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How to budget renovations for older Bali villas?

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Authored by the expert who managed and guided the team behind the Indonesia Property Pack

property investment Bali

Yes, the analysis of Bali's property market is included in our pack

Renovating an older Bali villa requires careful budget planning to avoid costly surprises and ensure a profitable investment. As of September 2025, renovation costs in Bali range from IDR 10-15 million per square meter for mid-range work to over IDR 20 million for luxury finishes, with structural issues, permits, and hidden problems adding significant expenses to your initial budget.

If you want to go deeper, you can check our pack of documents related to the real estate market in Indonesia, based on reliable facts and data, not opinions or rumors.

How this content was created πŸ”ŽπŸ“

At BambooRoutes, we explore the Bali real estate market every day. Our team doesn't just analyze data from a distanceβ€”we're actively engaging with local realtors, investors, and property managers in cities like Denpasar, Ubud, and Canggu. This hands-on approach allows us to gain a deep understanding of the market from the inside out.

These observations are originally based on what we've learned through these conversations and our observations. But it was not enough. To back them up, we also needed to rely on trusted resources

We prioritize accuracy and authority. Trends lacking solid data or expert validation were excluded.

Trustworthiness is central to our work. Every source and citation is clearly listed, ensuring transparency. A writing AI-powered tool was used solely to refine readability and engagement.

To make the information accessible, our team designed custom infographics that clarify key points. We hope you will like them! All illustrations and media were created in-house and added manually.

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Fact-checked and reviewed by our local expert

βœ“βœ“βœ“

Daniel Rouquette πŸ‡«πŸ‡·

CEO & Co-Founder at Villa Finder

Daniel Rouquette is very knowledgeable about the Bali villa market, as Villa Finder offers a vast selection of properties across the island. As the CEO and Co-Founder of Villa Finder, he has been leading the company since 2012, providing high-quality villa rentals and personalized concierge services. With over 4,000 villas in 28 destinations, Villa Finder has become a trusted name in luxury short-term rentals in the Asia-Pacific region.

What's the current condition of the villa, and which parts are most urgent to fix first?

The most critical areas to inspect and prioritize in older Bali villas are structural integrity issues, including foundation cracks, roof damage, and electrical safety hazards.

Foundation problems show up as visible cracks in walls, uneven floors, or doors that don't close properly. These issues require immediate attention as they can worsen during Bali's rainy season and compromise the entire structure. Roof leaks are equally urgent, as water damage spreads quickly in tropical climates and can lead to expensive mold remediation and structural decay.

Electrical systems in older villas often use outdated wiring that doesn't meet current Indonesian safety codes. Circuit breakers may trip frequently, outlets might lack proper grounding, and the main power panel could be undersized for modern electrical demands. These safety hazards should be addressed before any cosmetic work begins.

Water systems present another priority area, with common issues including low water pressure, pipe corrosion, and inadequate drainage during heavy rains. Termite infestation is particularly common in Bali's humid climate and can cause significant structural damage if left untreated.

As of September 2025, professional villa inspections in Bali cost IDR 5-10 million but can save you hundreds of millions in unexpected repair costs.

How old is the electrical wiring and plumbing, and do they meet today's safety standards?

Villas built before 2010 typically have electrical systems that don't comply with current Indonesian electrical safety standards, requiring complete rewiring to ensure safety and insurance compliance.

Modern electrical standards in Indonesia require GFCI outlets in wet areas, proper grounding throughout the property, and circuit panels that can handle 220V systems with adequate amperage for air conditioning and modern appliances. Older villas often have aluminum wiring instead of copper, insufficient outlet placement, and outdated fuse boxes that pose fire risks.

Plumbing systems in pre-2010 villas frequently use galvanized steel pipes that corrode in Bali's humid, salty air environment. These need replacement with PVC or copper piping to prevent water contamination and pressure loss. Water heater installations in older properties often lack proper ventilation and safety shutoffs required by current codes.

It's something we develop in our Indonesia property pack.

Complete electrical rewiring for a 200-square-meter villa costs IDR 80-150 million, while full plumbing replacement ranges from IDR 60-120 million as of September 2025.

What is the typical cost per square meter for renovations in Bali right now?

Mid-range villa renovations in Bali cost IDR 10-15 million per square meter as of September 2025, with luxury renovations exceeding IDR 20 million per square meter.

Renovation Level Cost per Sqm (IDR) Cost per Sqm (USD)
Basic renovation 6-8 million $420-560
Mid-range renovation 10-15 million $700-1,100
Luxury renovation 20+ million $1,400+
Ultra-luxury with imports 30+ million $2,100+
Remote location premium +20-30% above base cost +20-30% above base cost

Basic renovations include local materials, standard finishes, and essential repairs without luxury upgrades. Mid-range projects incorporate better fixtures, partial imported materials, and enhanced aesthetic elements. Luxury renovations feature high-end imported finishes, custom millwork, and premium appliances from international brands.

Remote locations in areas like Uluwatu or East Bali add 20-30% to these costs due to transportation challenges and limited contractor availability.

Which permits or government approvals are required, and how much time and money should be set aside for them?

Major Bali villa renovations require building permits (IMB/PBG), environmental clearances, and local village approvals, with the complete process taking 1-3 months and costing IDR 10-50 million depending on project scope.

The Indonesian building permit system requires detailed architectural drawings, structural engineering reports, and environmental impact assessments for renovations exceeding 30% of the original structure. Village approvals (particularly important in traditional Balinese areas) add another layer but are essential for avoiding community disputes.

Electrical work requires separate permits from PLN (the state electricity company), while plumbing modifications need approval from the local water authority (PDAM). Swimming pool installations or modifications require additional environmental permits due to water usage and drainage requirements.

Processing times vary significantly by regency, with Badung and Denpasar typically faster than rural areas. Expedited processing is available for additional fees but can double permit costs.

Budget IDR 15-25 million for standard renovation permits and plan for 6-8 weeks processing time to avoid construction delays.

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How much should I budget for structural issues like foundations, roofing, or termite damage?

Structural repairs in Bali villas range from IDR 100-400 million for comprehensive foundation, roofing, and termite treatment, with costs varying dramatically based on damage severity and villa size.

Foundation repairs include crack injection, underpinning, and drainage improvements to prevent future settling. Minor foundation work costs IDR 50-100 million, while major reconstruction can reach IDR 300-500 million for a standard villa. Bali's volcanic soil and seasonal flooding make foundation issues common in properties over 15 years old.

Roof replacement using quality clay tiles costs IDR 150-250 per square meter for materials, plus IDR 100-150 per square meter for labor. Complete roof renovation for a 200-square-meter villa ranges from IDR 50-80 million. Structural roof repairs, including beam replacement due to termite damage, add IDR 100-200 million to the budget.

Termite treatment requires both elimination and prevention phases. Professional fumigation costs IDR 15-30 million, while structural timber replacement can reach IDR 100-150 million depending on damage extent. Preventive treatments should be budgeted at IDR 5-8 million annually.

Always obtain multiple structural assessments before committing to purchase, as hidden damage can double your renovation budget unexpectedly.

What are the average labor costs for skilled trades in Bali, and how do they compare to expat-level contractors?

Local skilled tradesmen in Bali charge IDR 80,000-150,000 per day as of September 2025, while expat contractors typically cost 2-4 times more but offer international quality standards and project management.

Specialized local craftsmen including tilers, electricians, and plumbers command premium rates of IDR 120,000-200,000 per day. Foremen and project supervisors earn IDR 180,000-250,000 daily. These rates have increased 15-20% since 2024 due to increased demand from tourism recovery.

Expat contractors often price per project rather than daily rates, with total project costs typically 200-300% higher than local teams. However, they provide English communication, international building standards, and comprehensive project management including permit assistance and quality guarantees.

The optimal approach combines experienced local craftsmen with expat project supervision, balancing cost efficiency with quality control. This hybrid model typically adds 30-50% to pure local costs while maintaining international standards.

It's something we develop in our Indonesia property pack.

How do material prices in Bali differ from importing, and what's the realistic delivery timeline for each option?

Local building materials in Bali cost 40-60% less than imported equivalents but imported materials can take 4-12 weeks for delivery and may require additional permits for certain items.

High-quality local materials including natural stone, teak wood, and ceramic tiles offer excellent value and immediate availability. Imported luxury finishes, branded fixtures, and specialized building systems cost 50-100% more due to shipping, duties, and distributor markups.

Standard delivery times for imported materials are 4-6 weeks from Southeast Asian suppliers, 8-10 weeks from Europe, and 10-12 weeks from North America. Container delays, customs clearance, and local transport add 1-2 weeks to these timelines.

Popular import categories include high-end bathroom fixtures, kitchen appliances, flooring materials, and smart home systems. These items should be ordered early in the renovation process to avoid construction delays.

Local alternatives have improved significantly, with Indonesian manufacturers now producing quality fixtures that meet international standards at competitive prices.

What level of finishes do I want (basic, mid-range, or luxury), and how does that change the overall budget?

Basic finishes use local materials and standard fixtures, mid-range incorporates some imported elements with better aesthetics, while luxury finishes feature premium imported materials that can double your renovation budget.

Basic renovations focus on functionality with local ceramic tiles, standard bathroom fixtures, painted walls, and basic lighting. These renovations cost IDR 6-8 million per square meter and provide clean, functional spaces suitable for rental properties targeting budget-conscious guests.

Mid-range finishes include natural stone surfaces, quality local hardwood, branded fixtures, and enhanced lighting design. These projects cost IDR 10-15 million per square meter and appeal to upscale vacation rental markets and owner-occupied properties.

Luxury renovations feature imported marble, high-end appliances, custom millwork, automated systems, and designer fixtures. Costs exceed IDR 20 million per square meter but create properties that command premium rental rates and strong resale values.

The key is matching finish quality to your target market and investment goals, as over-improving for your location can reduce investment returns.

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How much should I set aside as a contingency fund for hidden problems, typically found in older Balinese villas?

Allocate 15-20% of your total renovation budget as contingency funds for older Bali villas, with properties over 20 years requiring up to 25% due to tropical climate damage and construction method variations.

Common hidden problems in older Bali villas include structural termite damage not visible during initial inspections, electrical wiring that doesn't meet current codes, plumbing leaks within walls, and foundation issues that become apparent only after construction begins. Water damage from poor drainage or roof leaks often extends beyond initially visible areas.

Vintage villas built using traditional methods may have non-standard dimensions, requiring custom solutions that increase costs significantly. Original building plans may be inaccurate or unavailable, leading to surprises when opening walls or floors.

Environmental factors specific to Bali include salt air corrosion near coastal areas, volcanic ash effects on roofing materials, and monsoon-related water infiltration that may not be apparent during dry season inspections.

For a IDR 500 million renovation budget, set aside IDR 75-100 million for unexpected issues. This fund should remain untouched until actual problems arise, not used for upgrade decisions.

What are the running costs of the renovation process itself, such as temporary accommodation or storage?

Renovation running costs including temporary accommodation, storage, and utilities typically add IDR 5-15 million per month to your project budget, varying significantly based on location and lifestyle requirements.

Temporary accommodation options range from budget guesthouses at IDR 2-3 million monthly to luxury villas at IDR 15-25 million monthly. Many investors choose mid-range options at IDR 8-12 million monthly that provide comfort without excessive costs during 3-6 month renovation periods.

Storage costs for furniture and belongings range from IDR 1-3 million monthly for self-storage facilities, or IDR 2-5 million for climate-controlled professional storage services. Valuable items may require specialized storage with security features.

Utility connections during construction add IDR 500,000-1.5 million monthly for temporary power and water supplies. Site security services cost IDR 2-4 million monthly and are essential for preventing theft of materials and tools.

Lost rental income during renovation represents the largest opportunity cost, potentially IDR 15-40 million monthly for properties that could otherwise generate income.

How can I phase the renovation to spread out costs over time without compromising safety or comfort?

Phase renovations by prioritizing structural and safety systems first, followed by essential living areas, and finishing with luxury upgrades to manage cash flow while maintaining habitability.

  1. Phase 1: Safety and Structure (Months 1-2) - Address foundation issues, electrical upgrades, plumbing repairs, roof work, and termite treatment. This phase costs 40-50% of total budget but ensures safety.
  2. Phase 2: Essential Living Spaces (Months 3-4) - Complete master bedroom, one bathroom, kitchen basics, and main living area to create livable conditions during ongoing work.
  3. Phase 3: Additional Bedrooms and Bathrooms (Months 5-6) - Finish remaining private spaces to enable rental income generation or full family occupancy.
  4. Phase 4: Outdoor Areas and Pool (Months 7-8) - Complete landscaping, pool renovation, outdoor kitchens, and entertainment areas that enhance property value.
  5. Phase 5: Luxury Finishes and Technology (Months 9-10) - Add smart home systems, high-end fixtures, custom features, and final aesthetic touches.

This approach allows you to occupy or rent portions of the property during later phases, generating income to fund final improvements.

What is the expected increase in property value or rental yield after the renovation, and does the budget make financial sense compared to that return?

Well-executed Bali villa renovations typically increase property value by 15-30% and rental yields by 20-40%, but returns depend heavily on location, renovation quality, and target market alignment.

Structural improvements and safety upgrades provide the highest returns, often recovering 80-100% of investment costs through increased property value and rental appeal. Mid-range aesthetic improvements typically recover 60-80% of costs, while luxury finishes may only recover 40-60% unless targeting ultra-high-end markets.

Prime locations like Seminyak, Canggu, and Ubud show stronger renovation returns due to higher rental demand and property values. Remote areas may see lower percentage returns but can still be profitable if purchase prices were proportionally lower.

It's something we develop in our Indonesia property pack.

Calculate potential returns by comparing post-renovation rental rates and property values to total investment including purchase price and renovation costs. Renovation budgets exceeding 50% of the original property value require careful analysis to ensure financial viability.

Conclusion

This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.

Sources

  1. Jaya Construction Bali - Ultimate Villa Construction Checklist
  2. Real Estate BCD - Bali Villa Check
  3. Bukit Vista - Bali Construction Pricing 2025
  4. iLot Property Bali - Villa Building Cost
  5. Bali Coconut Living - Villa Inspection Checklist
  6. Fix It Bali - Common Electrical Problems
  7. Gravity Bali - Buying Villa Checklist
  8. Better Place - Complete Guide to Building Villa in Bali