In an interview with BPN.ge, Shota Gujabidze assessed the state of Georgia’s real estate market, the conditions necessary for its growth, and the economic, political, and seasonal factors affecting market dynamics. He emphasized that sustainable development of the sector requires a stable economic environment, while both domestic and external developments, financial inflows from abroad, and tourism have a significant impact on the market.
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Georgia’s real estate market has grown significantly in recent years and is profitable. However, the sector also has several weaknesses. For example, during certain periods the market experiences uncontrolled growth or decline. For the real estate market to grow, it needs consistent, continuous, and stable conditions. This requires contributions from businesses, the government and developers, as well as buyers and the population in general, because economic growth occurs in a peaceful and stable environment where there is strong demand and interest. When problems arise either within the country, in neighboring states, or globally, they also affect Georgia’s real estate sector, since the industry is partly dependent on financial transfers from abroad and tourist flows.
The current situation in the real estate market is shaped by developments in the preceding period. I want to make it absolutely clear that I am not making political statements; I am providing a market assessment. During the winter period, there were, to some extent, politically challenging circumstances, the economic situation was also difficult, and this coincided with seasonal factors.
From spring onward, the market begins to move forward and the overall direction should be toward growth. For example, while the rental market was relatively subdued during the winter, it should now begin to improve. However, analysis of the current real estate market is based on developments observed in previous periods, and it is difficult to determine in advance what will happen in the near future because the external factors affecting the market are unpredictable.