Property valuation: a signed opinion of value, built on a stated basis and date
Property valuation (შეფასება) is the process in which a valuer estimates what a property is worth on a stated basis, usually market value, as at a named date, and records the figure with its method and evidence in a signed valuation report.
We found no general statute on valuation in Georgia. The nearest thing is Article 28(8) of the Law on Accounting, Reporting and Auditing of 8 June 2016 (Matsne), which ordered a draft valuation law and set interim rules until it takes effect. The rest depends on the purpose: banks follow National Bank Order No 84/04 of 14 May 2018, and a residence permit needs a certified valuer from a body accredited by the Accreditation Centre (Aliens Law Art. 15(j)).
If you know valuers licensed by a state regulator at home, do not look for that licence here: the right to sign comes from certification by an accredited body. The figure is one valuer's opinion on one date, not the price paid or asked. The basis itself is explained under market value.
The valuation law ordered in 2016 that we could not find adopted
Article 28(8) aimed to separate audit from valuation. Its original deadline for a draft law on valuation activity (საშემფასებლო საქმიანობა) was 31 December 2017; Law No 1734 of 14 December 2017 moved it to 31 December 2018, and Law No 4109 of 22 December 2018 (Matsne) to 1 July 2019. The paragraph is still printed in the consolidated version of 1 April 2026.
We found no adopted law on valuation activity on Matsne or the web by 1 November 2026, though we cannot rule one out. A USAID-funded cost-benefit study of a draft "law on valuation regulation" was listed from June 2023; its outcome is unknown. Meanwhile, these interim rules apply.
| Point | What it provides |
|---|---|
| (a) Oversight | The Accreditation Centre accredits and monitors bodies that certify valuers |
| (b) Standards | Accredited bodies that are IVSC members make the International Valuation Standards available in Georgian |
| (c) Who may sign | Only an entity employing a certified valuer may provide valuation services; only a certified valuer may sign the report (შეფასების ანგარიშზე/დასკვნაზე ხელის მოწერის უფლება) |
| (d) Quality | Certification bodies monitor valuers' education, ethics and work |
Two layers of credentials: the accredited firm and the certified person
The Accreditation Centre (GAC), founded in 2005 and a full ILAC member since 2022, accredits valuation firms as inspection bodies under ISO/IEC 17020 and bodies that certify individual valuers under ISO/IEC 17024, following its rules SAK 1.7:2020 and SAK 1.5:2020 (Matsne). A permit report needs both layers; checking them is covered in our guide to the accredited valuation for a residence permit.
We found no professional body with a statutory licensing role. The Independent Valuers Society of Georgia, founded on 26 April 2013, has been a TEGoVA associate member since October 2014; on 1 November 2026 TEGoVA listed it with 78 direct members, 54 of them qualified valuers. The IVSC lists another group, the Expertise Institute for Valuation of Assets of Georgia, as a valuation professional organisation. SARAS supervises auditors and accountants, not valuers.
Why the figure is needed decides which rules apply
| Purpose | Who values | Rule |
|---|---|---|
| Residence permit, D5 visa | Certified valuer, GAC-accredited body | Art. 15(j); no new valuation on extension for the same property, Art. 16(3); the same for a D5 visa extension, Art. 9(1), from 1 September 2026 (Law No 1803) |
| Bank loan | Internal or external valuer | Order No 84/04, whatever the value |
| Tax residence, high net worth | Not specified | Market valuation as at the application date |
| Enforcement auction | Inventory or valuation | Either party may submit an expert valuation under 6 months old, Art. 47 |
| Expropriation | Independent expert | Owner may hire other experts; court decides disputes |
| Privatisation | Municipality's valuer | Sets the starting price |
Under the Expropriation Law, the property is valued "with the assistance of an independent expert" before negotiations (Art. 6), and the expropriator bears the valuation costs (Art. 10); the 2026 Tbilisi heritage-zone buyout used the National Bureau of Forensic Expertise. Auction starting prices are covered in buying at auction.
Order No 84/04: the most detailed valuation rules in Georgia
NBG President Order No 84/04, the instruction on real estate valuation for commercial banks (Matsne), took effect on 1 June 2018 (microbanks: Order No 118/04 of 2023) and defers to the International Valuation Standards where silent. We read the consolidated text as amended up to Order No 159/04 of 30 June 2025, which includes the 2020 and 2023 changes.
- Valuer: a professional, internal or external, whatever the value (Art. 1(7)), giving a "competent, independent and impartial" opinion (Art. 2(გ)).
- Independence: conflicts disclosed in writing first (Art. 3(2)); fee not linked to the value (Art. 3(3)); an external valuer for related-party loans and bank-owned property (Art. 4(8)).
- Comparables: at least three, kept for the National Bank; one adjustment up to 15% either way, all together up to 25%, or 35% with a justification (Art. 4(5)).
- Revaluation: on triggers, such as an increased or restructured loan a year or more after the last valuation (two years for loans in the lowest credit-risk category), and every 3 years for bank-owned property (Art. 4(7)).
The order requires no certification and no rotation of valuers, so a mortgage valuation is not a permit report; see the mortgage for foreigners.
| Period | Rule |
|---|---|
| From 1 June 2018 | A valuer's assistant only for loans up to GEL 80,000 |
| Order No 70/04, applied by 1 June 2025 | Up to GEL 150,000, the bank's authorised person; above it, the responsible valuer |
| Order No 159/04, from 1 July 2025 | The line moves to GEL 200,000, adding up loans from one bank on one property |
Every initial valuation needs a visit with photographs (Art. 4(2)); if the area differs from the registry, the valuer is advised to ask for a surveyor's measurement drawing and an updated extract.
Inside a Georgian valuation report
The heading reads "უძრავი ქონების შეფასების ანგარიში" (real estate valuation report) or "შეფასების დასკვნა" (valuation opinion). A 2020 report published by Baghdati municipality, written to set a starting privatisation value, shows the usual structure:
- Valuer's statement: International Valuation Standards (2017 edition) followed, no personal interest, fee independent of the result, property inspected in person.
- Purpose: one line, here "საწყისი საპრივატიზებო ღირებულების განსაზღვრის მიზნით".
- Then: certificate, limiting conditions and assumptions, main facts.
- Method: the market approach (საბაზრო მიდგომა), with 3 comparables per object.
An audit firm quoting SARAS registration numbers wrote it: the overlap Article 28(8) targets. For bank reports, Art. 4(6) of Order No 84/04 requires the valuation date, the physical and legal description with the extract data, dated inspection photos, calculations for each method used, preferably more than one, the comparables, the valuer's signature, which may be electronic, and the assumptions.
The standards name three approaches: market, income and cost (შემოსავლების and დანახარჯების მიხედვით მიდგომა for the last two). Comparables are easiest to line up by price per square metre, and the cadastral code in the report must match the extract.
Worked example: how far a bank valuer may adjust a comparable
A foreign buyer takes a GEL 180,000 mortgage, and one comparable in the bank's report is a flat offered at GEL 4,000 per m². Both figures are illustrative inputs.
| Limit | Adjusted range |
|---|---|
| One adjustment, 15% | GEL 3,400 to 4,600 per m² |
| All adjustments, 25% | GEL 3,000 to 5,000 per m² |
| With written justification, 35% | GEL 2,600 to 5,400 per m² |
Two more comparables go through the same limits before the valuer reconciles them into one figure. As for the visit: under Order No 70/04 a GEL 180,000 credit was above the GEL 150,000 line, so the responsible valuer had to come; since 1 July 2025 it is below GEL 200,000, and the bank's authorised person may inspect instead. The mortgage entry covers the security itself.
Valuation, survey, broker estimate or normative price?
| Term | What it is | Why it is not a valuation |
|---|---|---|
| Survey (აზომვა) | Measurement drawing by a certified surveyor | Fixes area and boundaries; Order No 84/04 defines the surveyor separately |
| Technical expert report | Opinion on condition or seismic safety | Judges condition, not worth |
| Broker estimate | Agent's opinion or unofficial "partial appraisal" | No certified signature, so it fails Art. 15(j) |
| Normative land price | Formula price; Telavi 2026: GEL 330.72, 127.20 and 57.24 per m² by zone | Coefficients, no inspection |
| Price index | Geostat index from asking prices on myhome.ge and ss.ge | A market statistic, not one property |
Revaluation (გადაფასება for banks, ხელახალი შეფასება in the Aliens Law) repeats the process; permit holders keeping the same property are spared it.
Valuation, valuer and report in five languages
| Language | Property valuation | Certified valuer | Valuation report |
|---|---|---|---|
| Georgian | შეფასება (უძრავი ქონების შეფასება) | სერტიფიცირებული შემფასებელი | შეფასების დასკვნა / ანგარიში |
| English | property valuation | certified valuer | valuation report |
| Russian | оценка недвижимости | сертифицированный оценщик | отчёт об оценке |
| Hebrew | שמאות מקרקעין (הערכת שווי) | שמאי | דוח שמאות |
| Arabic | التثمين العقاري | مثمّن معتمد | تقرير التثمين |
Georgian bank documents write უძრავი ქონების შეფასება, and the Aliens Law says სერტიფიცირებული შემფასებელი.
Mistakes buyers make with valuations
- Treating the bank's report as yours. It is addressed to the bank, and Order No 84/04 does not require a certified valuer.
- Asking for a target figure. A valuer who agrees a number in advance is no longer independent.
- Ignoring the date. Enforcement accepts an expert valuation only if under 6 months old.
- Reading a listing as a valuation. Geostat itself calls listing prices offer prices.
- Expecting a price list. We found none; each firm quotes its own fee.
To be added by the team: scans for the team to add: the first page of a redacted report (heading, purpose, valuation date), a redacted comparables table, and the signature block with certification and accreditation details. Remove names, personal numbers and e-mail addresses.
Checking a valuation report line by line
Find the purpose
Permit, bank, court or tax, stated in one line.
Check who signed
A certified valuer inside an accredited firm.
Compare it with the extract
Cadastral code, address, area and owner.
Count the comparables
Three or more, each with its source.
Look at the adjustments
Large totals need a written reason.
Read the assumptions
They limit what the figure promises.
Frequently asked questions
Is there a law on property valuation in Georgia?
We found no adopted law; Art. 28(8) ordered the Government to draft one by 1 July 2019 and sets interim rules.
Who may sign a valuation report?
A valuer certified by an accredited certification body (Art. 28(8)).
Which standards apply?
The International Valuation Standards, on which Order No 84/04 is based.
How many comparables does a bank need?
At least three, unless the report justifies fewer (Art. 4(5)).
Does the bank's valuer visit?
Above GEL 200,000 of credit, yes; up to that amount, the bank's authorised person may inspect.
Does a bank valuation work for a residence permit?
Not automatically: the permit needs a certified valuer of an accredited body.
How long does it take?
Usually 2 to 3 days, says PB Services; MyHome.ge claims about 24 hours after the visit.
What does it cost?
There is no public tariff; each firm quotes its own fee.
Sources
- Law on Accounting, Reporting and Auditing, Art. 28(8), 1 April 2026, and English text of 2017, Matsne (accessed 1 November 2026)
- Law No 4109 of 22 December 2018, Matsne (accessed 1 November 2026)
- Law on valuation regulation study, USAID listing, DevelopmentAid (accessed 1 November 2026)
- SAK 1.5:2020 and SAK 1.7:2020, Accreditation Centre, and ILAC welcomes GAC (accessed 1 November 2026)
- Independent Valuers Society of Georgia, TEGoVA, and Expertise Institute profile, IVSC (accessed 1 November 2026)
- NBG Order No 84/04 of 14 May 2018, consolidated text of 30 June 2025, and Order No 118/04 (accessed 1 November 2026)
- NBG Orders No 70/04 and No 159/04 of 2025 (accessed 1 November 2026)
- IVS exposure draft, IVS 103, IVSC (accessed 1 November 2026)
- Aliens Law, Arts. 15(j) and 16(3), and residence permits, Public Service Development Agency
- Expropriation Law, Arts. 6 to 10, and Enforcement Law, Art. 47
- Valuation report No 248 of 13 October 2020, Baghdati municipality (accessed 1 November 2026)
- Valuation process, PB Services, 15 September 2026, and MyHome services, MyHome.ge, October 2025
- Telavi Resolution No 06 of 27 February 2026 and price index release, Geostat, 23 July 2026 (accessed 1 November 2026)
Change log
- - Glossary entry published from the Law on Accounting, Reporting and Auditing, NBG Orders No 84/04, 70/04 and 159/04, the Aliens Law, the Expropriation Law, the Enforcement Law, the Accreditation Centre, TEGoVA, the IVSC, a Baghdati municipality valuation report, PB Services, MyHome.ge, Telavi Municipality and Geostat.