Tbilisi, the capital of Georgia, continues to stand out in 2025 as one of Europe’s most compelling property investment markets. Offering both strong rental yields and long-term capital growth, the city combines affordability, legal clarity, and macroeconomic stability—making it an ideal base for international buyers.
Unlike many emerging markets that deliver either yield or appreciation, Tbilisi is one of the few cities offering both—in a package supported by modern infrastructure, a foreigner-friendly system, and rising global demand.
Capital Growth in Tbilisi: What’s Driving It?
Capital growth is the increase in the value of your property over time—and in Tbilisi, several key trends are making this appreciation sustainable in 2025:
- Urban Infrastructure Boom: The city continues to renovate its metro lines, highways, and bridges, improving access and unlocking new investment zones.
- Gentrification in Central Districts: Areas like Chughureti, Avlabari, and Marjanishvili are undergoing major transformations, drawing younger residents, artists, and digital nomads.
- International Demand: Georgia’s growing global visibility, combined with its low cost of living and safety, is attracting both returning diaspora and foreign investors.
- Limited New Supply in Premium Areas: Neighborhoods like Mtatsminda and Vake have little buildable land, which restricts supply and holds prices firm.
TBC Capital reports that average residential property prices in Tbilisi rose 85% from 2018 to 2023. After a brief correction in early 2024, prices resumed their climb, with 2025 forecasts showing 6–10% appreciation citywide.
Rental Yields: Still Among the Best in Europe
Rental yield measures the return on investment based on rental income. Tbilisi consistently delivers some of the highest gross rental yields in Europe, supported by:
- Affordable Entry Prices: Most properties for investment start at $80,000–$100,000
- High Rental Demand: Driven by students, expats, digital nomads, and tourists
- No Rental Restrictions: Georgia allows full freedom for short- or long-term letting
- Airbnb-Friendly Environment: No bans or major regulatory burdens for hosts
2025 Gross Rental Yield Ranges by District:
| District | Yield Range |
| Saburtalo, Chughureti | 6–8% |
| Vake, Mtatsminda | 5–7% |
| Dighomi, Outskirts | 7–9% |
Even when factoring in taxes, vacancies, and property management costs, net yields in Tbilisi remain significantly above Western European averages.
Where Smart Investors Are Buying
Each district in Tbilisi offers a different risk-reward profile. Here’s where the smart money is going in 2025:
- Saburtalo: Well-located, affordable, and anchored by hospitals and universities. Reliable tenants and good price growth.
- Chughureti: Rapidly gentrifying with hip cafes and co-working spaces. Excellent for value growth.
- Vake: Upscale and stable, popular among diplomats and professionals. High prices, low volatility.
- Dighomi: New family-oriented developments with strong growth potential and solid rental income.
- Mtatsminda / Old Tbilisi: Historic, tourist-heavy, and unbeatable for Airbnb income. Capital appreciation limited by space constraints.
What’s Fueling the Market in 2025?
- Infrastructure Expansion: Government investment continues to push development into outer zones, increasing livability and future returns.
- Digital Nomad & Expat Demand: Georgia’s visa-free regime and “Remotely from Georgia” initiative keep foreign residents flowing in.
- Tourism Recovery: Visitor numbers have fully rebounded past 2019 levels, boosting short-term rental returns.
- Stable Currency & Inflation: The Georgian Lari remains resilient, thanks to policy from the National Bank of Georgia.
- Residency via Real Estate: Investing in property to the value of $150,000+ qualifies foreign buyers for temporary residency, making the market even more attractive.
How Georgia Compares to Other Markets
| Country | Barrier | Tbilisi Advantage |
| Portugal | High prices, foreign buyer taxes | Still affordable, no extra taxes |
| Turkey | Currency risk, ownership limits | Stable Lari, clear property laws |
| Romania/Bulgaria | Bureaucratic, slow capital flow | Simple, fast, investor-focused environment |
Investor Considerations
While the fundamentals are strong, it’s important to approach the market with local guidance. Key watch points:
- Legal Title Check: Not all listings are clean—ensure legal due diligence is done before transfer.
- Renovation Transparency: Many “renovated” flats hide underlying defects. Inspections are a must.
- Short-Term Market Saturation: Tourist-heavy zones can face Airbnb oversupply; location and professional management are critical.
How ExpatHub Helps Investors Buy Smart
ExpatHub offers a tailored Real Estate Purchase Assistance Service for foreign buyers in Georgia, including:
- District selection based on your investment profile
- Curated property shortlists
- Arranging and accompanying you on all viewings
- Seller/Owner negotiation
- Legal due diligence
- Legal contract review and title registration
- Residency support for qualifying property purchases
- Long-term management and rental strategy assistance
Final Word
In 2025, Tbilisi offers something few markets can: strong yield, real capital growth, and full ownership rights in a still-undervalued European capital. Whether you’re an income-seeking investor, a relocation-minded expat, or a global citizen looking for optionality—Tbilisi delivers on all fronts.
We guide you through the full investment journey, from first call to keys-in-hand.
Final Free Real Estate Consultation
Considering buying property in Georgia? We offer a free 30-minute consultation.
Our consultation is an information call, not a sales call. English language consultation only.
This consultation is available to everyone – even if you have had a free legal / tax / immigration consultation with us in the past.
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If you prefer to go it alone in the research and selection process, we still can assist with the essential due diligence legal work, as well as recommend our partner company Checkit.ge for your property inspections.
