Glossary
Real estate glossary
From avansi to white frame — every term of the Georgian property market, explained plainly.
- advance payment (avansi)
- A deposit paid before the main purchase agreement is signed. It locks the agreed price and takes the property off the market while paperwork completes.
- agent
- A licensed intermediary connecting buyers and sellers. On sivrce agents are verified and their ratings come from real closed deals. verified agents
- amortization schedule
- The payment plan of a mortgage where every monthly instalment is equal, while the split between interest and principal shifts over time. mortgage calculator
- apart-hotel unit
- A residential unit inside a hotel-type building, often registered as commercial space. Differs from a flat in legal status, utility tariffs and resale rules.
- appraisal
- A professional estimate of what a property is worth, required by banks before issuing a mortgage and useful for setting an honest asking price. free home valuation
- black frame
- A construction finish level: structure and service entries are ready but nothing else — walls, floors and fixtures are left to the buyer.
- cadastral value
- The government-assessed value a property is taxed on. It often lags the market price, so tax bills look low compared to real value.
- cadastre
- The public registry of land and buildings — ownership, boundaries and encumbrances. Always request an extract before any deal. cadastral map
- cap rate
- Net operating income divided by property value — the core investment yardstick. Higher means the investment pays for itself faster. free home valuation
- commercial property
- Real estate used for business: offices, retail, warehouses, cafés. Valued on income potential rather than comparable home sales. commercial spaces
- commission
- The agent's fee for closing a deal, usually a percentage of the price. sivrce never charges buyers a commission. verified agents
- condominium
- The association of owners in a building responsible for shared spaces — stairwells, roof, yard. Costs are split by ownership share.
- currency risk
- The exposure created when income and debt sit in different currencies — common in Georgia with USD mortgages funded by GEL salaries. exchange rates
- down payment
- The share of the purchase price a buyer pays from own funds; banks finance the rest. Typically 15–30% in Georgia.
- duplex
- A two-storey apartment connected by an internal staircase. More zoning and space, but the staircase area counts into the total square metres.
- effective interest rate
- A loan's true yearly cost including every fee and commission, always higher than the nominal headline rate.
- green frame
- A finish level one step above white frame: partitions, plaster and screeds done — ready for tiles, paint and kitchen installation.
- land plot
- A registered parcel of land with fixed boundaries and a designated use: residential, commercial or agricultural. Changing use requires a municipality decision. land plots
- lease
- Contracted use of a property for a fixed term in exchange for agreed payments. Leases longer than one year must be in writing.
- market value
- What comparable properties actually sell for on this street right now — distinct from asking price and from cadastral value. free home valuation
- net operating income
- Rental income minus running costs such as utilities, insurance and management. Cap rate is calculated on exactly this figure. free home valuation
- notary
- The state-authorised lawyer who certifies a transaction. In Georgia every real-estate purchase requires notarisation to be valid.
- off-plan (under construction)
- Property bought before completion, priced below ready units but carrying delivery-date risk. Check the developer track record first. new developments
- price per square metre
- Price divided by total area — the standard way to compare listings of different sizes and the base of every sivrce market statistic. market analytics
- property tax
- The annual tax on a property’s cadastral value, up to 1% for homes. Some physical persons are exempt depending on income status.
- rental deposit
- A tenant guarantee held by the landlord, usually one or two months of rent, returned at the end minus any damage costs.
- rental yield
- Annual rent divided by the purchase price, in percent. Typical gross yields in Tbilisi run 5–8%. free home valuation
- studio
- A single-room apartment where kitchen and living space share one zone — the most accessible format on the daily and investment market. daily rentals
- subletting
- Renting out a property you rent yourself. Requires the owner’s written consent; an unauthorised sublet breaches the lease.
- title (ownership right)
- The right to possess, use and dispose of property, proven by registration in the public registry. Until registered, a contract creates obligations — not ownership.
- white frame
- A finish level with utilities roughed in, walls plastered and floor screed laid — only furniture and sanitary ware remain to install.