third cannot be reached, conflict follows. Can you sell your part without the others’ consent? What if a co-owner uses the apartment alone? How do you divide the property if you cannot agree? Here is what Bulgarian law says.

What co-ownership and an “undivided share” mean

Under the Bulgarian Property Act (Zakon za sobstvenostta, ZS), ownership may belong to two or more persons (Art. 30). The co-owners’ shares are presumed equal unless proven otherwise. Each co-owner shares in the benefits and costs of the common property in proportion to their share.

Keep in mind: until the property is divided, you do not own a specific room or part of the plot, but a so-called undivided (ideal) share — a fraction of the right to the whole property, such as 1/2 or 2/3.

Who may use the common property, and how

Each co-owner may use the common property according to its purpose, without preventing the others from using it in line with their rights (Art. 31(1) ZS).
If only some co-owners personally use the property, they owe the others compensation for the benefit they are deprived of, from the date of a written demand (Art. 31(2) ZS). So if a relative or former spouse lives in the shared apartment alone, do not wait: send a written demand in a way that lets you prove it was received.
Decisions on the use and management of the common property are taken by the co-owners holding more than half of it (Art. 32 ZS). If no majority can be formed, or the majority’s decision harms the property, the district court decides at the request of any co-owner.

Can you sell your share to an outsider?

Yes. The other co-owners’ consent is not required, but the law gives them a right of first refusal. Under Art. 33 ZS, a co-owner may sell their share in real estate to a third party only after presenting the notary with written evidence that they offered the other co-owners to buy that share on the same terms, and declaring in writing that none of them accepted the offer.

If the declaration turns out to be untrue, or the terms agreed with the buyer were sham terms to the detriment of the other co-owners (for example, the co-owners were offered one price but the buyer paid less), an interested co-owner may buy out the share on the terms actually agreed. The claim must be filed within two months of the sale. If, after the judgment becomes final, the co-owner does not pay the amount due within one month, the judgment is void by operation of law.

The practical takeaway: the offer to co-owners must be in writing, state the price and terms, and its receipt must be provable. Otherwise the notary will not complete the deal, and if the procedure is breached the buyer risks ending up in court.

Dividing the property (partition): two routes

Every co-owner may demand partition of the common property at any time — even if they previously agreed otherwise — unless the law provides differently or partition is incompatible with the nature and purpose of the property (Art. 34 ZS). The right to sue for partition is not subject to a limitation period.

Voluntary partition

If all co-owners agree, they sign a voluntary partition agreement (dobrovolna delba). For real estate, it must be in writing with notarised signatures (Art. 35(1) ZS). If persons lacking legal capacity or absent persons take part (for example, young children or people under guardianship), prior permission from the district court is required (Art. 35(2) ZS).

Possible solutions: physically divide the property if it is divisible (for example, two separate units), allot the property to one co-owner with monetary compensation to the others, or agree to sell it together and split the proceeds.

Court partition

If no agreement is reached, any co-owner may file a partition claim (sadebna delba). Under the Civil Procedure Code (GPK), the proceedings have two phases:

Admission of partition — the court decides between whom, which properties and in what shares the partition takes place (judgment under Art. 344(1) GPK).
Carrying out the partition — the court forms the shares and allocates the property. If the property is indivisible and cannot be allotted among the co-owners, it is put up for public sale (Art. 348 GPK), and the proceeds are divided according to the shares.

Under certain conditions, the law allows an indivisible dwelling to be allotted to one of the co-owners — for example, one who has no other home — with monetary compensation to the others (Art. 349 GPK). Ownership passes to that co-owner only after payment; if the amount is not paid on time, the dwelling is put up for sale.

Court partition usually takes longer and costs more (state fees, expert valuation) than an agreement. So it is worth trying to agree first.

Step-by-step plan for a co-owner

Gather your documents: notarial deed, certificate of heirs or court decision, cadastral sketch, tax assessment.
Check the Property Register (Registry Agency) for mortgages, attachments (garnishments) and claims against the property.
Clarify the size of the shares — taking into account inheritance, marriage and earlier transactions.
Try to reach an agreement and put every proposal in writing.
If you are selling your share to an outsider, send the co-owners a written offer and keep proof of receipt.
If someone uses the property alone, send a written demand for compensation.
If agreement is impossible, discuss court partition with a lawyer.

If you live outside Bulgaria, you can act through a representative under a notarised power of attorney. A power of attorney executed abroad may require an apostille or legalisation and a certified translation into Bulgarian.

Common mistakes

Selling a share without a provable offer to the co-owners.
Oral agreements on partitioning real estate — without the proper form they have no legal effect.
Waiting for years without a written demand for compensation for use.
Partition involving young children or persons under guardianship without court permission.

How ICG EU can help

The lawyers of ICG EU OOD, together with the Law Office of Yevgen Dyatlov, will assess your situation: they will review the documents and the register, calculate the shares, draft the written offer to the co-owners and the partition agreement, negotiate, and support you through the notarial transaction or court proceedings. We consult in Russian, Ukrainian, Bulgarian and English, including remotely.

This article is for information only, reflects the law as at the date of publication and does not replace individual legal advice.