Why Invest in Batumi, Georgia

Real Estate, Taxes, Business & Financing

Batumi is Georgia’s fastest-growing Black Sea city and one of the most attractive destinations for foreign investors.

The city stands out due to its strong tourism sector, expanding real estate market, low taxes, and investor-friendly legislation. Batumi offers a rare combination of high returns, legal transparency, and low entry barriers

Why Investors Choose Georgia

• No restrictions on foreign property ownership

• Low and transparent tax system

• Fast property registration (1 business day)

• Mortgages available for foreigners

• Stable legal framework for international investors

Tax Environment for Investors

Georgia’s tax system is designed to maximize net profit, not administrative complexity.

Taxes for Individual Entrepreneurs (IE / Sole Proprietor)

For many real estate investors, the most efficient structure is registering as an Individual Entrepreneur (IE) in Georgia.

This model is widely used for rental income, property management, and small investment activities.

IE (Individual entrepreneur) Tax Options

• Micro Business Status

• 1% tax on turnover

• Annual limit: up to 500,000 GEL (180,000 USD)

• Ideal for rental income and small property portfolios

Taxes are calculated on gross income, with simple reporting and minimal accounting.

Why IE Is Popular Among Property Investors

• No corporate profit tax

• No dividend tax

• No obligation to distribute profits

• Simple compliance and reporting

• Fully legal structure for short- and long-term rentals

For many investors, IE status delivers higher net rental returns compared to a standard company structure.

Real Estate Investment in Batumi

Batumi’s property market is driven by:

• Tourism and hospitality growth

• International hotel brands and new developments

• Strong short-term and long-term rental demand

• Casino industry as a growth engine — Batumi has become a regional gambling hub, attracting thousands of tourists every month. Casinos act as a locomotive for tourism, restaurants, entertainment, and rental demand, boosting property value in nearby areas.

Key Advantages

• 0% property purchase tax

• Competitive entry prices

• High rental yields in central and seaside districts

• Strong liquidity for well-located units

Both residential and commercial properties are actively used by foreign investors.

Financing: Mortgages for Foreign Buyers

Foreign nationals can obtain mortgages in Georgia, subject to bank approval.

Typical terms:

• Loan-to-value: 50–70%

• Interest rates: 7–11% (USD / EUR)

• Loan term: up to 10 years

• Down payment: 30–50%

Many developers also offer internal installment plans for new projects.

Business Opportunities

Foreigners may own 100% of Georgian companies, with fast and transparent registration.

Popular investment sectors:

• Rental & property management

• Hotels & serviced apartments

• Restaurants & retail

• Online and consulting businesses

Company registration usually takes 1–2 business days, with no minimum capital requirement.

Why Batumi for Investment?

• High ROI potential

• Low and flexible taxation (including IE regime)

• Transparent property ownership

• Growing tourism economy powered by casinos and the entertainment industry

• Black Sea resort city with year-round demand

Batumi is one of the most competitive real estate investment destinations in the region today.