Hidden Costs and Taxes When Buying Property Abroad: The Georgia Checklist (2026)
Georgia's headline costs are famously low — no purchase tax, cheap registration. But remote buyers still hit eight real cost items, from apostilles and currency spreads to the apart-hotel tax trap. Budget them before you wire a deposit.
The good news first: Georgia has no purchase tax, no stamp duty and registration from about 50 GEL — transaction costs are among the lowest anywhere. The catch: remote buyers still meet a set of smaller costs that never appear in the listing price. None is large alone; skipped together, they bend your real return. Here are the eight that matter in 2026.
1. Paperwork for buying from abroad
A remote purchase needs a notarised power of attorney, an apostille and a certified Georgian translation — typically $100–300 total depending on your country. Budget it once, and use it: the same PoA can cover the purchase, tax registration and utility contracts.
2. Currency spread and transfer fees
Prices are quoted in USD but your bank converts and wires: expect 0.5–2% in exchange spread plus $20–80 in transfer fees per payment. On a $100,000 purchase that is potentially $500–2,000 — often the single largest "invisible" cost. Compare your bank against specialist transfer services before sending.
3. The apart-hotel tax trap
The most expensive mistake on this list. Units sold in "apart-hotel" projects often carry commercial legal status: rental income is then taxed at ~20% on net income instead of the residential flat 5% on gross — and resale VAT treatment can differ too. Two identical-looking units can produce very different net yields. Always verify the unit's registered status before paying.
Unsure whether a unit is residential or commercial? A vetted Kavlian specialist checks the registry status before you commit — free of charge. Ask before you pay →
4. Developer payment plans are not free
"0% instalments" from developers are usually priced in: instalment prices typically run 5–10% above the cash price for the same unit. Sometimes the plan is still worth it — just compare both price lists and treat the difference as financing cost, not a gift.
5. Recurring ownership costs
| Item | Typical range |
|---|---|
| Building maintenance (new towers) | $0.5–1.5 per m² / month |
| Utilities (occupied 1-bed) | $50–150 / month |
| Property management (long-term let) | ~8–10% of rent |
| Property management (short-term let) | ~15–20% of income |
| Insurance (optional) | $200–400 / year |
6. Furnishing for the rental market
Tenants and guests in Tbilisi and Batumi expect furnished units. A rental-ready fit-out for a studio or one-bedroom runs roughly $3,000–8,000. New builds delivered in "white frame" condition need full renovation on top — commonly $150–350 per m². Ask precisely what condition the unit is delivered in.
7. Taxes you actually owe
Rental income: 5% flat under the residential regime (register for a same-day tax ID first). Annual property tax: only if your household income exceeds 40,000 GEL a year — many foreign owners fall outside it entirely. Selling: 0% capital gains after two years of ownership; selling earlier generally costs 5% on the gain. Full details in our Georgia property tax guide →
8. Vacancy and low season
Not a fee, but the line most first-time landlords forget: budget 4–8 vacant weeks a year for long-term lets, and remember Batumi's short-term income concentrates in May–September. Model your yield on 10–11 months, not 12.
The bottom line
On a typical $100,000 remote purchase, one-time extras usually total $700–2,500 — modest, if you saw them coming. The items that genuinely hurt are the avoidable ones: the apart-hotel status surprise and an instalment premium you never compared. Both cost nothing to check in advance.
FAQ
Who pays the agent's commission in Georgia?
Customarily the seller. Confirm it in writing before viewings so there are no surprises at closing.
Is a lawyer an extra cost worth paying?
For a remote purchase, almost always yes: title check, contract review and PoA handling cost far less than any single mistake they prevent.
Are there capital controls on taking money out later?
No — sale proceeds can be freely repatriated, and after two years of ownership the gain is tax-exempt in Georgia.
Run your real numbers before you buy
Kavlian's free cost estimator models every line above — taxes, fees, furnishing and vacancy — for your exact budget, and connects you with vetted specialists who verify unit status before you pay. Estimate your true all-in cost → or browse current listings →
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