Rental yield in Batumi and Tbilisi: what you can realistically earn

Two different strategies: Batumi is short-term resort rental with a high but seasonal yield; Tbilisi is long-term rental with a lower but steady one. The figures below are market benchmarks as of publication, not a guarantee.

Batumi: short-term

• A seaside studio rents for $40–70 a night in summer, a one-bedroom for $60–100. High season is June–September, shoulders are May and October.
• Average annual occupancy is 45–60 % with good management. In winter units rent monthly for $300–500.
• Gross yield is 8–12 % a year on the off-plan price; after management (20–30 % of revenue), utilities, the 5 % tax and wear, 5–8 % net.
• Key factors: the first line and a sea view, hotel management in the complex, full furnishing. See new builds by the sea.

Tbilisi: long-term

• A studio in Saburtalo or Vake — $400–600 a month, a one-bedroom — $600–900, a two-bedroom in Vake — $1,000–1,500.
• Occupancy is close to 100 %: a tenant change every year or two. Demand comes from students, IT specialists, relocated professionals and diplomats.
• Gross yield 6–9 %, net 5–7 %: management is cheaper (or unnecessary), furnishing simpler.

What eats the yield

1. Downtime at the start: the first 2–3 months after completion go to finishing, furniture and listing.
2. The management company: 20–30 % of revenue in resort complexes.
3. Complex maintenance: $0.5–2 per m² a month — significant in projects with pools and SPA.
4. The 5 % rental tax if registered; 20 % if not.

How to calculate

Take the purchase price including finishing and furniture, estimate revenue at conservative occupancy (Batumi 45 %, Tbilisi 90 %), subtract the four items above. If the result is below 5 % net, you are buying for capital growth rather than rent — also a strategy, but a different one. Completed buildings earn from day one — see completed developments.