Bulgaria's reputation as one of the best places to invest in property in Europe is solidifying, as a new survey confirms that it has seen the highest annual property price increase worldwide this year.

The European Union's newest member topped the latest Knight Frank Global Price Index, just ahead of Singapore.

Annualised property price growth in Bulgaria for 2007 stood at 30.6 per cent, according to the survey – three percentage points above the south-east Asian economic powerhouse.

Last year, the highest ranking country was Latvia, which saw property price growth of 56.9 per cent. However, this dropped in 2007 to 10.9 per cent, on account of concerns about overpricing in the Latvian capital, Riga.

"Despite numerous concerns over the level of oversupply in a number of locations within Bulgaria – notably the winter ski resort of Bansko and selected coastal resort locations – Bulgaria has supplanted the previously top performing Baltic hotspot at the top of the Knight Frank league," the report declared.

Bulgaria is becoming ever more popular with British investors. With Black Sea beach resorts and high quality ski destinations, as well as a fascinating blend of eastern and western architectural and cultural heritage, it has something to offer for almost everyone.

Source: HolidayLettings.co.uk