15/01/2024

9 Reasons Why Buying Real Estate With Crypto In Georgia in 2024 Is A Good Decision

Welcome to the vibrant land of Georgia, where innovation and technology embrace a dance that captivates digital nomads and investors globally. With an open-minded approach to regulations and enticingly low taxes, Georgia stands tall as a crypto-friendly nation. In this article, we’ll delve into 9 compelling reasons why buying real estate with crypto in Georgia in 2024 is a decision worth considering.

1. Georgia Is a Crypto Haven for Businesses

Georgia’s crypto landscape isn’t fenced in by bans or heavy regulations. The National Bank of Georgia set the stage in July 2023, introducing a legal framework for cryptocurrency exchanges and digital asset service providers. To play in this space, businesses secure licenses and adhere to standards encompassing transparency, security, and consumer protection. Conversely, individuals face no restrictions in owning or trading cryptocurrencies, and notably, there is zero tax for owning and trading crypto in Georgia. 

2. Favourable Tax Politics

In the crypto haven of Georgia, individual traders bask in tax serenity. Trading cryptocurrencies incurs no tax for individuals. However, for the corporate crypto adventurers, a modest 15% tax awaits, accompanied by a 5% personal dividend tax. When exchanging crypto for Lari, there’s no VAT to dampen the spirits. And the Law from 2019 spells good news for residents – no capital gains tax on crypto since it’s not deemed a Georgian source of income, offering a sweet 0% for the tax-residents.

3. Residency—Effortless Acquisition

There are two ways you can obtain residency in Georgia:

  •  To spend at least 183 days in Georgia
  •  Or qualify as a high net worth individual with assets totaling 3,000,000 GEL or an annual income of at least 200,000 GEL for the past three years. To become a tax resident, high net worth individuals need a Georgian residence permit or an annual income from Georgian sources exceeding 20,000 GEL. Presence is key when applying for residency, and collecting the residency card requires a personal touch.

4. Simplified Banking

Opening bank account in Georgia is relatively easy, and you don’t need to have a residency to own a bank account. And while certain banks facilitate the process, others may impose specific criteria. Debit card issuance varies; some banks mandate in-person branch visits, while others may request additional paperwork. Utilizing a power of attorney, our partners can assist in opening both personal and company accounts.

5. Lucrative Rental Returns

The average gross rental yield in Georgia stands at 7.85% (Q1, 2024). Even with a slight dip from the 9.01% in Q3, 2023, this figure is quite impressive compared to many rental markets around the globe. South Africa, Puerto Rico, and Ireland lead the global list, and Georgia confidently takes the 4th position. This isn’t just about the numbers; it’s about the consistency and potential for growth in a market that’s only beginning to attract widespread investor interest.

6. Affordable Real Estate

Georgia proudly boasts some of the lowest property prices in Europe. While demand surpasses infrastructure, housing prices are on the rise. Yet, a one-bedroom apartment in the heart of Tbilisi can still be yours for around 100,000 EUR.

7. Buying Real Estate With Crypto In Georgia

Navigating Georgia’s property market is as flexible as it gets. Secure a property remotely with the assistance of a power of attorney. And while direct crypto transactions might raise eyebrows, the safer options involve exchanging crypto through banks or lawyers. Beware of Bitcoin ATMs, as they offer limited amounts with hefty fees. Our Georgian partners can help you buy property with crypto, ensuring a fast and hassle-free process aligned with Georgian laws.

8. Tech Embrace and Economic Flourish

Georgia proudly stands as a regional tech pioneer, fostering an economic landscape that welcomes innovation. The World Bank’s report highlights Georgia’s rapid growth compared to other upper-middle-income countries. With GNI per capita leaping from $3,048 in 2010 to $5,073 in 2022, Georgia becomes not only a tech hub but a place where starting a business is as easy as saying hello, thanks to minimal bureaucracy.

9. Beyond Finance—Culture Unleashed

Georgia isn’t just about financial opportunities; it’s a canvas painted with rich culture and breathtaking nature. Imagine majestic landscapes, towering mountains, warm-hearted locals, exquisite wine, delectable cuisine, and so much more. Beyond the numbers, Georgia is an affair waiting to happen. Don’t just take our word for it—come, explore, and fall in love.

In Conclusion:

The stars align in Georgia for those venturing into crypto-fueled property endeavors. With an environment ripe for foreign investments and tech enthusiasts, seize the moment! Yes, laws may change, but fear not. Let us connect you with pros who can navigate the ever-evolving landscape. Whether it’s an investment or a future home, let’s turn your crypto dreams into tangible Georgian reality. 

Reach out today, and let the adventure begin!