If you live outside Georgia, the fee is rarely the real issue. The real issue is what happens at 11:30 pm when a tenant messages about no hot water, or when rent is two weeks late and the excuses start. In Tbilisi, property management fees are basically your insurance policy against small operational problems turning into expensive vacancies, damaged units, and endless back-and-forth.
This is what owners actually need to know about tbilisi property management fees: what you’re paying for, what you’re not paying for, what “cheap” can quietly cost you, and how to structure a fee agreement that protects your returns.
What tbilisi property management fees usually cover
Most owners focus on the percentage number. The smarter question is, “Which responsibilities does this team actually own end-to-end?” Real management is not advice. It is execution, documentation, and follow-through.
In Tbilisi, a standard monthly management fee typically covers the ongoing landlord workload: rent collection, tenant communication, issue triage, maintenance coordination, and keeping the lease relationship stable so the unit stays occupied. It should also include basic reporting so you can see, from abroad, what happened this month and why.
A serious manager is also protecting the asset, not just relaying messages. That means pushing back on unreasonable tenant demands, enforcing lease terms consistently, and catching early warning signs before they become major repairs or legal disputes. If the manager’s process is basically “forward the tenant’s message to the owner,” you are not buying management. You are buying a chat relay.
“Included” is only meaningful if response and authority are clear
Two firms can claim they both “handle maintenance,” while one only sends you a WhatsApp message and waits for approval on every step, and the other has clear authority to dispatch vendors, supervise the repair, document before-and-after condition, and keep the tenant calm.
When you compare fees, ask how decisions get made. Do they have spending thresholds pre-approved? Do they keep vendor pricing disciplined? Do they do post-repair checks? The monthly fee is not just for time. It is for operational control.
The most common fee structures you’ll see in Tbilisi
Fee structures in Georgia can vary by building type, tenant profile, and whether the unit is aimed at long-term renters or short-term stays. Long-term is usually the cleanest for hands-off owners who want predictable cash flow.
Most management agreements in Tbilisi are built around a recurring monthly management fee, often calculated as a percentage of collected rent. Some firms quote a flat monthly amount instead. Percentage-based pricing aligns incentives if it’s paired with strong tenant retention and rent discipline, but it also creates room for confusion if the definition of “rent collected” is not written clearly.
You want to see exactly what triggers fees and when. If a tenant pays late, is the manager still charging the management fee immediately, or only when rent is actually received? If rent is discounted for a renewal, does the manager discuss the trade-off with you first? These details matter more than the headline rate.
Leasing fees: where owners get surprised
In Tbilisi, the leasing moment is where the workload spikes and where many firms make their money. Leasing is not “posting a listing.” It’s lead handling, showing coordination, screening, lease drafting, deposit collection, move-in inspection documentation, and setting expectations with the tenant so month two does not become a negotiation.
Because leasing is a heavy lift, many managers charge a separate leasing fee. Sometimes it’s a percentage of one month’s rent or a fixed amount. That can be fair – if the screening is real and the documentation is tight.
If the leasing fee exists, ask what “tenant qualification” means in practice. Do they verify employment and income? Do they check prior landlord references when available? Do they enforce a consistent deposit policy? A weak screening process looks cheap up front and becomes expensive later through missed rent, unit damage, and eviction risk.
Maintenance coordination: included coordination is not the same as included repairs
This is the most common misunderstanding for overseas owners. Management fees typically cover coordinating maintenance, not paying for the repairs themselves. You still fund the actual labor and materials.
The way a manager handles maintenance is where your returns are protected or destroyed. A good system reduces repeat issues, keeps vendor costs reasonable, and avoids tenants feeling ignored. A sloppy system creates churn, inflated invoices, and “emergency” repairs that could have been prevented.
You should expect clear rules on:
- Approval thresholds (for example, the manager can approve up to a certain amount without waiting for you)
- Vendor selection and pricing discipline
- Photo documentation and repair verification
If a firm cannot explain this cleanly, the monthly fee is not buying you predictable operations.
Vacancy, renewals, and rent increases: how incentives can misalign
Owners want stability and rent growth. Managers also want stability, but some are tempted to keep the path of least resistance: accept a mediocre tenant renewal, avoid a difficult enforcement conversation, or keep rent below market to reduce turnover and workload.
That is why your management agreement and reporting cadence matter. You want a manager who brings you options and trade-offs: renew at the current rate for zero downtime, renew with a modest increase if the tenant is stable, or re-lease at a higher market rate with a realistic estimate of vacancy time and refresh costs.
If you are building a portfolio in new-build complexes, this becomes even more important. One underperforming unit can drag down overall yield, especially when you’re measuring performance in dollars while paying some costs in lari.
Short-term vs long-term: fees rise when operations get intense
Short-term rentals can generate higher gross revenue in peak months, but the operations are heavier: frequent cleaning, constant messaging, more wear-and-tear, and higher risk of guest-caused damage. In that model, management fees are typically higher because the work volume is higher.
Long-term rentals tend to produce more predictable net income with fewer operational touchpoints. For remote owners who want “set it and forget it” execution, long-term management often delivers cleaner results: fewer emergencies, easier budgeting, and better tenant accountability.
The right choice depends on your building, location, and your appetite for volatility. But either way, compare fees against the actual workload your manager is taking off your plate.
What “cheap management” usually looks like (and why it costs more)
Low fees are tempting, especially when you’re looking at a single unit and you want to keep overhead tight. The problem is that low fees often correlate with low ownership.
Cheap management in Tbilisi usually shows up as slow response times, weak tenant screening, unclear repair approval processes, and poor documentation. The cost appears later as vacancy gaps, disputes over deposits, surprise repair bills, or tenants who learn they can ignore the lease.
Your fee should buy you fewer problems and faster resolution, not a monthly invoice plus stress.
Questions to ask before you sign a management agreement
If you only ask, “What’s your fee?” you’ll get a number that sounds fine and a service that may not match your expectations. Ask questions that expose operational reality.
Start with accountability: Who is your day-to-day contact, and who backs them up when they’re unavailable? Then move to process: How do they screen tenants, handle late rent, and document unit condition at move-in and move-out? Finally, get specific on maintenance: What is the approval threshold and how do they prevent vendor price inflation?
Also ask about the unpleasant scenarios. If a tenant stops paying, what is the step-by-step timeline? When do they issue notices? How do they coordinate legal escalation if it becomes necessary? A manager who cannot speak clearly about enforcement is not ready to protect your asset.
How to evaluate value: net results, not the percentage
The best way to judge tbilisi property management fees is to measure what the manager is doing to protect your net income.
A higher monthly fee can be a bargain if it reduces vacancy by even one extra month per year, prevents one major damage incident, or maintains rent collection discipline. On the flip side, a low fee is expensive if you lose time, lose rent, and end up paying for preventable repairs.
Look for signs of a manager who runs your property like an owner: consistent reporting, documented decisions, firm tenant communication, and a clear system for maintenance. You are hiring a local operator to make dozens of small decisions correctly so you don’t have to.
What we consider “full-service” in real life
Owners come to us when they want hands-off rental operations in Tbilisi without guessing from abroad. Full-service means we source and qualify tenants, collect rent, manage tenant communication, coordinate maintenance, and handle escalation through to eviction support when required – with a clear process and owner-minded decision-making. If you want a local team that focuses on protecting the asset and stabilizing returns, you can see how we work at Property Management Georgia.
The practical point is this: full-service should feel boring. No surprises. No drama. Just consistent performance and a unit that stays in good condition.
A final thought before you negotiate the fee down
If your goal is to “win” the negotiation, you might save a small amount monthly and lose far more in operational leakage. Instead, negotiate clarity: decision authority, response timelines, tenant screening standards, documentation, and enforcement steps. When those are tight, the fee becomes predictable, and your property stops feeling like a second job from 6,000 miles away.
