Looking For Real Estate Investment in Batumi?
Real estate investment in Batumi can be a double-edged sword. Exciting because of the location and all the investment choices but challenging because of the language, culture and choices.
Buying and selling real estate here should be done with an experience realtor and we will explain all the reasons below.
Batumi Has Lots of Real Estate At Low Prices
Our daily updates for real estate prices are from the leading real estate developers in Batumi, such as Orbi, Alliance, Gumbati, Orbi, White Sails, DS Group, Next, Horizon and H Group. We can help you find and buy a home that fits your needs.
We also provide a wide range of real estate services, such as new-build apartments, pre-owned properties, and commercial properties for rent or sale in various areas in Georgia including Batumi, Kobuleti, Chakvi, Gonio, Kvariati, Khelvachauri, Makhinjauri, Bartskhana, Ureki, and Adjara.
Why Is Batumi Real Estate a Good Investment?
The seaside resort of Batumi is located in Adjara, a region of Georgia that is autonomous. It is full of digital nomads and IT specialists who are looking to spend some time in the Black Sea. Due to its reputation, the city has seen a steady increase in the number of people looking to rent properties.
The number of tourists visiting the city has increased by 7% annually over the past couple of years. In early 2022, the number of people looking to rent a property in Batumi increased significantly. This is because many families relocated to the area and rented long-term accommodations. During the summer season, the rental market in the city is very hot. Most homeowners in the area rent out their properties to tourists on a daily basis.
Since the beginning of 2018, foreigners and Georgian nationals have been investing heavily in the real estate market in Batumi. This trend is expected to continue growing. The city’s rapid emergence as an IT hub has also contributed to the increase in foreign visitors and the number of people looking to rent properties in the area.
People who are looking to earn a living by renting out their properties are often attracted to the seaside resort of Batumi. It provides them with the opportunity to keep their savings safe and make money from their properties within a couple of years.
Investors Like Batumi Because:
The Black Sea coast’s properties provide a stable income for everyone who owns them. In 2020, Forbes named Batumi as one of the best cities in Europe to invest in.
To apply for residency in Georgia, investors who spend over $100,000 on real estate can apply for a permanent residence permit.
The local real estate prices in Batumi are pegged to the US dollar to ensure that the exchange rate won’t affect the price of your property. A property purchase agreement can be prepared in just a day.
All projects of real estate construction companies are strictly regulated by the authorities.
How to Avoid Real Estate Fraud In Batumi?
One of the most common mistakes that people make when it comes to buying real estate in Georgia is assuming that they can purchase a property without a real estate agent. However, this is not the case. According to the experts at Emaginow, it’s still better to rely on the services of an experienced real estate agent.
If you’re planning on purchasing real estate in Batumi, it’s important to avoid the areas that have certain shortcomings. These may not be obvious, but they can appear in the months or years following your stay in the area.
Even in a country like Georgia, there are risks associated with real estate transactions. To minimize these risks, Emaginow conducts in-person inspections on all properties and thoroughly reviews documents submitted by the real estate developer. We’ve also partnered with some of the country’s most trustworthy developers to ensure that your purchase is secure.
Most real estate developers in Georgia only want to sell as many units as possible in order to maximize their profits. They do not care about your preferences, and their deals are limited to floor plans. Emaginow has partnered with several developers so that you can find the perfect property for your needs.
In Georgia, it’s relatively easy to prepare and handle the paperwork needed for a real estate transaction. However, before you sign a contract, it’s important that you have a qualified real estate agent review it. At Emaginow, our team of experts will thoroughly examine the documents and help you make the necessary changes.
Cost To Invest In Batumi Real Estate
Due to the high demand for coastal properties in Georgia, new construction projects are expected to start appearing at all times. This is because the developers are constantly competing with each other. As a result, the average cost of building a square meter of land in new construction projects in Batumi has remained relatively low.
Batumi, Georgia – $800/m²
Tbilisi, Georgia – $1200m2
Alanya, Turkey – $1,200/m²
Protaras, Cyprus – $2,400/m²
Ahtopol, Bulgaria – $1650/m2
Benidorm, Spain – $2,500/m²
Tivat, Montenegro – $2,100/m²
Ischia, Italy – $2,250/m²
In Batumi, you don’t have to spend a lot of money to enjoy the best of European resort locations. You can find a studio flat that’s under construction that’s priced at $18,000 to $20,000. Due to the fierce competition between developers, the prices of these properties in Batumi have remained relatively low.
Despite the low prices, there are still plenty of cheap real estate in Georgia. However, most of the apartments and houses in the country are immediately snapped up by foreign investors after the construction begins. This is a great time to buy a property in Batumi.
On our website, you can easily find the prices for all types of coastal real estate in Batumi. We also have listings for commercial properties and land deals.
Expected Payback From Rental Income: October 2022
Since the rental income from a property in Batumi is around 12%, it’s very important that you invest in this type of real estate to protect your savings.
A 30m2 apartment in Batumi can be purchased for $1200/m2 with an investment of $36,000. During the summer season, the average daily rent in this area is around $60, while in other months, it’s around $30. The occupancy rate in this type of property varies depending on the season.
Most property owners in October to May rent their apartments long-term instead of on a daily basis. This means that the average monthly rent for these types of properties is around $500.
You can earn around $5,760 during the high season and $2,640 during the low season with a rental income of around $8,400 annually.
Most property owners hire a property management company to handle the various maintenance and repairs of their units. This can cost you around $1,000 annually. You’ll also need to set aside around $700 for utilities.
After deducting these expenses, you’ll have a total of $6,700 in rental income annually. The payback period for this type of investment is two years and seven months.
It’s easy to see why real estate is so profitable compared to bank deposits. In fact, it’s more reliable than other investments.
Paying Utilities and Maintenance
Property maintenance costs in Georgia are low. For instance, if you own a 40m2 property in the country, you’ll only need to pay around $55 a month in utility bills. On the other hand, those who live in European resort cities typically pay around 120 to 110 monthly bills.
If you rent out your property for a long-term, you’ll typically have to pay the tenant’s utility bills. On the other hand, if you rent out your property on a daily basis, you’ll have to pay the tenant’s utilities.
Some real estate developers in Batumi offer property management services. These companies can handle the various maintenance and repairs of your property.
- Finding tenants
- Property cleaning and ventilation
- Repairs
- Paying for utilities and more
Some property management companies allow owners to manage their rental income and expenses online. This eliminates the need for them to go to the bank to make deposits and track their expenses. This is a great option for people who live outside the country and don’t feel like they have to deal with the rental routine in person.
Can Foreigners Invest in Real Estate in Georgia?
You can also buy real estate in Batumi using the Batumi Expert team. We’ll help you find the perfect property in the area and guide you through the various steps of the process. Our website is constantly updated with new deals and our expert advice on how to prepare a real estate purchase agreement.
Our website features an interactive map and a variety of tools that allow you to search for properties in the area. Before they are listed for sale, our team thoroughly inspects each property to make sure that its details are accurate, and its size is correct. This eliminates the need for you to move to Batumi and complete the purchase process.
Are you a first-time foreign buyer who’s overwhelmed by the various steps involved in buying real estate in a foreign country? The Emaginow real estate team can help you navigate through the process according to Georgian laws.
How much does one square meter cost in Batumi?
It depends on the location, floor, views, and construction stage at the time of purchase.
Black Frame seaside properties cost $550/m² and up at the initial construction stages.
Ready-to-move-in properties with furniture and appliances cost $1,200/m² and up.
What does Black Frame mean?
There are four types of constructions stages for sale in Batumi, black frame, white frame, green frame and turnkey.
- Black Frame: Unlike other types of real estate, Black Frame properties don’t require concrete or cement work. They’re also sold with a front door that’s equipped with a utility.
- White Frame: These properties are also connected to the sewage and electricity systems. White Frame houses come with various features such as partition walls, ceiling finishes, and windows. Some developers provide these types of properties with a variety of features.
- Green Frame: properties are fully finished but sold without furniture and appliances.
- Turnkey properties come with essential furniture and appliances and are 100% ready to move in.
How much is Daily and Monthly rent in Batumi?
During the high season in Batumi, which is from May to October, many people choose to rent out seaside apartments. These can be made from $30 a night depending on the size of the property and the views. The property owner then collects the rent, which is used to pay the utilities.
The rent in Batumi during the low season is around $300 a month. Regardless of the amount, the tenant is responsible for the utilities.
The monthly rent for a four-bedroom or three-bedroom house in Batumi is usually around $1,000 to $2,500. It depends on the location, appliances, and interior design.
Benefits of Investing in Real Estate in Batumi Georgia
- The prices of real estate in Georgia are affordable, especially in resort cities such as Batumi. By renting out a property, you can earn a steady passive income.
- In order to get a permanent residency permit in Georgia, a property worth at least $100,000 is required. The country is known for its favorable business environment and is a comfort-seeking destination.
- Low utility costs.
- You can purchase and manage a property remotely.
- Great installment payment options.
Batumi real estate: Is It PROFITABLE TO INVEST?
Due to the increasing number of foreign visitors and the need for more properties in the resort city, the construction of new buildings by real estate developers in Batumi is expected to increase significantly in 2022. This construction boom has resulted in an array of options for investors. There are currently several types of real estate that are available for purchase in the area, such as hotels, office spaces, and retail properties.
In order to purchase real estate in Georgia, you need to have a passport. You can also use a power of attorney to authorize a real estate agent or a family member to close the deal for you. No taxes are charged on the sale or purchase of properties in the country.
Investing in real estate in Batumi is the best way to establish an additional source of income, especially amid the rising prices of properties in the area. You can easily rent out your property and earn a steady 7% annual profit. You can also sell your property for the price that you want to get the most out of it.
Due to the abundance of real estate deals in the area, finding the ideal property in Batumi is easy. The city has a well-developed infrastructure that allows all of its facilities and essential services to be easily accessible. This ensures that your property will be close to all of the area’s major attractions, such as schools, kindergartens, and supermarkets.
In addition, the cost of a square meter in new construction projects in Batumi is only $600, which is significantly lower than the average cost of a property in other areas. Also, buying pre-owned properties is very flexible.