Property document check in Batumi: extract, seller, encumbrances, debts

Property document check in Batumi: what we look at before the deposit

A property document check in Batumi starts with the Public Registry extract and ends with a conclusion: can you pay the deposit or not. In Georgia a registry entry is presumed correct until proven otherwise, and the law protects a buyer acting in good faith. So the key thing is to read the extract correctly and compare it with what the seller says and what you see on site. The second half of the check concerns the seller: whether they have the right to sell and whether all the owners agree.

The Public Registry extract

The extract shows the owner or several owners, the cadastral code, area, designation and every encumbrance entry: mortgage, attachment, ban on disposal, lease, servitude. You can get an extract at the Public Service Hall for 20 lari within a working day or order one online for 13 lari. We take it twice: before the deposit and on the day of signing, because an entry can change within a couple of weeks. How the registry itself and registration of ownership work is on the Public Registry registration page.

What we check, point by point

• the owner in the extract is the person selling;
• there is no mortgage, attachment, ban on disposal or tax lien;
• the area and designation match the listing and what you saw;
• if there are several owners, all agree and sign in person or by power of attorney;
• if a representative is selling, the power of attorney is valid and covers the sale and receipt of money;
• there are no debts for electricity, gas, water or building maintenance;
• there are no registered tenants who will stay in the apartment.

The seller and their authority

Common problems are not with the apartment but with who is selling it. The apartment was bought during a marriage and one spouse is selling, in which case the other's consent is usually needed. The owner has died and the inheritance has not yet been registered. The power of attorney was issued long ago and does not give the right to receive money. A company is selling, and the person signing has no authority. For a company we look at the extract from the Registry of Entrepreneurs: who the director is, who the owner is, whether there is a tax lien or bankruptcy. Here we also check whether there are court cases over the property.

Resale, new builds and houses with land

For a new build the check is broader; more on the developer check page. For a house with land the land category matters: a foreigner cannot buy agricultural land, apart from narrow exceptions such as inheritance, so we look at the category in the extract before discussing the price.

Documents and the condition of the apartment

Documents do not show what condition the apartment is in. The area in the extract may match, while the wall between the kitchen and a room has already been removed without approval. So alongside the legal check we recommend an engineer's inspection: they look for signs of leaks, mould, wiring and ventilation problems. If the apartment is in an old building, we also look at the building itself: roof, risers, floors; more on the building inspection page. In a new build, defects are recorded in the handover certificate with the developer.

The result of the check

At the end you receive a written report: what was checked, what was found and what to do about it. For example: the bank mortgage is paid off on the day of the deal from your money, the seller clears the water debt before signing, the second owner's consent is needed before the deposit. If there is an attachment, a court dispute, or the seller cannot confirm their title, we advise not paying until the entry is removed. The deposit and the terms of its refund are then fixed by the preliminary agreement.

If the seller is in a hurry

The seller or agent often asks for a deposit on the day of the viewing to secure the apartment for you. A registry extract can be obtained the same day, and we do a basic check of the owner and encumbrances within twenty-four hours. If the seller is not prepared to wait even a day, offer a small deposit refundable if the check finds a problem, and put that condition in writing. A refusal to accept such a condition usually tells you more about the deal than any document.

How much a document check costs

A legal due diligence check of an apartment with the extract, seller check, encumbrances and debts costs from 960 ₾ per property. A technical inspection of the apartment by an engineer before purchase from 480 ₾, valuation by an accredited appraiser from 330 ₾, a lawyer consultation of up to an hour from 155 ₾. The registry extract is paid at the registry's rate. The final cost is set after reviewing the property and agreeing the scope of the check.