Georgia: what buyers should know

Georgia draws buyers with simple rules, low taxes and a low entry price. Demand centres on resort property in Batumi and Gonio on the Black Sea and city apartments in Tbilisi. Prices are usually quoted in US dollars and deals are quick and transparent.

Batumi is the main resort and the busiest new-build market: seaside apart-hotels and strong competition for tenants in season. Gonio is a quieter stretch of coast 15 minutes away with resort complexes. Tbilisi is the capital, with year-round demand for long-term rentals.

Foreigners buy apartments, houses and commercial property on the same terms as citizens; restrictions mainly concern agricultural land. Ownership is registered at the Public Service Hall, usually within one business day. The deal can be done by power of attorney without travelling.

There is no transfer tax — only a small registration fee. Property tax for individuals depends on household income and is minimal for most foreign owners. Residential rental income can be taxed at a reduced rate once registered; selling a property owned for more than two years is usually free of capital gains tax. Check current rates with an accountant at the time of the deal.

Agricultural land does not qualify, but residential property worth $100,000 or more lets you apply for a renewable temporary residence permit. Larger investments open the way to permanent residence. Thresholds and rules change, so check them on the date you apply.

The coast is humid subtropical: warm summers, mild winters, beach season from June to October. Batumi and Tbilisi have international airports; Gonio is about 15 minutes from Batumi.

Batumi has a lot of new supply, so off-season competition for tenants is high. The main risks are construction delays and developer reliability: look at completed projects, instalments tied to construction stages and the guaranteed-income terms in the contract.