Investment

Who this page is for

This page is for anyone thinking of buying an apartment, land or a business in Georgia - to live in, to rent out or as a long-term investment.

There is no advice here on what to put your money into. There is what needs checking before you pay.

Our role

We are not an investment adviser, a broker or a real estate agency, and we take no commission on the deal.

We connect you with licensed lawyers, independent valuers and accountants, translate and coordinate the whole process.

Types of investment

The most common is an apartment to rent out. Then come off-plan projects, commercial space, land and an existing business.

Each has its own risk: off-plan - the deadline, land - its permitted use, a business - hidden debts.

So the checklist is prepared separately for each type.

Defining the goal

First you decide what you want: rental income, growth in value, a home for yourself or space for a business.

The same apartment can be good for one goal and bad for another.

The goal sets the location, the budget and how long you plan to hold.

Studying the market

The Georgian market varies a lot between cities and between neighbourhoods.

The price in an advert is often the asking price, not the price deals actually close at.

An independent valuer compares real transactions, and that changes the picture considerably.

Location

Location decides rent and ease of sale more than the renovation does.

Transport, schools, noise and future construction next door all affect the price.

Before buying we look at the neighbourhood at different times: morning, evening and at the weekend.

An apartment in Tbilisi

In Tbilisi demand for long-term rentals is steady, especially in central and well-connected districts.

An apartment in an old building has character, but its services and structure need checking.

In a new building it matters who manages it and what its upkeep costs.

Batumi and the sea

Rent in Batumi is strongly seasonal: high demand in summer, much lower in winter.

The large supply of seaside apartments holds back both prices and rents.

So we calculate annual income from the whole year, not from the summer months.

Mountain resorts

In Gudauri and Bakuriani the winter season is the main one, while summer is gradually growing.

Managing property at a resort from afar is hard, and a local manager is essential.

Infrastructure plans strongly affect prices, so we check official sources.

Off-plan projects

An off-plan apartment is often cheaper, but the risk is higher: delays, a changed design, problems with the developer.

The money is paid before construction is finished, while the property is registered in your name later.

That is why in an off-plan project the developer's reliability matters most.

Checking the developer

We check how many projects the developer has finished, on time or late, and what buyers say.

We check the company's registration, its owners, court disputes and any mortgage on the land.

If the developer is new, the risk is higher, and that should be reflected in the price.

The building permit

The building permit must match what you are being sold: the number of floors, the area, the use.

If the building is taller than the permit allows, registering the upper floors can be a problem.

The lawyer checks the permit in an official source, not in the developer's brochure.

The payment schedule

In an off-plan project payment is often made in stages, tied to stages of construction.

The contract should state the completion date, a penalty for delay and how money is refunded.

The more money is paid early, the stronger the protection the buyer needs.

"Guaranteed" income

Some projects promise you "guaranteed" income for a number of years.

Such a guarantee is only as strong as the company that gives it and the wording of the contract.

Often the cost of the guarantee is already built into the price of the apartment. The valuer compares this.

Aparthotels

In an aparthotel you buy the apartment, an operator runs it and the income is shared.

It matters who has the right to stay in the apartment, which costs are deducted and how the operator can be replaced.

The lawyer checks the contract, and we translate the operator's reports into your language.

Commercial space

A shop, an office or a warehouse often brings a long lease, with a more stable tenant than housing.

But empty commercial space can stay without a tenant for months, and that risk has to be built into the income plan.

If the space is already let, we check the current lease and the tenant's payment history.

Existing property

A finished apartment brings fewer surprises: you can see what you are buying.

But it still needs checking: the owner, debts, unpaid utility bills and neighbours' claims.

Unauthorised alterations, such as an enclosed balcony, complicate registration later.

The registry extract

The Public Registry extract shows the owner, the area, any mortgage and any seizure.

We check the extract again on the day of the deal, because the situation can change.

If the extract and reality do not match, that is fixed first, and you pay afterwards.

Technical inspection

A specialist checks the structure, damp, electrics, water and heating.

In an old building this is especially important, and in a new one it is about quality.

The inspection result is a strong argument when negotiating the price.

Independent valuation

The valuer is not chosen by the seller - we choose them, in your interest.

The valuation shows the market price and a realistic rent, compared with nearby transactions.

The bank also uses a valuation if the purchase is made with a loan.

Land

When buying land, the key is its designated use: agricultural, building or commercial.

You cannot always do what you want on a plot. Building conditions are set by local regulations.

We check the boundaries, the access road and the utilities - they change the price sharply.

Agricultural land

Special restrictions apply to foreigners buying agricultural land.

The exceptions and conditions are set by law and change from time to time.

So for such land a lawyer always gives us a current opinion before you plan anything.

Rent and management

If you do not live in Georgia, the apartment needs a management company or a local manager.

The manager finds a tenant, collects rent, deals with damage and sends you a report.

The contract should state which costs they must agree with you in advance.

Short-term rentals

Daily rentals bring more income in some months, but also more costs and more work.

In some buildings or owners' associations short-term rentals meet opposition.

So before buying we check the building's rules and the real occupancy across the year.

The owners' association and upkeep

In an apartment block the common areas are looked after by an owners' association or a management company.

The monthly contribution, the state of the lift and roof and any major future repairs affect income directly.

Before buying we ask whether there is any debt or planned cost that will pass to the new owner.

Tax on income

Rental income is taxed in Georgia, under rules set by law.

You may also need to declare this income in your own country.

The accountant explains how to register and how to pay before you buy.

Selling and exit

When buying you should already think about selling: who you will sell to and how long it will take.

In some neighbourhoods an apartment sells quickly, in others it takes months.

The proceeds of a sale may also be taxed, depending on how long you have held it and your status.

Buying an existing business

Buying a running business - a café, a hotel, a shop - is a quick start, but you also buy its past.

The income the seller mentions and the income they have declared often differ.

We rely only on declared figures backed by documents.

Checking a business

A lawyer and an accountant check taxes, contracts, licences, staff and disputes.

The lease is often the weakest point of a business - its term and renewal terms matter.

You receive the result as a short report in your language, with a list of risks.

Shares or assets

A business can be bought through its shares - together with the whole company - or through its assets - just the property and equipment.

When you buy shares, the company's old debts stay with you.

Which route is better is decided by the lawyer and the accountant together.

A local partner

A local partner knows the market and the people, and that is a big advantage.

But a partnership should rest not only on trust but on a written agreement.

We always check a partner's track record and other businesses.

The partners' agreement

The agreement should state who contributes what, who makes decisions and how profit is shared.

The most important part is the exit rule - what happens if one side wants to leave.

We prepare the agreement in two languages, so that both sides know exactly what they are signing.

Source of funds

The bank and the notary often ask you to show where the money comes from.

A salary statement, a contract for the sale of property, a savings account statement - these should be prepared in advance.

This is a routine requirement, not a sign of mistrust.

Bringing the money in

A large sum is best sent by bank transfer, from your own account, with documents.

Cash in a large deal draws questions from the bank and the registry and weakens your protection.

We check transfer times and limits in advance, so that the day of the deal does not fall through.

Currency

Prices are often in dollars, while payment may also be made in lari.

Exchange rate changes at purchase and at sale affect the result.

The contract must state the currency and the exchange rate rule precisely.

Buying with a loan

Some Georgian banks give mortgages to foreigners, but the terms depend on residency and proof of income.

The bank values the property with its own valuer and requires insurance.

Loan approval takes time, so we agree the timeline with the seller with that in mind.

Form of ownership

Property can belong to you personally or to a company.

Owning through a company involves accounting and costs, but sometimes makes a sale or several owners simpler.

The accountant and lawyer discuss the choice together with the rules of your country.

Insurance

Property insurance against fire, water and earthquake is voluntary in Georgia, but sensible.

If the apartment is let, third-party liability insurance is also worth considering.

When buying with a loan, the bank requires insurance itself.

Residency

Property or a business may, under certain conditions, be a basis for a residence permit.

The conditions change from time to time, so we check the current requirements before you buy.

If residency is the goal, we choose the property so that it meets those conditions.

Family and inheritance

Whose name the property is registered in - yours, your spouse's or both - matters in the future.

In the case of inheritance Georgian rules apply, and the rules of your own country may also come in.

A will or the right registration spares the family difficulties later.

Investing from afar

Property in Georgia can be bought without coming here, through a power of attorney.

In that case a video viewing, the checks and a written report on every step are especially important.

Still, we recommend seeing the property yourself once before paying a large sum.

Agents and commission

The agency's commission is often paid by the seller, and the agent serves the seller's interest.

That does not make the agent bad - only that you need your own, independent checks.

We take no commission on the deal, so we can freely say "no" to any property.

Common mistakes

Paying a deposit before the checks. Treating the income shown in an advert as real.

Not checking the permit on an off-plan project. Paying in cash.

Having no exit plan - when and to whom you will sell.

What we need from you

Your goal, budget and expected holding period.

Which city or region interests you, and any options you have already seen.

When you can come and in which language you want your reports.

Price

The lawyer, valuer, technical specialist and accountant are separate lines.

Our coordination and translation are agreed in advance, before the checks.

We take no commission on the deal and add nothing to our partners' prices.