Despite the problems, the average rental yield in the Batumi real estate market remains high (8.8%), and prices for apartments and houses continue to rise, albeit at a much slower pace.
- Housing sales in new buildings decreased by 42.7% in 2024. These data were obtained based on a survey of eight major developers in Batumi.
- Sales of apartments on the secondary market decreased not so significantly - by 3.1% year-on-year to 6587 units.
The largest decrease in the number of transactions took place in Kobuleti (26.5%). The exception to the general trend were the districts of Novy Boulevard and Gonio-Kvariati, where sales increased (by 1.5 and 9.7%, respectively).
Despite the decrease in sales, the price increase continued, although its pace slowed. Housing in the primary market rose in price by 11.4% year-on-year, new apartments in the secondary market by 5.6%.
The report notes that last year the share of the local population among those who purchase real estate continued to decline, amounting to 16%. In addition, the share of Russian buyers also decreased slightly (20% in 2023 versus 18% in 2024), while the share of Israeli investors, on the contrary, increased (7% versus 10%).
The volume of real estate sales in Batumi reached USD 977.5 million in 2024, an increase of 4.1% year-on-year, despite a decrease in the number of transactions.Analysts expect prices to stabilize at current levels in 2025, and rental yields will gradually begin to decline, unless there is a significant increase in the number of tourists renting these apartments.
Source: Galt & Taggart
