House price increases in Europe over the past year ending in Q4 of 2007, were highest in Bulgaria. Bulgarian houses increased by 34.61 per cent, closely followed by Poland with a 33 per cent increase.

House prices in Estonia increased by 23.38 per cent. Prices in Sweden, Lithuania, Cyprus and Estonia increased by between 11 and 19 per cent. Increases in other European countries were in the single digit range, with Portugal, Latvia and Ireland reporting house price decreases.

Only Shanghai reported a higher house price increase, at 35.4 per cent.

The housing market in East Europe was showing signs of a slowdown, partially because of an end to the buy-to-let boom, but more so because of price increases, investor.bg said.

In Bulgaria, over 2007 prices for land had increased more than those for houses. On average, land prices increased by 50 per cent