Tbilisi Property Surge: Sales Up 12.7% and New-Build Prices Jump 24% in 2025

Tbilisi market closes 2025 with a clear upswing

The real estate Georgia market in Tbilisi finished 2025 on a strong note, and the numbers explain why buyers and investors are talking. In December alone the city recorded 4,495 apartment transactions, a 12.7% increase year-on-year, while total market turnover rose 21.8% to roughly USD 350 million, according to Colliers Georgia data published on Recov.ge. These are not small shifts. They matter for pricing, negotiation power, and where capital will flow in the coming quarters.

This article breaks down the drivers behind the surge, which segments accelerated fastest, and what these moves mean for anyone looking at property investment, relocation, or buying a home in Tbilisi. We draw directly from Colliers Georgia figures and add practical, field-tested guidance for buyers and investors.

Headline numbers and what they mean

Colliers Georgia identifies new development projects as the main growth driver. Key facts from the December data are:

• 4,495 apartment transactions in December 2025, +12.7% year-on-year.
• Market turnover +21.8% to approximately USD 350 million.
• Transactions in new projects +15.4% versus December 2024.
• Primary market sales (newly built apartments) +10.4%.
• Secondary market transactions +24.3%.
• Transactions in older housing stock +2.9%.

What stands out is that turnover expanded faster than transaction volume. That tells us the average price per transaction is rising, not only that there are more deals. For buyers this means affordability pressure in the most active submarkets. For investors it implies higher entry valuations but also stronger asset appreciation in the short term.

Price dynamics by segment and location

Price movement was concentrated in new-build stock. Colliers reports weighted average price changes by segment and geography as follows:

• Newly constructed apartments: +9.5% in suburban areas, +17.9% in the city center, +21.5% in wider central districts.
• The sharpest increase came in the primary market of the wider center where prices rose +24%, reflecting developer pricing strategies.
• Older apartments: +12.3% in suburbs, +7.7% in the wider center, and -0.1% in the city center.

These numbers show a clear premium forming around modern new supply, and a divergence between the primary and secondary markets. The near-stability of secondhand central prices indicates a mature market there where demand and supply are better matched. In contrast, the wider centre and suburbs are where developers are raising prices and buyers are willing to pay for new finishes and contemporary layouts.

Why new projects are the main growth engine

Colliers attributes the uplift to new development projects. From a practical perspective there are several likely dynamics at work, and we have seen these play out in market cycles elsewhere:

• Developers responding to prolonged demand for contemporary apartments with amenities and efficient layouts. Buyers trade older stock for modern product.
• Revised pricing strategies by developers in the wider centre that lift primary market averages. Colliers singles out a 24% rise in this subsegment.
• A healthy transaction pipeline where both primary and secondary markets support higher turnover, with secondary sales posting a strong +24.3%.

For buyers this means competition is most intense for new units in growth corridors. For investors looking to flip or to secure rental income, timing and product selection have become more important than ever.

Who benefits and who should be cautious

From our market coverage and interviews with local brokers, the winners tend to be:

• Buyers who secured contracts before developers revised pricing and who can complete payments on schedule.
• Developers with completed stock or short completion timelines who can capitalise on higher asking prices.
• Investors focusing on new product in expanding central districts where modern supply attracts higher rents.

Risks include:

• Buyers entering at peak pricing without adequate due diligence on delivery timelines, construction quality, or legal title.
• Investors relying on short-term capital gains in segments that could soften if supply increases materially.
• Currency and macroeconomic shifts that affect local purchasing power and mortgage affordability.

We do not have Colliers breakdowns by buyer nationality, mortgage penetration, or supply pipeline in the December release, so those are the areas you need to probe when you consider a transaction.

Practical advice for buyers and investors

We advise our readers to treat the December data as both an opportunity and a red flag. Here are actionable steps we recommend.

Checklist for prospective buyers and investors:

• Verify developer credentials and past project delivery records before signing reservation agreements.
• Confirm legal status and clear title for the plot and the building, including permits and approvals.
• Ask for detailed payment schedules and penalty clauses for delayed completion.
• If buying to rent, request recent rental comparables in the precise micro-location rather than city-wide averages.
• Factor in currency exposure if your income or financing is in a currency other than the Georgian lari.
• Budget for taxes and transaction costs which can vary by buyer profile and property type.

From our reporting, negotiation remains possible on projects with unsold inventory, but on units that match market demand sellers will expect market pricing.

Developer pricing strategies explained

Developers raised prices in the wider centre by 24% on the primary market. This change is not merely arithmetic. It reflects strategic shifts such as:

• Repositioning of projects with upgraded specifications or amenity packages.
• Shorter completion horizons enabling faster revenue recognition and pricing power.
• Market-testing higher price points to capture a segment of buyers trading up from older stock.

If you are buying off-plan, inspect the specification list and compare usable area measurements rather than gross area metrics.