When moving to Georgia, many expats are faced with the dilemma of whether to rent or buy a property outright. Each option has its advantages depending on your budget, length of stay and personal circumstances. Let’s look at the most important aspects to help you make an informed decision.
Financial Calculations: When Will Buying Pay Off?
Average apartment rents in Tbilisi range from $300 to $1,500 per month, depending on the neighborhood and level of comfort. In Batumi, seasonal fluctuations are more pronounced: rents are 30-40% cheaper in winter. Buying requires a significant initial investment:
- Studio (30-40 sqm) in a residential area: $40,000-$60,000
- 2-room apartment in the center: $80,000-$120,000
- Luxury apartment in Vaca or Old Town: from $150,000-$150,000
The average payback on a buy-to-let purchase is 8-12 years. For expats who plan to stay in Georgia for a long time, buying may be more profitable: after 5-7 years, the property will not only pay for itself, but also generate income due to price appreciation. However, if the stay is less than 3 years, renting is often more economical.
Legal aspects
Georgia offers some of the easiest conditions for foreigners to buy real estate:
- There are no restrictions on the purchase of apartments or houses (except for agricultural land);
- The registration procedure takes 3-5 days;
- Property tax – only 0.1-1% of the cadastral value per year.
However, it is important to take into account the hidden costs: notary services, registration fees (about 1% of the value) and possible expenses for repairs.
Tenants have fewer obligations: a standard lease is for 1 year with the possibility of renewal. The security deposit is usually 1 month’s rent, and utilities are often the responsibility of the landlord.
Flexibility vs. Stability
Renting is for those who:
- Are unsure of their long-term plans;
- Want to explore the city before buying;
- Are unwilling to take on repair and maintenance costs.
Buying is advantageous if
- You plan to live in Georgia for 5+ years;
- You want to lock in the cost of housing (prices are rising 5-10% annually);
- You consider real estate as an investment (e.g. for seasonal rentals in Batumi).
Risks and pitfalls
- For tenants:
– Price instability (in tourist areas, rents can rise sharply in summer);
– Risk of frequent changes of accommodation (owners sometimes sell apartments or raise fees).
- For buyers:
– Legal risks (need to check documents before the transaction);
– Seasonal fluctuations in profitability (if renting);
– Limited liquidity (selling can take time).
Conclusion: what to choose?
– Renting – ideal for a trial move or short-term stay.
– Buying – advantageous for long-term plans or as an investment.
Tip: If finances allow, it is wise to rent for 3-6 months, explore the neighborhood and then decide to buy.
Georgia remains one of the most comfortable countries for expats, and choosing the right accommodation will make the move even more enjoyable!
