Georgia Real Estate 2026: Prices and Yields in Tbilisi and Batumi

What Changed Over the Past Month

In September 2026, Tbilisi recorded 4,245 apartment transactions, up 6.4% from the same month of 2025. Their total value increased by 24.1% to $376 million. The weighted average price of newly built apartments sold by developers rose by 11.9% over the year, while resale prices in new developments increased by 10%. Apartments in older developments became 14% more expensive.

In Batumi, the number of transactions fell by 10.4% to 1,614, while their total value increased by 0.9% to $107 million. The weighted average price of apartments in new developments reached $1,408 per sq. m, up 5.2% from September 2025. Colliers attributes the decline in primary sales to a high comparison base: large batches of transactions in several projects were registered a year earlier. Resales in new developments, however, increased by 27.3%.

Georgia Real Estate: Key Market Indicators

Housing sales and prices in Tbilisi increased compared with September 2025. Batumi recorded fewer transactions, but their total value and the average price of apartments in new developments rose. Foreign buyers accounted for 12% of registrations in the capital and 48% in Batumi, making the resort market considerably more dependent on overseas demand.

In Tbilisi, the average price of newly built apartments is calculated from developer sales; in Batumi, it covers both primary sales and resales. TBC Capital provides rental rate data for Tbilisi, while Galt & Taggart reports figures by district in Batumi and the number of unsold apartments.

Property Prices in Georgia

In September 2026, prices of newly built apartments sold by developers in Tbilisi increased by 11.9% compared with the same month of 2025, while resale prices in new developments rose by 10%. In Batumi, the weighted average price of apartments in new developments reached $1,408 per sq. m, an increase of 5.2%.

Apartment Prices in Tbilisi

In September, prices of newly built apartments in central Tbilisi increased by 12.3% over the year, compared with 15% in the wider central area and 9.9% in the suburbs. Registrations in several expensive projects affected the figure for the wider central area. The July district prices cover different housing classes: premium in Vake; business class in Saburtalo, Krtsanisi, Didube and Isani; and affordable housing in Vashlijvari, Gldani, Didi Dighomi and Samgori.

Apartment Prices in Batumi

The 10.7% decline in the average price of developer sales in September reflects a high comparison base: transactions in an expensive project were registered in September 2025. Excluding that project, the indicator increased by 4.6%, according to Colliers. Resale prices in new developments rose by 9.9%.

At the end of the first half of 2026, 13,866 apartments remained unsold in the Batumi projects surveyed by Galt & Taggart. Owners seeking to resell must compete with developers offering unsold units and apartments in new phases. Rental purchases also face the risk of vacancy: maintenance costs continue even in months without tenants.

Tbilisi or Batumi: Comparing the Markets

In Tbilisi, apartment prices are rising while rents remain relatively stable, reducing yields on new purchases. In Batumi, income from independently managed rentals also depends on seasonality and competition from other apartments. Large numbers of similar studios within a single complex make it harder to attract guests and buyers.

In January–July 2026, permits were issued for 1.001 million sq. m of housing in Tbilisi. In Batumi, 13,866 apartments remained unsold in surveyed projects at the end of the first half. New phases give buyers more choice, while developer instalment plans make resales harder: an owner may need to offer a discount or wait longer for a buyer.

In September 2026, foreign buyers purchased 12% of apartments in Tbilisi and 48% in Batumi. Domestic demand dominates in the capital; overseas buyers account for almost half of transactions in Batumi.

Short-term rental seasonality differs between the cities. According to AirROI data for August 2025–July 2026, Tbilisi’s busiest months were August–October, while Batumi’s were July–September. In Batumi, the average daily rate was $65 in the high season and $54 in the low season.

Property Yields in Georgia

Tbilisi’s gross rental yield was 8.3% in August 2026, according to TBC Capital. In Batumi, the June figure was 7.1%, according to Galt & Taggart. These yields are before management, maintenance, repair costs and taxes.

Gross yield is annual rental revenue divided by the total investment, expressed as a percentage. Net yield uses the same formula after deducting expenses from revenue. The initial investment includes the purchase, renovation, furniture and transaction costs. Profit from an increase in the apartment’s value is realised on sale and calculated separately.

International Investment’s December 2025 calculation uses a 35 sq. m studio costing $59,500, including renovation and furnishings. The long-term rental model assumes 11 paid months at $300, while the short-term model uses an occupancy rate of 43.13%.

In the short-term rental model, expenses totalled $4,251: platform fees of $1,789; management and cleaning of $596; utilities of $536; supplies and minor repairs of $700; and building maintenance of $630. These costs absorbed about 71% of rental revenue.

For long-term rental, annual revenue of $3,300 less expenses of $1,430 leaves the owner $1,870, or 3.1% of the investment. Short-term rental generates net income of $1,714, or 2.9%, despite higher revenue.

In this example, additional fees and servicing costs absorbed the revenue difference between the two rental formats. A guaranteed payment works differently: a company makes a contractual commitment to pay the owner a specified amount.

Branded Real Estate in Georgia

International hotel groups operate in Tbilisi, Batumi and other Georgian resorts. Alongside hotels, the market is developing branded residences and projects that sell hotel rooms to investors. Wyndham, Marriott, Hilton, Radisson, IHG and Accor offer different accommodation categories; purchase and management terms depend on the type of property.

What Qualifies as Branded Real Estate

Branded real estate consists of properties developed and sold through an official partnership between a developer and a recognised brand. The agreement establishes the right to use the brand’s name and sets requirements for architecture, finishes, infrastructure or service. The brand may belong to a hotel group, such as Radisson or Wyndham, or to another company, such as Trump.

A branded residence is an apartment or house within such a project. Buyers acquire ownership for personal use or rental. Residences may be located beside a hotel and use its services, or form part of a separate residential complex. The services available and the brand’s involvement vary by project.

A hotel room sold to an investor is a different format: it accommodates guests, and the owner’s income depends on hotel operations and the rental programme. The key distinction is whether the buyer acquires a home for independent use or a unit operating as part of a hotel business.

Branded Hotels and Projects in Batumi

Batumi’s operating hotels include Wyndham Batumi, La Quinta by Wyndham Batumi, Radisson Blu Hotel, Batumi and Best Western Premier Batumi. Wyndham Grand Residences Batumi Gonio is being developed in Gonio.

Branded Hotels and Projects in Tbilisi

The capital’s chain hotels include Wyndham Grand Tbilisi, Ramada by Wyndham Tbilisi Old City, Radisson Blu Iveria Hotel and Radisson RED Tbilisi.

Branded Hotels in Other Georgian Resorts

Tsinandali Estate, a Radisson Collection Hotel operates in the wine resort of Tsinandali.

Membership of an international hotel group gives a property a recognisable name and access to its booking channels. Inclusion in a brand’s directory confirms its affiliation, but does not mean its rooms are available for investors to buy. Purchase opportunities and management terms depend on the individual project.

Wyndham Grand Residences Tbilisi is an Alliance Group branded residential project in Tower C of the Alliance Highline complex. Its official website names Aimbridge Hospitality as the management company. Wyndham Grand Tbilisi also operates in the capital as a separate hotel within the same international group.

Trump Tower Tbilisi is a residential project beside Tbilisi Central Park. The September 2026 concept includes 62 storeys and 850 residences. Central Park Icon LLC uses the Trump brand under licence; prices and final layouts are due to be disclosed when sales launch.

Radisson Blu Resort & Residences Batumi Gonio is a Next Group project in Gonio comprising 576 serviced apartments. Radisson’s website lists the property as awaiting opening. Next Group offers owners the option of placing their apartments under management.

Wyndham Grand Residences Aqua is a European Village hotel property in Gonio. The complex’s website offers two programmes: a guaranteed annual yield of 10% or returns from hotel management of up to 15%.

Wyndham Grand is an international hotel brand within Wyndham Hotels & Resorts, one of the world’s largest hotel companies by number of franchised properties. At the end of June 2026, its network comprised around 8,400 hotels in approximately 100 countries. A resort project gains a name recognised by overseas guests, international promotion and access to the group’s booking channels.

At Wyndham Grand Residences Batumi Gonio, an international brand is combined with professional hotel management. European Village is developing the complex, while the management agreement for Aqua, Family Club and Riviera was signed with Aimbridge EMEA, a division of Aimbridge Hospitality, one of the hotel industry’s leading management companies. The operator handles sales, marketing, revenue management and daily hotel operations. These functions help attract guests and increase hotel revenue.

Prices of Branded Properties

According to International Investment’s December 2025 figures, standard apartments in Batumi cost $1,890 per sq. m, while a room in a luxury branded hotel cost $8,300 per sq. m, approximately 4.4 times as much.

The price difference reflects the property class, finishes, infrastructure and hotel management.

Wyndham Grand Batumi Gonio: A Guaranteed Annual Yield of 10%

At Wyndham Grand Batumi Gonio, developer European Village guarantees owners an annual return of 10% in euros. The commitment is set out in a five-year contract, renewable at the owner’s request. Payments begin when the purchase is paid for, during construction, and do not depend on the hotel’s opening or occupancy.

During construction, the buyer finances the project and the developer pays a return to the buyer instead of interest to a bank. Once the hotel opens, operating revenue funds the payments. If the hotel earns less than the guaranteed amount, European Village covers the shortfall from its own funds. If it earns more, the developer retains the surplus.

For example, an investment of €100,000 entitles the owner to €10,000 for a full year before tax. Even if hotel operations generate only €3,000 on that amount, the obligation remains unchanged: the developer pays the remaining €7,000.

The owner may choose another programme, receiving income from actual hotel operations. Payments then vary with the hotel’s financial performance and may be above or below 10%. Under the guaranteed rate, the contractual payment does not depend on occupancy. The variable programme allows the owner to earn more as hotel profits grow.

Staff, utilities, supplies and repair costs are accounted for before the owner is paid. The owner pays their own tax on the amount received. Wyndham Hotels & Resorts provides the international brand and booking channels; Aimbridge EMEA manages Aqua, Family Club and Riviera, organising sales, guest services and operation of the complex.

Developer Offers for Individual Properties

Next Group offers owners at Radisson Blu Resort & Residences the option of renting out their apartments through its management team.

Risks of Branded Residences

The main risk when choosing branded real estate is buying a property that is merely advertised under an international hotel group’s name. In its study of the Batumi market, International Investment identified cases where no licence agreement existed or where it applied only to the hotel portion of a complex. Apartments offered for sale could be in the same building or an adjoining block without being part of the brand. Confirmation of the partnership must cover the specific property being purchased.

An international brand sets requirements for design, materials, engineering systems and service. Recognition, prestige, shared booking channels and loyalty programmes help attract guests. Professional hotel management covers sales, pricing, service and cost control, freeing owners from day-to-day responsibilities. The operator’s experience helps increase revenue and improve the efficiency of the hotel business.

Another risk is mistaking an advertised yield forecast for an obligation to the owner. For guaranteed payments, the contract must specify the amount, term and company responsible for paying. For income from hotel operations, it must establish how revenue is distributed and expenses are deducted.

Branded and independent hotels may be run by separate management companies. An international name does not replace an experienced operator: expertise in sales, service and cost control affects financial performance. Management, brand, marketing and loyalty programme fees form part of hotel expenses and reduce the amount available for distribution to owners.

International Investment analysts identify three elements that matter to investors: an international brand, professional management and ownership terms. The hotel group provides recognition and booking channels, the operator organises sales and service, and the contract determines owner payments and expenses. In Wyndham Grand Residences projects, Wyndham and Aimbridge combine international promotion with hotel expertise. This advantage should be assessed alongside the purchase price and the income the owner receives after all deductions.

Who Buys Property in Georgia

Georgian citizens generate most demand in Tbilisi, while foreign buyers account for almost half of Batumi’s transactions. In September 2026, their respective shares were 12% and 48%, according to Colliers data on apartment sales in new and older developments.

Share of Foreign Buyers: August and September 2026

Apartment Buyers in Tbilisi

According to Galt & Taggart’s survey of leading developers, Georgian citizens purchased 75% of apartments in surveyed projects in January–April 2026, while foreigners purchased 25%. Israel accounted for 11% of all sales, Russia for 3% and other countries for 11%. Israel was the largest overseas source of demand in this sample.

Apartment Buyers in Batumi

In surveyed Batumi projects, Georgian citizens accounted for 37% of sales in Q1 2026. European buyers represented 18%; citizens of Ukraine, Russia and Belarus together accounted for 16%; Israel for 10%; and Turkey for 4%. These figures come from developer surveys; the Colliers shares in the table reflect registered citywide transactions in individual months.

Compared with August, the share of foreign buyers fell by 2 percentage points in Tbilisi and 4 points in Batumi in September. Overseas demand carries more weight in the resort market. In the capital, Georgian citizens dominate both registered transactions and developer survey results.

Can Foreigners Buy Property in Georgia

Foreign nationals can buy apartments, commercial premises and non-agricultural land in Georgia. Buying an apartment does not require a residence permit or a Georgian company: an individual foreign citizen can become the owner. Purchasing property and obtaining residence are separate procedures.

Restrictions on Land Ownership

A foreign citizen cannot acquire agricultural land through a standard sale and purchase agreement. The law allows foreigners to inherit it. A separate procedure applies to Georgian companies with a foreign controlling shareholder, requiring an investment plan and a government decision. Registering a company does not itself remove the restriction.

When buying a house with land, check the plot’s classification in the registry. A residential building does not mean the land is non-agricultural: the law allows agricultural land to include household plots with buildings.

Documents and Ownership Registration

Buying a completed apartment requires the buyer’s passport, a sale and purchase agreement, a registration application and payment of the registration fee. A representative also needs a power of attorney. If the buyer does not speak Georgian, the agreement should also be prepared in a language they understand, with a translator involved.

Before signing, use the cadastral code to check a Public Registry extract for ownership, mortgages, seizures or other registered restrictions. The apartment’s cadastral code and specifications must match the agreement.

Ownership arises upon registration with the National Agency of Public Registry, or NAPR. Signing an agreement and transferring money do not replace registration. Applications can be submitted through a Public Service Hall; a registry extract confirms the result.

Remote Purchase and Payment

A foreign buyer can complete a transaction through a representative acting under a power of attorney. It should expressly authorise signing the agreement, submitting the application and collecting documents. If the representative handles payments, that authority must also be included.

The agreement sets the price, payment schedule and settlement procedure. If the price is linked to a foreign currency, the payment currency and conversion terms should be agreed in advance. Keep bank transfer confirmations; for instalment purchases, specify when ownership will be registered and which obligations remain with the buyer.

The NAPR Smart Contract online service is available to Georgian citizens holding a valid Georgian passport or ID card. Foreigners without Georgian citizenship arrange remote purchases through a representative rather than this service.

Ownership registration costs GEL 150 within four working days, GEL 270 within one working day or GEL 350 on the day of application. Document translation and preparation of a power of attorney are charged separately.

Mortgages for Foreigners in Georgia

Foreign nationals can obtain a mortgage in Georgia. Lending terms depend on the bank and the borrower’s income. TBC, for example, offers a dedicated mortgage programme for foreign buyers purchasing an apartment, house or commercial property.

Down Payment and Loan Amount

Under TBC’s simplified mortgage for foreigners, the down payment starts at 20%, with loans from the equivalent of $3,000 to $300,000 in Georgian lari or euros. The bank may also consider larger amounts. For a $100,000 apartment, for example, a 20% down payment is $20,000, with the remaining $80,000 financed by the loan.

Income Verification and Interest Rates

The programme offers simplified income verification. As of 26 October 2026, TBC’s calculator shows a nominal annual interest rate from 9.9% and an effective rate from 11.35%. The bank sets the final terms when approving the application. The quoted rate is linked to the TIBR1M index and may change during the loan term.

Residence Permits Through Property Ownership in Georgia

From 1 March 2026, the property value threshold for a short-term residence permit in Georgia increased from $100,000 to more than $150,000 in lari equivalent. Ownership must be registered in the foreign buyer’s name, and market value must be confirmed by a certified appraiser from an accredited organisation. Eligibility depends on the appraised value, not simply the purchase price in the contract.

A short-term residence permit is issued for one year and may be renewed annually while ownership is retained. A new valuation of the same property is not required for renewal. The owner’s spouse and children may also obtain residence on this basis. There is no requirement to live in the purchased apartment: commercial premises or a hotel apartment registered as a separate property can also qualify. Agricultural land is excluded.

Purchasing property worth more than $300,000 in lari equivalent allows a buyer to apply for a five-year investment residence permit. To qualify for an indefinite residence permit, the property must remain in the applicant’s ownership for five years after the investment permit is issued. The law allows a replacement property subject to its conditions. The application for indefinite residence is submitted before the five-year term expires; a decision follows a review of the documents.

Property Taxes in Georgia

Georgia has no separate property transfer tax when buying an apartment. The parties agree in the contract how to allocate registration, translation and professional service costs. Ownership may give rise to three different liabilities: property tax, tax on rental income and tax on gains from a sale.

Annual Property Tax: New Rules for 2026

Amendments effective from 1 October 2026 raised the property tax exemption threshold from GEL 40,000 to GEL 100,000. If family income in the preceding calendar year does not exceed GEL 100,000, an individual’s property, other than land, is exempt. The change also applies to liabilities declared in 2026.

For income above GEL 100,000, the tax rate is 0.8–1% of the taxable property’s market value at the end of the preceding year. The former intermediate rate of 0.05–0.2% has been abolished. For a taxable apartment worth GEL 300,000 owned for a full year, the annual tax would be GEL 2,400–3,000.

The threshold applies to family income, not the apartment’s price. Land tax is calculated separately and is not covered by the income-based exemption. In 2026, the property tax return is due by 2 November and payment by 16 November, according to the Revenue Service.

Tax on Rental Income

An individual renting residential property for accommodation may pay 5% of rental receipts without deducting expenses. Revenue of GEL 24,000, for example, results in tax of GEL 1,200. When renting to a legal entity, the owner must be included in the Revenue Service’s register of landlords to use the reduced rate.

A special fixed tax regime is also available on application for short-term accommodation: the base rate is GEL 10 per sq. m of rented space per month, with possible adjustments for location and seasonality. Eligibility is subject to legal conditions, including turnover and VAT registration.

Taxable turnover exceeding GEL 100,000 in any consecutive 12-month period triggers VAT registration. Tax rules for short-term rentals and hotel operations may differ from those for standard residential letting.

Tax on the Sale of an Apartment

An individual selling an apartment or a house with land pays 5% on the positive difference between the sale and purchase prices. This gain is exempt from income tax after more than two years of ownership. Purchase documents substantiate the original cost.

For rental income, the tax treatment depends on the property’s use: residential letting and hotel operations are taxed under different rules.

Property Purchase and Running Costs

The apartment’s price is only part of the investment. Transaction costs, finishes and furnishings come on top; after purchase, there are building maintenance charges and, for rentals, management fees. These costs differ substantially between a completed home and an unfinished apartment.

Completing the Transaction and Preparing the Apartment

Ownership registration costs GEL 150 within four working days, GEL 270 within one working day or GEL 350 on the day of application. An electronic registry extract for checking the property costs GEL 13 within one working day or GEL 52 on the day of request. Paper extracts cost GEL 20 and GEL 75 respectively.

Translation, powers of attorney, legal checks and intermediary fees are charged at agreed rates. The agency agreement should specify who pays the commission, seller or buyer, its amount and when it is due. Property sourcing and subsequent rental management are separate services with separate charges.

For a black-frame apartment, the budget includes internal partitions, electrical wiring, plumbing, heating and finishes. In a white-frame unit, some work has already been completed, but the exact specification must be checked against the contract. Furniture, the kitchen, appliances and internet installation may require a separate budget. For a completed property, confirm which items are included in the price and remain after handover.

Building Maintenance and Rental Management

The building service charge covers an agreed set of services, such as cleaning communal areas, lifts, security and infrastructure maintenance. Electricity, water, heating and internet inside the apartment are billed separately unless included in the charge. Rental properties also incur cleaning between stays, linen, supplies and replacement of worn furniture or appliances.

International Investment gives the following management fee ranges: 8–12% for long-term rentals through a local agent and 18–25% of gross revenue for rentals through Airbnb and Booking. These ranges cover different markets; the fee for a property in Georgia is set by its contract. Cleaning and check-in services may cost extra.

With annual rental revenue of $12,000, a 20% management fee is $2,400. The owner retains $9,600 before taxes, building maintenance charges and other expenses.

Charges in Branded Residences

In branded projects, distinguish the service charge for maintaining the complex from the management fee paid to the operator. The former covers the building and infrastructure; the latter covers running the hotel business or renting out apartments.

A professional operator takes bookings and organises sales, guest services and staffing, freeing the owner from daily responsibilities. Its remuneration may be fixed, calculated as a share of revenue or operating profit, or combine these approaches. The contract should clearly define the fee calculation, complex expenses, income distribution and the amount payable to the owner.

At an illustrative service charge of $1 per sq. m per month, a 50 sq. m apartment would cost $600 a year to maintain. Comparing complexes also requires checking the services included: the same rate can cover different levels of service.

How to Buy an Apartment in Georgia

A purchase has seven stages: choosing a property, checking documents, agreeing the contract, payment, ownership registration, handover and preparation for use. For a completed apartment, these can proceed in sequence; for an off-plan purchase, months or years may pass between signing and receiving the keys.

1. Choose the Property and Inspect Its Condition

For personal use, assess transport, heating, sound insulation and neighbourhood amenities. For rental, assess demand for the accommodation type, competing apartments and management costs. Inspect completed homes personally or through a representative, checking windows, damp, electrics, water and heating. In a new development, check that the seller’s promised work is complete and the specified equipment is installed.

2. Verify Ownership and Encumbrances

Use the cadastral code to obtain a recent Public Registry extract. Check the owner, floor area, address and registered restrictions, including mortgages, seizures and obligations affecting the property. If a representative signs, verify their power of attorney. For a project under construction, also request land documents, the building permit and information on the company signing the agreement.

3. Agree the Contract

The contract specifies the property, price, payment currency, payment schedule, timing of ownership registration and handover deadline. It should also state who pays transaction and registration costs: under the Civil Code’s general rule, the seller bears these expenses unless the parties agree otherwise.

For off-plan property, append the layout and a list of finishing works, equipment and utility connections. Agree what happens if completion is delayed, the floor area changes or the contract is terminated. Promises concerning furniture, infrastructure and returns must be recorded in writing.

4. Make the Payment

Agree the sequence of payment and registration submission in advance. State the transfer’s purpose in payment documents and retain confirmations. For instalments, the contract must set payment deadlines and ownership transfer terms; where a mortgage exists, it must address repayment and discharge.

5. Register Ownership

Submit the signed contract for registration with NAPR, including through a Public Service Hall. Once registration is complete, check the extract: the buyer must be listed as owner, and the property details and remaining encumbrances must match the agreement. Paying for the apartment does not replace ownership registration.

6. Take Delivery of the Apartment

Record handover in a document listing furniture and appliances, meter readings and the number of keys. In a new development, check the apartment against the contractual specification; list defects in writing and agree deadlines for repairs. Test utility systems and photograph the property’s condition before signing.

7. Prepare the Property for Living or Rental

After handover, transfer utility accounts, connect internet and confirm building maintenance arrangements. For rental, complete furnishing, establish check-in terms and choose between self-management and an operator. If the apartment is part of a hotel project, check the operator agreement before launch for services, fees, reporting and owner payments.

Main Risks of Buying Property in Georgia

Completion delays postpone rental income, vacancy reduces revenue, and strong competition may force an owner to lower the resale price. Maintenance costs continue in months when the apartment generates no income.

Growing Supply and Competition for Tenants

At the end of the first half of 2026, 13,866 apartments remained unsold in Batumi projects surveyed by Galt & Taggart. The survey covered more than 30 projects under construction, around 40% of the primary market. Some of these apartments may enter the rental and resale markets once construction is complete.

For owners, this means competition from similar apartments in the same district and complex. Attracting a tenant may require lower rent, better furnishings or more spending on promotion. Resellers also compete with developers offering new apartments on instalment plans.

Reselling Below the Expected Price

In June 2026, finished apartments sold by developers in Batumi averaged $1,960 per sq. m, while resales in new buildings averaged $1,497, according to Galt & Taggart. These are different groups of properties, but the gap illustrates why the developer’s purchase price cannot automatically be treated as a future resale price.

An apartment with a high price, an inconvenient layout, substantial mandatory charges or restrictions on use is harder to sell. Comparable completed properties in the same district provide a better basis for estimating a future resale price. Citywide price growth does not guarantee a higher sale price for an individual apartment.

Returns Below Advertised Levels

Gross yield measures rental revenue against the purchase price; net yield is the return after management, maintenance, repairs and taxes. For example, an apartment costing $100,000 with annual receipts of $8,000 has a gross yield of 8%. After $3,000 in expenses, $5,000 remains, or 5%. This is an illustrative calculation, not a market average.

Short-term rental results depend on the nightly rate and seasonal occupancy. A calculation based solely on summer prices may overstate annual income. For promised fixed payments, check the contractual obligation: the amount, term, payer and circumstances in which payments may change.

Currency Risk

Georgia has a floating exchange rate for the lari. If an apartment is priced in dollars but rent is fixed in Georgian currency, a weaker lari reduces dollar income. Exchange rates also affect the owner’s expenses when payments are denominated in different currencies.

For illustration, rent of GEL 1,500 equals $600 at GEL 2.5 to the dollar, but $500 at GEL 3. The contractual amount is unchanged, yet dollar receipts fall by 16.7%. Instalment and rental agreements should establish the currency of the obligation and the conversion method in advance.

Construction Delays and Breach of Contract

Buying an apartment under construction commits funds before the building is operational. Delays postpone moving in or renting it out, while specification changes may increase finishing costs. Assess developers by checking previously completed buildings, land documents, building permits and actual construction progress.

The agreement must define the handover deadline, finishes, utility connections, liability for delays and refund terms. For instalment purchases, establish which document the buyer receives at each stage and when ownership is registered.

Termination of a Brand or Operator Agreement

An international brand and professional management provide recognition, service standards and access to booking channels. These benefits rely on active agreements. If the relationship ends, a project may lose the hotel group’s name, promotion and loyalty programmes; replacing the operator requires new management arrangements.

Trump Tower Tbilisi’s official website states that its brand licence may be terminated or revoked under its terms. The agreement’s duration and termination grounds determine how long the project may use the international name. Owners also need to understand the consequences: who will continue management and whether payment arrangements will remain in place.

International Investment analysts note that an investment’s resilience depends on the purchase price, actual rental demand, expenses and resale prospects. In Batumi, competition from projects under construction is particularly important; in branded properties, the key factors are confirmed brand participation, operator experience and contractual owner rights.

Tbilisi Districts: Where to Buy an Apartment

The district determines the purchase budget and rental format. Vake requires substantial investment, Saburtalo offers a choice of housing types, and Didi Dighomi has a lower entry cost. In the central neighbourhoods of Mtatsminda and Vera, the building’s condition and the accessibility of the particular street are especially important.

Vake: Premium Housing and a High Purchase Budget

In July 2026, premium apartments in white-frame condition averaged $3,180 per sq. m, with rents of $15.1 per sq. m per month. There were 884 registered transactions in January–July. Around 8,000 sq. m of housing received construction permits over the same period.

Vake suits personal use and long-term rental in the higher-priced segment. Vake and Mziuri parks, shops and cafés are local advantages. Comfort also depends on commuting time, street noise and parking. High rental rates come with substantial purchase, finishing and maintenance costs.

Saburtalo: Options for Living and Long-Term Rental

The July benchmark for business-class housing was $1,732 per sq. m, with rents of $11.4 per sq. m per month. The district recorded 4,926 transactions in the first seven months of 2026.

In Saburtalo, proximity to the metro shapes everyday travel. Bus routes and journey times matter more in areas further from stations. Large numbers of identical apartments in major complexes intensify rental competition; beside busy roads, noise and window quality affect comfort.

Didi Dighomi: Lower Purchase Prices and More New Supply

In the affordable segment, the average July price was $1,148 per sq. m and rent was $8.7 per sq. m per month. January–July saw 5,740 registered transactions, more than in any other district covered by the study. Housing construction permits covered 186,000 sq. m.

In Didi Dighomi, the budget for a small central apartment can buy a more spacious home. The large volume of permitted construction creates the potential for stronger sales and rental competition. In new complexes, check when shops will open, landscaping will be completed and convenient routes to work and school will become available.

Mtatsminda: A Central Location and Limited Construction

In Q3 2026, the median asking price of apartments in new developments in the administrative district of Mtatsminda was GEL 7,004 per sq. m, according to Geostat.

The July premium-segment rental rate was $13 per sq. m per month. January–July recorded 441 transactions, while new housing permits covered around 1,000 sq. m. These figures indicate limited new supply.

Mtatsminda suits central living and rentals for guests interested in attractions and views. On hillside streets, check the walking route, vehicle access and parking. Older buildings may require extra investment in floors, roofing and utilities.

Vera: Historic Buildings and City Life

Vera is a central Tbilisi neighbourhood with historic homes, courtyards, cafés, wine bars and small shops. Near Rustaveli Avenue, Rooms Tbilisi occupies a former publishing complex. Local venues and spaces attract visitors and a creative crowd.

Vera’s appeal is central living with shops, cafés and cultural venues within walking distance. The location also attracts visitors. For short-term rental, an apartment competes with neighbourhood hotels, making interiors, comfort and service quality important.

Historic housing brings additional costs and restrictions. Before buying, check roofing, structural floors, damp, the communal courtyard and utilities. Comfort depends on the floor, lift access, natural light and noise from nearby venues. A renovated apartment in a well-maintained building and a property with structural problems require different budgets, even on the same street.

Vake offers an expensive segment with high rents, while Didi Dighomi provides more affordable space and substantial new construction. In central neighbourhoods, part of the budget goes towards restoring older buildings. These differences determine both the initial investment and future running costs.

Batumi Districts and Projects

Central Batumi, New Boulevard, Makhinjauri and Gonio offer different conditions for holidays and property purchases. Alongside prices, they differ in beach access, building density and hotel infrastructure. Prices for finished new apartments are for June 2026, based on Galt & Taggart data.

The Centre and Old Batumi

Old Batumi is the most expensive location in the district comparison, at $3,239 per sq. m. It recorded 349 transactions in Q2. Historic streets, squares and proximity to the boulevard make it suitable for personal use and accommodation for visitors who value a central location.

In the centre’s older buildings, costs may include repairs to roofing, structural floors and shared utilities. In new complexes, finishing and regular service charges add to the budget. Busy streets and venues are convenient for guests, but apartments facing them need good sound insulation.

Heroes’ Alley and New Boulevard

Average prices were $2,166 per sq. m on Heroes’ Alley and $1,800 on New Boulevard. Q2 recorded 979 and 1,664 transactions respectively. New Boulevard led sales among the locations covered by the study.

In major complexes on Heroes’ Alley and New Boulevard, owners of similar studios compete for the same guests. Lift queues, communal-area maintenance and building density affect the quality of a stay. When reselling, owners also compete with developers offering apartments in neighbouring phases.

The Seafront: Views and Beach Access Matter

The main advantages of a seafront location are sea views and a short walk to the beach. Their value depends on the building’s position: a road between it and the shore lengthens the route, while new construction in front may block the view.

An apartment with an unobstructed sea view has an advantage in short-term rental marketing. A higher purchase price, however, increases the investment to be recovered. Façade maintenance, ventilation and protection against damp also form part of coastal property ownership costs.

Inner and Peripheral Districts

In June 2026, finished new apartments averaged $1,672 per sq. m in inner districts and $1,744 in peripheral areas, according to Galt & Taggart.

Inner districts suit permanent living and long-term rental. Access to schools, shops, medical facilities and transport can matter more than proximity to the beach. In a new complex, distinguish between amenities already operating and facilities the developer only plans to open.

Makhinjauri: The Beach and Proximity to Green Cape

Makhinjauri is a coastal district near Green Cape and Batumi Botanical Garden. A road and railway run along the coast, so reaching the beach from many homes requires crossing both. Being close to the sea on a map does not guarantee convenient beach access. Relocation of the railway is planned, but the timetable remains unclear.

When choosing an apartment, assess the actual walking route to the sea, safe crossings and traffic and train noise. These factors matter for personal holidays and rental, especially for families with children. A sea view and a short distance to the shore do not compensate for difficult access: each property’s appeal depends on its position relative to the road and railway.

Gonio: A Prestigious Resort District and International Hotel Projects

Gonio is one of Batumi’s most attractive resort locations for holidays and investment in hotel real estate. Its advantages include the sea, a beach at the foot of forested mountains and a quieter setting than the city centre. Georgia Travel, the national tourism portal, highlights clean water, natural surroundings and a distinctive microclimate, describing Gonio as one of Adjara’s rapidly developing resorts.

Holidaymakers are drawn by the combination of beach and mountains, family and wellness stays, and proximity to Batumi and its airport. Premium complexes under international hotel brands support investment interest. In the Gonio–Kvariati area, finished new apartments averaged $2,228 per sq. m in June 2026, according to Galt & Taggart.

European Village is developing Wyndham Grand Residences Batumi Gonio under the Wyndham Hotels & Resorts international hotel brand. The complex targets premium resort holidays with All Inclusive and Ultra All Inclusive formats. Aimbridge EMEA, the international division of one of the world’s largest professional hotel management companies, is confirmed as operator for Aqua, Family Club and Riviera.

For owners, this combination provides access to international sales channels, a recognisable brand and professional hotel operations. The operator handles guest services and the running of the complex, reducing the owner’s daily responsibilities. Resort infrastructure and different holiday formats broaden the project’s audience and opportunities to attract guests.

Another international project is Radisson Blu Resort & Residences Batumi Gonio, with 576 serviced apartments. Its official website lists restaurants, rooftop bars, a spa, a gym and event facilities. The property is currently listed as awaiting opening. This infrastructure supports beach holidays, wellness trips and events.

The location’s long-term development also includes Gonio Yachts & Marina, which UAE developer Eagle Hills lists in its Georgian portfolio. For investors, the presence of an international developer and hotel groups strengthens Gonio’s position as a resort destination in its own right. Future infrastructure should be assessed as it is delivered.

Gonio combines natural resort advantages with international hotel development. Buyers can choose between independently renting out an apartment and a hotel model in which an operator handles guest accommodation and the property’s operation. In the latter case, owner income depends on the management and payment agreement.

New Developments or the Secondary Market

A new development may be under construction or completed. The secondary market includes older housing and resales in new buildings. For investors, completion status, total investment and transaction terms matter more than the building’s age alone.

A completed apartment can start generating rent after handover and furnishing. Instalments in a building under construction spread payments, but no rental revenue is generated before completion, finishing and utility connections. The purchase budget includes renovation, furniture and preparation for use.

In Batumi in June 2026, finished apartments sold by developers averaged $1,960 per sq. m, while resales in new buildings averaged $1,497. The secondary market allows buyers to acquire a completed home and inspect its condition before the transaction; a developer may offer instalments and a choice of specifications.

Georgia Property Market Outlook: Three Scenarios

Purchase prices and rental receipts can move in different directions. Tbilisi already illustrates this, with rising housing prices and relatively stable rents. In Batumi, growing new supply increases competition for buyers and guests. Three scenarios help frame the market’s potential development.

Base Scenario: Demand Holds, Yields Depend on the Purchase Price

If buying activity holds, prices will depend on supply in each district. Limited construction supports values in central Tbilisi, while large-scale development gives buyers more options elsewhere. If apartment prices rise faster than rents, yields on new investments fall.

In Batumi, steady sales do not necessarily mean higher owner income. The average daily rental rate fell by 4.2% in Q2 2026 compared with the same period of 2025, according to Galt & Taggart. Full-year revenue, off-season occupancy and management costs matter to investors.

With stable transaction numbers and rental receipts, the purchase price will remain decisive for investors. In Batumi, the off-season will also shape results: strong summer demand does not guarantee sufficient revenue for the full year.

Stronger Demand Scenario: Foreign Buyers and Tourists Support the Market

More overseas buyers could support sales, particularly in resort projects. If tourism demand and paid nights rise, short-term rentals can increase revenue. If foreign purchases grow without higher rental receipts, however, the purchase becomes more expensive and the payback period lengthens.

For long-term rental in Tbilisi, a positive scenario means more tenants and paid months. For hotel properties in Batumi, it means higher occupancy and annual revenue. International sales channels and professional management help attract guests; the effect on owner income depends on revenue-sharing terms.

Signs of stronger demand include more foreign purchases, tourist visits and paid nights. A higher share of overseas buyers alone is insufficient: it may simply reflect fewer domestic transactions.

Growing Supply Scenario: Competition Intensifies

If new apartments enter the market faster than buyer and tenant numbers grow, owners must compete on price, interiors and service. Tbilisi issued permits for 1.001 million sq. m of housing in January–July 2026. In Batumi, Galt & Taggart identifies the large volume of projects under construction and declining rental yields as factors that could limit further price increases.

An excess of similar apartments can lengthen the sale process and require discounts. In short-term rental, competition appears through lower rates or occupancy. Properties within the same complex with similar prices, furnishings and accommodation terms compete most directly.

If unsold apartments and comparable listings increase, selling times may lengthen. Lower actual transaction prices and rental rates would reduce owners’ receipts.

What This Means for Investors

For Tbilisi, the main risk when buying an apartment to rent out is rising housing prices without corresponding rent growth. For Batumi, it is apartment supply outpacing accommodation demand. When reselling, an owner competes with other owners and developers’ new phases.

Hotel real estate offers a different model: owners entrust guest accommodation and property operations to a professional operator. An international brand provides recognition, service standards and access to booking networks and loyalty programmes. The management company organises sales, service and staffing, relieving owners of daily tasks and creating opportunities for revenue growth.

Restaurants, spas, family and wellness programmes and event facilities give resort projects, including those in Gonio, an additional advantage. Such infrastructure broadens the audience and helps attract guests beyond the beach season. Investment decisions should consider confirmed brand and operator participation, completion status, owner expenses and contractual payment arrangements. A self-managed rental apartment and a hotel-managed property require different levels of owner involvement and offer different ways of earning income.

Frequently Asked Questions About Property in Georgia

Can a foreigner buy an apartment without a residence permit?

Yes. Neither a residence permit nor a Georgian company is required to buy an apartment or commercial premises. Restrictions on foreign nationals primarily concern agricultural land.

What property qualifies for a residence permit?

A short-term residence permit requires property registered in the foreign applicant’s name with a market value exceeding $150,000 in lari equivalent. Apartments and commercial properties qualify; agricultural land does not. A certified appraiser confirms the value.

Can a foreign buyer obtain a mortgage?

Yes. Under TBC’s simplified programme for foreigners, for example, the down payment starts at 20%, with loans from the equivalent of $3,000 to $300,000 in lari or euros. The bank sets the final terms when approving the application.

Can an apartment be bought remotely?

Yes, through a representative authorised by power of attorney to sign the agreement and register ownership. NAPR Smart Contract is available to Georgian citizens with a valid Georgian passport or ID card; a foreigner without Georgian citizenship needs a representative.

What taxes does a foreign owner pay?

The same rates apply to foreigners and Georgian citizens. If family income in the preceding year does not exceed GEL 100,000, property other than land is exempt from annual tax. Above that threshold, the rate is 0.8–1% of the taxable property’s market value.

Is rental income always taxed at 5%?

The 5% rate applies to an individual’s income from residential letting for accommodation, without expense deductions. For hotel operations and other uses, the tax regime depends on how the business is organised; there is no universal rate for all apartments.

Why is gross yield higher than the owner’s income?

The gross figure excludes management, booking fees, maintenance, repairs and taxes. In the studio’s short-term rental example, expenses absorb around 71% of revenue. In months without tenants, there are no receipts, but mandatory maintenance charges continue.

What does Wyndham Grand Batumi Gonio’s guaranteed return mean?

Under European Village’s programme, the contract provides for annual payments of 10% in euros for five years, with an option to renew. If hotel income is lower, the developer covers the difference. Payments begin when the purchase is paid for, during construction.

What can make an apartment in Batumi harder to resell?

A large stock of unsold housing and developers’ new phases give buyers more choice. Owners compete with similar apartments, including those offered on instalments, so a sale may require a discount or a longer wait.