Cost of Buying Property in Georgia: Taxes, Fees & Running Costs (2026)

Residential buildings on Atoneli street in Tbilisi, Georgia

Buying property in Georgia is one of the cheapest transactions in Europe or Asia: there is no stamp duty and no purchase tax. Total buyer-side costs typically run 0.7%–1.2% of the property price (registration + legal fees), and ongoing taxes are low: 5% flat tax on rental income and an annual property tax of 0%–1% that most owners never pay at all.

One-time costs when you buy

CostTypical amountWho pays
Purchase tax / stamp dutyNone
NAPR registration feeGEL 50–200 (about $20–$75), depending on speedBuyer
Legal fees (optional but recommended)0.5%–1% of priceBuyer
Notary (optional in Georgia)Under 0.1%Buyer
Agent commission3%–5%Usually seller
Translator (if you don't speak Georgian)~GEL 50–100 at signingBuyer

Round-trip transaction costs (buy + sell combined) total roughly 3.7%–6.2% — among the lowest in the region. Budget separately for renovation if you buy "black frame" or "white frame": unfinished new builds are priced attractively but taking a black or white frame apartment to turnkey typically costs $400–$600 per m².

Annual property tax

Georgian property tax is unusual: it depends on your household income, not just the property. If your family's annual income is under GEL 40,000 (about $14,800), the rate is 0% — most owner-occupiers pay nothing. From GEL 40,000–100,000 of income the local rate is 0.05%–0.2% of the property's market value, and above GEL 100,000 it is 0.8%–1%. Income earned entirely outside Georgia is generally not counted for non-tax-residents — confirm your situation with a tax advisor.

Taxes on rental income

Residential rental income qualifies for Georgia's special 5% flat tax on gross rent — you register with the Revenue Service, declare monthly, and pay 5% with no deductions needed. This applies to non-residents as well. (Without the special regime, standard personal income tax is 20% on net income — almost nobody chooses that for residential lets.) Commercial leases are taxed differently; ask your accountant.

Taxes when you sell

If you are a private individual and have owned the property for more than 2 years, the sale is exempt from income tax. Sell within 2 years and the capital gain (sale price minus documented purchase price) is taxed at 5%. Property sold as part of a business activity is taxed at 20% — relevant if you flip multiple properties per year.

Worked example: $120,000 apartment in Tbilisi

  • Purchase: $120,000 + ~$75 expedited registration + ~$900 legal review = ~$121,000 all-in
  • Rented at $850/month: rental tax = $42.50/month (5%)
  • Annual property tax: $0 for most foreign owners with modest Georgia-sourced income
  • Sold after 3 years: no capital gains tax

Frequently asked questions

Is there VAT on buying an apartment?

Buying from a private seller — no VAT. New builds from developers have VAT (18%) already included in the advertised price; you don't pay it separately.

Do I pay tax in Georgia if I already pay tax at home?

Georgia taxes Georgian-sourced income (like rent from a Tbilisi flat). Whether you also owe tax at home depends on your country's rules and any double-taxation treaty with Georgia — over 55 treaties exist.

How do I pay the 5% rental tax?

Register online with the Revenue Service (rs.ge), file a simple monthly declaration, and pay by bank transfer. DazHomes can connect you with an accountant who handles this for a small monthly fee.

Are utility costs high?

No. A typical 2-bedroom Tbilisi apartment runs $60–$120/month for electricity, gas, water, and building fees, depending on season.

Want exact numbers for a specific property? Talk to DazHomes — we'll estimate your full cost of ownership before you commit. See also: Can foreigners buy property in Georgia?

This article is general information, not tax advice. Figures current as of July 2026 (sources: Georgian Tax Code, Global Property Guide/PwC/KPMG data). Confirm your case with a Georgian tax advisor.

You May also like
Post Author

Join The Discussion

Latest Posts

Best Neighborhoods in Tbilisi to Buy an Apartment (2026 Guide)

Best Neighborhoods in Tbilisi to Buy an Apartment (2026 Guide)

Vake, Mtatsminda, Sololaki, Saburtalo or Marjanishvili? 2026 prices per square…

Cost of Buying Property in Georgia: Taxes, Fees & Running Costs (2026)

Cost of Buying Property in Georgia: Taxes, Fees & Running Costs (2026)

No stamp duty, no purchase tax: full breakdown of what…

Can Foreigners Buy Property in Georgia? 2026 Rules Explained

Can Foreigners Buy Property in Georgia? 2026 Rules Explained

Yes — foreigners can buy apartments, houses and commercial property…

Real Estate Tokenization

Real Estate Tokenization

Real Estate Tokenization Introduction The real estate industry, long seen…