Rental yields in Georgia 2026: gross vs net explained

"What return will I get?" is the question we hear most often, and the one most often answered badly. Whenever you see a yield or ROI figure, check whether it is gross or net and what costs it includes. This guide gives you the latest independent averages for Batumi and Tbilisi, shows how to get from a gross yield to what you might actually keep, and walks through a worked example with every assumption visible. No return is guaranteed.

What gross yield means

Gross rental yield is one year's rent divided by the purchase price:

Gross yield = (monthly rent × 12) ÷ purchase price × 100

Global Property Guide (GPG), the independent benchmark we use, calculates it from median asking rents and median list prices on a leading Georgian property portal, for apartments by size and district.⁠^S13 Two consequences follow. The rents are monthly, long-term rents, not nightly holiday rates. And they are asking prices, which can differ from the price finally agreed.

The latest averages (Q3 2026)

GPG puts Georgia's average gross rental yield at 7.25% in Q3 2026, down from 7.42% in Q1 2026.⁠^S13

Gross yields, Global Property Guide, Q3 2026.⁠^S13

Smaller units tend to show higher gross yields, because rents don't fall in proportion to price. Location matters too. In Batumi, studio yields range from 5.90% on Rustaveli to 8.20% in the Airport district. In Tbilisi, they run from about 5% for 3-bedroom apartments in Vake to over 8% for studios in Didi Dighomi and Isani.⁠^S13

From gross to net

A gross yield ignores every cost. As a general rule of thumb, net yields are about 1.5–2 percentage points lower. This is GPG's general note, not a Georgia-specific figure.⁠^S13 These are the lines to deduct:

• Vacancy: weeks or months without a tenant or guest.
• Management: a manager's fee, usually a share of the rent collected. Holiday lets cost more to manage than long lets.
• Building costs: the service or maintenance charge, and utilities in empty months.
• Maintenance and replacement: repairs, appliances and furniture wear out, faster with holiday guests.
• Rental income tax: 5% of gross rent if you are registered for the residential-rental regime; otherwise 20% of net income⁠^S4.⁠^S6
• Property tax: none on buildings and apartments if your family's income in the previous calendar year did not exceed GEL 100,000. Above that, 0.8%–1% of market value a year. Land is taxed regardless of income⁠^S5.⁠^S20
• One-off costs, such as furnishing, which reduce your return in the first year.

Worked example: from 8.08% gross to net

Illustrative assumptions, not a forecast and not guaranteed. We start from GPG's Batumi medians for a 1-bedroom apartment (€69,800 purchase price, €470 monthly rent, 8.08% gross).⁠^S13 We then apply assumptions that you should replace with your own.

If the family's income in the previous year was above GEL 100,000, property tax at 0.8%–1% of market value (taken here as the purchase price) would cost about €558–698 a year, and the net yield would fall to about 4.35%–4.55%.

Here the gap between gross and net is about 2.7 points, wider than the 1.5–2-point rule of thumb, because of the assumptions chosen. That is the point of the exercise: the net figure depends on your costs, and small changes move it a lot. Furnishing, purchase costs and exchange-rate movements are not included.

Illustrative assumptions only. This is not a forecast for any property, not SPG's fee schedule and not a guarantee of rent, occupancy or return.

Short-let vs long-let

GPG's averages are built from monthly rents, so they describe long-term letting.⁠^S13 Short-term (nightly) letting can bring higher gross income in high season, especially in Batumi. It also brings:

• higher management and cleaning costs, and booking-platform commissions;
• more vacancy outside the season;
• faster wear on furniture and finishes;
• more work for whoever manages the unit.

Our sources don't publish a reliable average for short-let yields in Georgia, so we don't quote one. If someone shows you a short-let figure, ask for the nightly rate, the occupancy month by month and every cost line. Ask a tax adviser whether the 5% rental regime fits a short-term letting model.

Seasonality

Batumi is a Black Sea resort city, with a strong summer and quieter winters. Tbilisi has year-round demand from residents, companies, students and expatriates. A Batumi holiday let can earn most of its income in a few summer months, while a Tbilisi long let earns a steadier monthly rent. Model your income month by month, not as one annual number. Our comparison Batumi vs Tbilisi: where should you invest in 2026? covers both markets.

Reading "ROI" figures on listings

Developer and listing materials often show a projected ROI. On spg-realty.com, ROI and capital appreciation figures are projections based on developer and market data and are not guaranteed.⁠^S18 Before you rely on any projection, ask:

1. Is it gross or net? Which costs does it include?
2. Is it short-let or long-let, and what occupancy does it assume?
3. Is it calculated on the full price you pay, including furnishing?
4. If it is called "guaranteed" or "fixed", is there a written, enforceable guarantee from a solvent party?

How to model your return honestly

1. Start from a sourced benchmark, such as GPG's average for the city and the unit size.
2. Replace the median rent with a realistic rent for your building, view and finish.
3. Deduct every cost line above, including vacancy and tax.
4. Run a cautious case and a better case, not a single number.
5. Add furnishing and purchase costs to your first-year figures. See Property taxes and costs in Georgia for foreign owners.
6. Treat price growth as uncertain, not as part of your income.

How SPG helps

We study every project legally, financially and as an investment before we recommend it. If SPG manages your unit, you follow income and expenses on our rental-management platform.⁠^S18 Send us a unit and your assumptions, and we'll build a gross-to-net model with you that you can check line by line.

Want to model the net return on a unit? Message us on WhatsApp (+995 511 229 942). You can also read Batumi apartments for sale: a 2026 investor's guide or our FAQ on rental and returns.

General information only, not legal, tax or investment advice. Prices as listed on spg-realty.com in October 2026 and subject to change; laws and fees also change. Yields quoted are market averages, not forecasts for any specific unit; rental income and capital growth are not guaranteed. Confirm your situation, and any contract, with licensed professionals.