Investment and Property-Based Residence - Two Thresholds, One Appraiser and a Condition That Must Hold for Five Years
Property-based residence is the most popular route for foreigners in Georgia: a flat in Tbilisi or Batumi from 100,000 dollars gives a one-year renewable permit, and an investment from 300,000 dollars a five-year permit followed by permanent residence. The simple figures break down into three questions on which most refusals rest: who values the property and how (not the contract price), where the money came from (origin of funds) and what counts as "an investment in the Georgian economy". And a fourth question that arises at renewal: has the property or the investment been maintained throughout the term.
This page describes both grounds the way the agency tests them: the valuation rule and typical discrepancies, the origin of funds documents, the forms of investment (real estate, company capital, a business) and their conditions, the five-year obligations and the move to permanent residence, the status of family members and what happens when the flat is sold or the investment shrinks. Challenging a refusal and the other grounds have their own pages.
Updated · Practice area: Immigration lawyer
Property and Investment Residence - Figures, Terms and Conditions in One Table
Both routes can rest on the same flat - the difference is in value, term and what the agency demands at renewal.
Obtaining Residence Through Property or Investment - Stages Before the Purchase and After
Choosing the property with residence in mind
Before the purchase: the type of property (residential, commercial, under construction - in the last case residence requires registered ownership, not a preliminary contract), a preliminary market valuation, the co-ownership structure, encumbrances (a mortgage does not reduce value but raises questions). The lawyer brings in the residence appraiser before the purchase - so that a 100,000 contract does not become an 85,000 valuation.
Documenting the origin of funds
The agency and the bank check where the money came from: salary history, business income, a property sale abroad, an inheritance, a loan (a purchase with borrowed funds is allowed but must be documented). The transfer goes through a bank, not in cash - cash settlement makes proving origin harder. The lawyer builds the chain of documents from the foreign account to the Georgian registry.
The right form of purchase and registration
A sale notarised or registered directly with the registry, ownership in the applicant's name (not a company's, not a relative's), a registry extract showing encumbrances. On the investment ground - according to the form of investment: a capital contribution confirmed by the bank and the registry, a business acquisition by contract with a valuation of the assets.
The valuation report and the package
An accredited appraiser's report in the agency's format, recently dated; a criminal record certificate with apostille and translation; a health certificate if required; photograph, passport, fee. The lawyer aligns the validity of every document with the filing date - an expired report costs another appraiser and another 30 days.
The application and the agency's questions
Filing during lawful stay; the agency often asks follow-up questions - on the origin of funds, the valuation method, the actual condition of the property. The lawyer sends the answers in time and, where needed, prepares a supplementary valuation or a bank certificate. On investment residence the check is deeper and longer.
During the term - maintenance and renewal
The property owned and above the value threshold (a market fall makes a fresh valuation a refusal risk), the investment maintained and the turnover met, changes reported to the agency. The lawyer re-checks the conditions several months before renewal and, at the end of the five-year term, prepares the permanent residence application.
Which Property and Which Investment Count - and Which Do Not
For property-based residence, registered real estate in Georgia counts - a flat, a house, commercial premises, non-agricultural land - in the applicant's name, at a market value above the threshold. What does not count: agricultural land (restricted for foreigners anyway), a flat under construction held under a preliminary contract without registered ownership, property in a company's name (even where the applicant is the sole partner), property whose share does not reach the threshold on its own. The values of several objects are aggregated if all are owned by the applicant - two flats at 60,000 make one threshold.
For investment residence, "an investment in the Georgian economy" is defined broadly by law: real estate above the threshold, a contribution to a company's charter capital, the acquisition of an existing business, infrastructure and production assets. But the condition is twofold - the investment must be made and documented (not "planned"), and in the case of a business investment the company must show the statutory annual turnover linked to the amount invested. Money contributed to capital that sits idle in an account does not satisfy the turnover condition - and that is the typical reason investment residence is cancelled in the second or third year.
Valuation is central on both routes: the agency accepts an accredited appraiser's report but may question it where the value clearly departs from the market - a "convenient" valuation of 100,000 on a flat worth 70,000 in its district is a ground for refusal and for a check on the appraiser. The lawyer chooses the appraiser by reputation and checks the value against market data; a property close to the threshold should either be replaced by a more expensive one or topped up with a second object.
What Investment and Property Residence Rests On
- 100,000 dollars
- The minimum market value of real estate for short-term residence, in lari equivalent on the valuation date; a change in the exchange rate changes the value in lari and is recalculated at renewal.
- 300,000 dollars
- The minimum investment for investment residence; the investment must be maintained for five years, and for a business investment subject to an annual turnover condition that the law ties to the amount invested.
- Accredited appraiser
- Value is confirmed only by an accredited appraiser's report, by the market method, recently dated; the purchase price, the cadastral value or a bank valuation for a mortgage is not sufficient.
- Origin of funds
- The agency and the bank are entitled to request origin of funds documents - proof of income, sale, inheritance, loan; unconfirmed origin is a ground for refusal and for blocking the account.
- Maintenance obligation
- Selling the property or its value falling below the threshold leaves short-term residence without renewal; reducing the investment or missing the turnover cancels investment residence early. Replacement is possible - one property for another without a gap.
- Permanent residence for investors
- After five years of investment residence, with the investment maintained, a claim to permanent residence that no longer requires renewal; through short-term property residence the route to permanence is longer and depends on unbroken renewals.
What to Check Before Buying Property When the Goal Is Residence
- The type of property is eligible for residence (not agricultural land, not under construction without registered ownership) and ownership will be registered in the applicant's name.
- A preliminary valuation from an accredited appraiser above the threshold with a real margin (for market and exchange rate movements), not based on the contract price.
- Origin of funds documents are ready and the transfer will go through a bank - cash settlement breaks the chain of origin.
- No encumbrances, injunctions or disputed rights on the property in the registry; the seller's title is clean (see the separate page on checking a real estate purchase).
- On the investment ground: the form of investment will genuinely meet the turnover condition - a five-year business plan, not just a capital contribution.
- The list of family members and their documents - so that the family's applications are filed together with the main one.
Three Investment and Property Residence Cases
A flat at 110,000 valued at 88,000
A foreigner bought a flat in Batumi for 110,000 dollars and applied for residence; the valuation requested by the agency showed 88,000 - the developer's price was above market. The lawyer: a fresh valuation from another accredited appraiser (94,000 - still short), so the purchase of a second small object (a garage at 12,000) and an aggregate valuation of both properties above the threshold. Residence was granted on a new application in the last month of the visa-free period.
A capital investment that did not "turn over"
An investor contributed 300,000 dollars to a Georgian LLC's capital and received a five-year permit; at the end of the second year the agency opened cancellation proceedings - the company had no turnover and the money sat in the account. The lawyer: at the hearing stage a plan to build turnover and a transfer of part of the investment into commercial property (which carries no turnover condition), with notification of the change. No cancellation followed; the permit was preserved with a restructured investment.
A flat sold and continuity kept
A family on property residence wanted to sell their flat and buy a larger one, but there was a two-month gap between the two transactions. The lawyer: purchase and registration of the new flat before the sale of the old one (on a short-term loan), notification of the change to the agency with a new valuation, then the sale of the old flat. The ground for residence was not interrupted for a single day, and the count towards permanent residence was not broken.
Questions About Investment and Property Residence
I bought a flat for 100,000 dollars. Is residence guaranteed?
No - the agency does not accept the contract price; it needs an accredited appraiser's market valuation, which is often below the price, especially in new developments at the developer's price. Beyond that, the origin of funds, the criminal record certificate and the lawfulness of your stay are checked. The lawyer obtains the valuation before the purchase or before filing - if it is close to the threshold, a second object or a different flat is better than a refusal.
I want to buy the flat in a company's name for tax reasons. Will I still get residence?
For property-based residence - no: the property must be owned by the applicant as an individual. Property in a company's name may count on the investment ground if the investment in the company reaches 300,000 and the turnover condition is met - a different and stricter route. The lawyer weighs the tax and immigration goals together, because they often conflict.
The market has fallen and the flat is now worth 90,000. Will renewal be refused?
The risk is real - a fresh valuation is required at renewal and a value below the threshold is a ground for refusal. The solutions: adding a second object to make up the value, improving the property (renovation raises the valuation), moving to another ground (work, entrepreneur, family) or stepping up to the investment ground with additional investment. The lawyer builds in a margin for market and exchange rate risk from the start.
My 300,000-dollar investment is financed by a loan. Does it count?
It counts if the investment has actually been made and the origin of the funds (loan agreement, bank, terms) is documented - the law does not require own funds. But a loan that is repaid immediately after the investment (the investment "withdrawn") breaches the maintenance condition and is a ground for cancellation; the agency checks account movements. The lawyer aligns the loan structure with the five-year obligation.
Will I get permanent residence automatically after five years?
Not automatically - an application for permanent residence is filed with evidence that the investment was maintained and the five-year term was unbroken, and the agency runs the same check as on the first application, "security" included. Long absences during the five years, changes to the investment without notification or missed turnover break continuity. The lawyer carries out a full audit at the start of the fifth year so that the application goes in clean.
Lawyers for Investment and Property Residence
Residence through investment begins before the purchase - with the right object, the right appraiser and a chain of origin of funds - and demands maintenance for five years. 15 minutes after your request the coordinator connects you with a lawyer who regularly handles investors' and property owners' residence cases with the agency.
No published lawyers in this category yet
That does not mean we cannot help. Call us - we will match you with a specialist for a remote consultation or from a nearby city.
Call: 568 330 318Buying a Flat for Residence and Want the Valuation to Clear the Threshold?
At a free consultation the lawyer tells you whether your property counts, what valuation is realistic, which origin of funds documents you will need and whether the property or the investment route brings you to permanent residence faster. Complete the form and the coordinator rings you back within 15 minutes.