Investing in capital real estate is one of the most reliable investments. We can secure our own future if we make wise, right decisions.

During the last 6-11 months, which coincides with the period of the Russian invasion of Ukraine and its consequences, the housing market in Tbilisi and Batumi has changed dramatically, the demand for real estate has practically doubled. The housing market, especially in the rental sector, was unprepared to meet the increased demand, which led to a shortage of rental apartments.

Due to these global and other micro factors, interest in real estate as an investment product has increased. However, no matter how attractive the future prospects of this or that project may seem at this time, real estate should be selected in accordance with our future plans before making a purchase.

• What is the purpose of buying real estate?
• What kind of apartment will bring us more profit?
• When is the best time to buy it?

Although real estate is generally considered a long-term investment, there are also short-term forms of investment that involve the resale of an apartment. In this case, we can buy an apartment under construction and sell it as a bargain immediately after the construction is finished, it is also possible to buy an apartment in an already completed residential building built in the Soviet period, renovate it and sell it at a higher price after a short time.

When we decide what type of investment we need - we want to resell, or we want to rent, then we should already start looking for a suitable apartment for us.

In the first case, when we are looking for an apartment for resale, at this time we can either buy an apartment in an old building or renovate it and then resell it.

The second option is to buy an apartment in a building under construction at the very first stage of construction (while the price of the apartment is relatively low) and then sell it at a higher price when the construction is completed.

If you are buying an apartment for rent, choose a residential complex based on its location. Remember that apartments located close to the metro station, public transport and necessary infrastructure are the easiest to rent, especially if your future tenants will be students or newly formed families.

If you want an apartment for tourists or just to rent to foreigners, then look for a space near the center, in an easily accessible area.

Also in the case of renting - choose a relatively small apartment. Statistically, one- or two-bedroom and studio apartments are the best for rent. Also keep in mind that when renting an apartment, it will need to be periodically repaired and updated, and a smaller apartment will be easier to arrange and maintain.

What to consider when buying an apartment in an old building?

When buying an apartment in a building built in the Soviet era, you can make a profit by renovating it and reselling it at a higher price after the renovation. On the other hand, an apartment in a building under construction will cost much less than in a building from the 60s and 70s. But every house has its pros and cons, which you should find out when choosing a particular apartment.

The main advantage of old Soviet-era buildings, or older ones, is the opportunity to choose. It is possible to buy an apartment even in an area where there are no new constructions at all and there is no place to build other houses. For example, in the historical part of Tbilisi, Mtatsminda, Sololaki and other nearby areas.

Thus, the investment will be profitable, both in buildings under construction and in the case of buying an old house. You should make a choice based on the parameters of the investment property and your individual requirements.