What is a bulk pre-sale purchase, and why is it growing?
A bulk purchase is a deal in which one investor buys several flats, a floor or a share of a building from a developer, usually before construction is finished and at a discount to the single-unit price list. In 2026 Georgian business media reported investors, mostly foreign, buying "packages of 30-50 apartments" at the pre-sale stage, with half of one 150-flat project sold this way within two or three months. The case for it is simple: the developer gets early cash and a large sale at once, and the investor gets a lower price and the hope of selling or letting at the market price on completion.
The case against is in the details: concentration in one building and one developer, tax that changes when buying and selling becomes a business, contracts that cannot always be resold, and a supply wave in Batumi that will compete with every unit you own. This explainer sets out what is known about the trend, the legal structure of a bulk deal, the tax position and the risks. For a single off-plan flat, see our guide to off-plan investment.
What the evidence shows
- Package deals. The founder of the Georgian Real Estate Association described packages of 30 to 50 flats and expected returns of "around 25-30%" over a short period; analysts quoted in the same reports warned that such claims may be isolated cases and put realistic rental yields at a few percent. The association also sells flats for developers, which is worth bearing in mind when reading the claim.
- Pre-sales are the norm. In Galt & Taggart's developer surveys, 72% of flats in Tbilisi projects due in 2026 and 74% in Batumi's had been sold before completion; in Tbilisi projects completed in 2025, 94% of flats were sold, most through developers' in-house instalment plans.
- Batumi is investor-led. The National Bank reported that nearly 40% of Batumi's housing demand came from non-residents in June 2025, while about 90% of Tbilisi demand came from residents, and a business magazine put investors' share of Batumi sales at 60-70%.
- Investment demand has a reason. The National Bank noted in 2025 that property remained an attractive investment because the gap between dollar deposit rates and property returns stayed around 6 percentage points.
We found no official statistic on how many buyers purchase more than one unit, so the size of the trend rests on market participants' reports.
Why developers sell in bulk
Developers in Georgia finance construction largely with buyers' payments and bank loans, and the National Bank's 2024 report recorded that construction-related loans had reached 38% of bank lending by June 2024, with loans to developers growing quickly. A bulk sale brings a large payment early, reduces marketing costs and fills a building's sales list, which supports the developer's own financing. The discount you receive is the price of taking over part of that risk: if the project is delayed or the market softens, you carry it on several units instead of one.
How a bulk deal is structured
| Step | What the law requires |
|---|---|
| The contract | Written form, for the main contract and for a preliminary one; one contract can cover several units, each identified |
| Protecting each unit | Preliminary registration of the right, or a registered obligation to transfer a future unit, for each unit separately |
| Before the building exists | An obligation to transfer a future unit can be registered only once the plot has its land-use conditions for construction |
| Selling a unit later | A unit can be sold only after it is registered as a separate object |
| Ownership | Passes on registration of each unit in the buyer's name |
While a preliminary registration stands, no other right can be registered on that unit on the basis of a transaction, which is the main protection against the same flat being sold twice. Whether the registry accepts one application for many units, and how the fees apply, should be checked before signing. Our guide to the developer contract lists the clauses each unit needs.
Reselling a contract before completion
Many bulk buyers plan to sell some units before completion. Georgian law allows a buyer to assign the claim to a flat without the developer's consent, unless the contract or the nature of the obligation rules it out, and a contract may ban assignment only if the developer has a valid interest. The unpaid instalments are another matter: passing on a debt needs the creditor's consent, so a part-paid contract in practice cannot be resold without the developer's agreement. Sureties and pledges that secure the developer's claim can also fall away when the debt moves. Write the right to resell, and any fee for it, into the contract at the start.
Tax: when investing becomes a business
For an individual, the sale of a home is taxed lightly: the gain is exempt after more than two years of ownership and taxed at 5% before that. Those rules are for "residential apartments", and the Minister of Finance's Public Ruling No 143 of 14 May 2026 draws two lines that matter for bulk buyers.
- An unfinished flat can count as residential. A unit under construction is treated as a residential apartment if, at the time of sale, it is residential by design and purpose and the buyer receives all the basic rights needed to live in it, completed or not.
- A resold contract does not. Selling a right to buy acquired under a preliminary contract is a supply of a property right, not the sale of a flat, so the 5% rate and the two-year home exemption do not apply; the general rate of 20% applies unless the asset was held for more than two years and not used in economic activity.
- Business activity. The Tax Code treats any activity carried out to gain income as economic activity. Ruling No 175 of June 2026 added that owning several homes, or holding them for a long time, does not by itself make an owner a business; systematic, organised sales such as development or real estate trading do.
VAT follows its own logic. A one-off or occasional sale is not an economic activity for VAT, but repeated sales can be, and a person whose VAT-taxable supplies pass GEL 100,000 in any 12 months must register within 2 business days and charge 18%. The Code exempts supplies of land, and we found no general exemption for residential flats. A company that buys in bulk pays profit tax of 15%, mainly when it distributes profit.
To be added by the team: the partner accountant to confirm when a bulk buyer's sales become business activity, the VAT position of selling several residential units, and how the two-year period is counted for an off-plan unit.
Financing several units
The National Bank's lending rules count all of a borrower's loans when checking the payment-to-income limit, so every additional mortgage reduces the room for the next. For a loan to buy property for letting, rental income can count only up to the bank's own debt-service standard, and the rest must fit the payment-to-income limits. The limits do not apply to loans for business purposes or to borrowers whose total loans exceed GEL 1,000,000, although the bank still assesses solvency. Since 1 July 2026, borrowers who are not Georgian citizens are among those exempt from the rule that loans up to GEL 1,000,000 must be in lari. Most bulk buyers pay from their own funds or through the developer's instalment plan.
The risks, with numbers
- Completion. The Center Point collapse left 6,158 families, by a 2013 count, waiting for flats they had paid for; in July 2026 the city said 433 families on one site were still waiting.
- Supply in Batumi. Galt & Taggart expects about 58,000 new units in Batumi in 2025-2029, nearly 80% of them for short stays, and its scenarios for daily-rental yields in 2029 run from 3.4% to 7.4%.
- Resale competition. On completion you sell against the developer's unsold flats, often on easier payment terms than you can offer.
- Developer finance. The National Bank has flagged developers' in-house instalment plans and fast-growing developer loans as factors in real estate market risk, and the IMF called developer borrowing a risk to monitor, though not systemic.
- Concentration. Several units in one building share one developer, one completion date and one set of neighbours.
Checks before a bulk deal
Check the developer's record
Completed buildings, delays, disputes and the registry status of the plot.
Check the permit and the project's status
Tbilisi's public map shows approved buildings and suspended sites.
Price each unit
Compare the package price with the current price list and with finished flats nearby.
Register every unit
A preliminary registration or registered obligation for each unit.
Settle resale and tax in advance
A written right to resell, its fee, and an accountant's view on business activity and VAT.
Plan the exit
Who will buy or rent each unit, and in competition with how many others.
Our developer checklist covers the first two steps in detail.
Risks and exceptions
- Return claims. Figures of 25-30% in a short period come from parties who sell the units.
- A resold contract taxed at 20%. The home-sale rules do not cover it.
- Business status. Systematic trading changes income tax and can bring VAT.
- No resale right. Without the developer's consent a part-paid contract cannot be passed on.
- One building, one developer. A delay hits every unit at once.
Frequently asked questions
Is buying flats in bulk common in Georgia?
Market participants report package deals of 30 to 50 flats in 2026, but no official statistic exists.
How much discount can I get?
No published data; compare the package price unit by unit with the price list.
Is the sale of an off-plan flat taxed like a home?
An unfinished unit can count as a home, but reselling a right under a preliminary contract is taxed under the general rules.
Can I resell my contract before completion?
You can assign your claim, but passing on unpaid instalments needs the developer's consent.
Do I have to register for VAT?
If your VAT-taxable supplies pass GEL 100,000 in 12 months; ask an accountant whether your sales count.
Can I get several mortgages?
Each loan counts against the payment-to-income limit; most bulk buyers use their own funds or instalments.
What is the biggest risk?
Completion: several units in one project share one developer and one delay.
Is Batumi oversupplied?
Galt & Taggart expects about 58,000 new units in 2025-2029, most for short stays.
Sources
- Investors in Georgia are buying apartment packages, International Investment (accessed 18 October 2026)
- Georgia's residential real estate market: trends, challenges and prospects, Investor.ge (accessed 18 October 2026)
- Financial Stability Report 2024, National Bank of Georgia (accessed 18 October 2026)
- Financial Stability Report 2025 (draft English translation), National Bank of Georgia (accessed 18 October 2026)
- IMF staff concludes visit to Georgia, December 2025, International Monetary Fund (accessed 18 October 2026)
- Tbilisi Residential Real Estate, 2025 Full Year Overview, Galt & Taggart (accessed 18 October 2026)
- Construction sector in Georgia slows down (Galt & Taggart data), International Investment (accessed 18 October 2026)
- Swindling homebuyers in Georgia, The Moscow Times (accessed 18 October 2026)
- Marijani Street construction company fined after slope collapse, Georgia Today (accessed 18 October 2026)
- Public Ruling No 143 of the Minister of Finance, 14 May 2026, Legislative Herald of Georgia (accessed 18 October 2026)
- Public Ruling No 175 of the Minister of Finance, 8 June 2026, Legislative Herald of Georgia (accessed 18 October 2026)
- Tax Code of Georgia (Articles 9, 81, 82, 98, 158, 165, 166, 171), Legislative Herald of Georgia (accessed 18 October 2026)
- Civil Code of Georgia (Articles 183, 199-206, 323, 327), Legislative Herald of Georgia (accessed 18 October 2026)
- Law of Georgia on the Public Registry (Articles 12, 15-6), Legislative Herald of Georgia (accessed 18 October 2026)
- PTI and LTV requirements, National Bank of Georgia (accessed 18 October 2026)
Change log
- - Explainer published from Galt & Taggart, National Bank and IMF reports, Public Rulings 143 and 175, the Tax Code, the Civil Code and the Law on the Public Registry.