How can a foreign citizen purchase real estate in Georgia in installments?

Published at 15/07/2020

The rules for getting installments are set by developers and apply equally to citizens of Georgia and citizens of other countries.

How can a foreign citizen purchase real estate in Georgia in installments? — Advices from experts and reviews of real estate on GEOLN.COM. Photo 1

Almost all construction companies offer installments on an interest-free basis. Usually installments are provided until the end of construction or until the house is put into operation. The amount of the initial payment varies from 20% to 50%, in agreement with the developer. The payment schedule is made individually with each buyer and is entered into the purchase and sale agreement.

Foreigners can get a mortgage loan from Georgian banks on an equal basis with Georgian citizens. But in practice, such loans are issued very reluctantly. In order to get a loan from a bank for the purchase of real estate, a foreign citizen must provide firm guarantees valid in Georgia – real estate, work or business in Georgia.

In addition, the bank will require to provide a guarantor for the loan, who must be a citizen of Georgia. Some large construction companies are willing to act as such a guarantor, thereby providing a loan to a foreigner to buy real estate in their projects. In contrast to 2-3 years of installments, this loan is issued for a period of 5 years.

Read more about the opportunities and advantages of purchasing real estate by a foreign citizen in our review "Georgia-why does it work?"

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Diana Kabakci

The leading expert of the real estate market in Georgia
Education: MBA
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