"It's better to invest in a mortgage than to throw money away on rent" — this phrase is often heard. However, with current prices in Tbilisi, the choice is no longer so simple. Let's see the real difference using a 50 m² apartment as an example and what remains beyond the table.
If you are looking for a place to live in Tbilisi right now, you are probably familiar with this dilemma: should you rent and maintain more freedom, or save up for a down payment and buy your own apartment? Renting requires a smaller initial amount; buying leaves you with ownership, but imposes a long-term obligation to the bank.
This question does not have one correct answer. So first, let’s look at the numbers, and then at four real listings from the Kalaki.ge catalog. The calculations below are a reference example and not an offer from a specific bank or financial advice.
First, the numbers: what does 50 m² equal at average prices?
According to TBC Capital’s July 2026 review, in Tbilisi:
- The average asking price for a sold apartment was $1,359/m²;
- The average rent for a residential apartment was $10.3/m² per month;
- The rental yield was 8.3%.
For a 50 m² apartment, this means:
| Indicator | Calculation | Result |
|---|---|---|
| Approximate price of the apartment | 50 × $1,359 | $67,950 |
| Approximate rent | 50 × $10.3 | $515/month |
| Price in GEL | $67,950 × 2.5982 | approximately 176,548 ₾ |
| Rent in GEL | $515 × 2.5982 | approximately 1,338 ₾/month |
The conversion to GEL uses the official exchange rate of the National Bank of Georgia, effective from October 17, 2026: 1 USD = 2.5982 GEL.
These two average indicators do not describe a specific apartment. The neighborhood, the age of the building, renovations, the floor, and the condition significantly affect the real price.
Four real examples from the catalog
The average price gives us a good starting point, but you cannot choose a residence based on average statistics. Below are four listings that are close in size to our 50 m² example and clearly show how the neighborhood, condition, and renovations affect the price.
For rent · Close to average
Ortachala, Laistis Street — $500/month
$500/month · 45 m² · 1 bedroom · Floor 3 / 12
This price is almost identical to our reference $515. The apartment is 45 m², located in a new building, and is rented furnished and equipped — meaning a large initial cost for moving is less likely. Check utility fees and agency terms before visiting.
For rent · Location affects price
Saburtalo, Mirotadzis Street — $700/month
$700/month · 50 m² · 1 bedroom · Floor 15 / 15
The area is exactly 50 m², but the rent is $185 higher than the city average. Here, the price is influenced by Saburtalo, the new building, and the fully furnished apartment. This is a good reminder: the average price is a starting point for the budget and not a guarantee for a specific neighborhood.
For sale · Renovation budget also needs to be considered
Didube, Bokhuas Street — $74,240
$74,240 · 46 m² · 1 bedroom · Floor 9 / 12
The price is high compared to our city average, and the area is slightly less. Additionally, the apartment is in ongoing construction and is sold in white frame condition. Therefore, you need to add renovation, furniture, and time to the purchase price before you can move in.
For sale · Neighborhood and building increase price
Saburtalo, Mindelis Street — $108,000
$108,000 · 54 m² · 1 bedroom · Floor 3 / 14
In this offer, the price per square meter is $2,000 — significantly higher than the city average of $1,359. The apartment is in a new building, but it is in white frame condition. Just calculating the mortgage payment here will not be enough: you will need a separate budget for renovation.
Important: Listings and prices are verified as of 19.10.2026. Availability and terms may change — please check the listing page again before contacting.
Now let’s look at mortgages
According to the National Bank of Georgia, in May 2026, the average interest rate on mortgage loans issued to households was 11.92%.
For calculations, we make the following assumptions:
- Apartment price — 176,548 ₾;
- Down payment — 20%, or approximately 35,310 ₾;
- Loan amount — approximately 141,238 ₾;
- Annual interest rate — 11.92%;
- Equal monthly payment;
- Interest rate remains unchanged throughout the term.
| Term | Estimated monthly payment | Total payment to the bank | Of which interest |
|---|---|---|---|
| 10 years | 2,020 ₾ | 242,380 ₾ | 101,142 ₾ |
| 15 years | 1,688 ₾ | 303,810 ₾ | 162,572 ₾ |
| 20 years | 1,547 ₾ | 371,348 ₾ | 230,110 ₾ |
The down payment is not included in the total payment shown in the table. Bank fees, insurance, appraisal, registration, renovation, and other costs are also not considered.
In the 20-year scenario, the monthly payment is approximately 209 ₾ higher than the estimated rent, or 16% more. However, this direct comparison does not give us the full picture: part of the mortgage payment reduces the principal loan amount, and the apartment remains the borrower’s property; while living in a rental, no ownership is accumulated.
Here is where the choice gets complicated
1. Down payment
When renting an apartment, a deposit and possibly an agency fee are usually required. In the case of buying, in our example, only a 20% down payment is 35,310 ₾. It is important to consider whether there will be any financial reserve left after paying this amount.
2. Real cost of the loan
11.92% is an average statistical figure. A specific bank’s offer depends on income, credit history, term, collateral, and other conditions. Compare not only the nominal but also the effective interest rate.
3. Additional costs
The buyer should separately consider:
- Property appraisal and registration;
- Bank fees and insurance;
- Renovation, furniture, and equipment;
- Building maintenance and ongoing repairs;
- Sales costs if changing apartments becomes necessary soon.
There are also costs associated with renting: deposit, possible agency fee, moving, and the risk of rent increases.
4. Exchange rate
In Tbilisi, property prices are often quoted in dollars, while income and mortgage payments may be in GEL. Changes in the exchange rate can affect both the down payment and the price of the apartment expressed in GEL.
5. Time horizon
If job, city, or family plans may change in the coming years, renting gives you more flexibility. Buying makes more sense when you plan to live in one apartment long-term and the one-time transaction costs are not spread over a short period.
When renting may be a more peaceful choice
Living in a rental often suits the situation better if:
- You do not have enough down payment and financial reserve;
- Your income is unstable;
- You are unsure how long you will stay in the city or neighborhood;
- You need the ability to change residences quickly;
- You do not want to take on the costs of renovation and property maintenance.
To compare options available in Tbilisi, see rental apartments.
When buying may make more sense
Buying has more justification if:
- You plan to live in one apartment long-term;
- You have an emergency reserve even after the down payment;
- Your income is stable and manageable even in difficult months;
- You are ready for additional costs and property maintenance;
- You have already compared bank conditions with several offers.
To see comparable prices, check apartments for sale in Tbilisi and also see what apartments cost in Tbilisi neighborhoods.
Before making a decision: 5 questions to ask yourself
- Compare apartments of similar condition and size in the same neighborhood.
- Ask the bank for a complete schedule and effective interest rate.
- Calculate payments not only today but also in case of a higher rate.
- Leave a financial reserve after the down payment.
- Consider how long you plan to live in this apartment and how easily you can sell it.
Short answer
In our 50 m² example, the rent is approximately 1,338 ₾/month, while the estimated payment for a 20-year mortgage with a 20% down payment is 1,547 ₾/month. The monthly difference is relatively small, but buying initially requires approximately 35,310 ₾ and additional costs.
Therefore, renting is often better for flexibility and lower initial costs; buying is more suitable for a long-term plan, stable income, and sufficient reserves.
Frequently asked questions
What is the average rent for a 50 m² apartment in Tbilisi?
According to TBC Capital’s average figures for July 2026, approximately $515 per month, or about 1,338 ₾ at the official exchange rate as of October 17, 2026. The price may vary significantly in a specific neighborhood.
How much is needed for a down payment?
If the reference price is 176,548 ₾ and we use a 20% down payment in the example, approximately 35,310 ₾ is needed. This is not a mandatory share for all banks — the actual requirement depends on the bank and the borrower’s conditions.
If the monthly mortgage payment is close to rent, is buying always better?
No. It is important to consider the down payment, interest, insurance, fees, renovation, maintenance, exchange rate, and how long you plan to live in the apartment.
What should I ask the bank when comparing offers?
The complete payment schedule, effective interest rate, all fees, insurance terms, and clarification on under what circumstances the rate or monthly payment may change.
Sources and data date
- TBC Capital, Tbilisi Residential Market: Monthly Watch, July 2026 data.
- National Bank of Georgia, Current Trends in Loans and Deposits, May 2026.
- Official exchange rate of the National Bank of Georgia, effective from October 17, 2026: 1 USD = 2.5982 GEL.
This article was prepared on October 19, 2026. Market prices, exchange rates, and banking conditions change — please verify current data and specific offers before making a decision.
