Taxes and costs when buying property in Georgia

There is no property purchase tax in Georgia. The only mandatory payment is registering ownership at the House of Justice: 50 GEL for standard registration (4 business days) or 200 GEL for expedited same-day service.

Notarising the contract is not mandatory, but it's recommended for complex deals and purchases made via power of attorney.

The annual property tax applies only to families with an annual income above 40,000 GEL. The rate is 0.05–1% of the property's value, set by the municipality. Most owners of a single apartment pay no property tax at all.

When an individual rents out a property, the rate is 5% of income. Registration takes one day, and the return is filed monthly through the tax office's online portal.

Registering as a small business may change the applicable rate, so the right scheme depends on your actual income volume.

Utility bills in Batumi run $40–90 per month depending on season and floor area. Servicing a complex with a pool and security costs $0.3–0.7 per m² per month.

The annual property tax is paid only by families with an annual income above 40,000 GEL. The rate ranges from 0.05% to 1% of the property's value, with the exact rate set by the municipality.

Owners of a single apartment whose family income is below that threshold are fully exempt from the tax — this covers most buyers investing in one or two apartments.

An individual renting out a property pays 5% of the income received, with no deduction for utilities or maintenance costs.

Under small business status, the rate is 1% of turnover, which can be more favourable when renting out several properties, but it requires registration and bookkeeping under that status's rules.

If the apartment has been owned for more than two years, no tax is charged on the income from its sale — this exemption applies to individuals regardless of the deal amount.

If sold sooner than two years, the income is taxable, so the holding period is worth considering in advance if the purchase is intended as a short-term investment.

Payment is usually made by bank transfer to the developer's or seller's account at a Georgian bank; this requires opening a non-resident account or using the details specified in the contract.

All key amounts and the payment schedule should be fixed in the sale-purchase agreement, so the transfer matches the deal's terms and doesn't raise questions from the bank.