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Yes, the analysis of Bali's property market is included in our pack
Bali's real estate market in mid-2025 continues to show remarkable growth, driven by tourism recovery and digital nomad influx.
Property prices have risen steadily over the past six months, with prime areas like Canggu and Seminyak experiencing 1-2% quarterly increases. The rental yield remains attractive at 12-20% annually for short-term rentals in tourist hotspots, while emerging areas offer significant growth potential at more accessible price points.
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.
As of June 2025, Bali's real estate market shows strong momentum with villa prices ranging from $3,400-$4,500 per square meter in prime areas.
Foreign investors and digital nomads continue driving demand, while emerging areas like Tabanan offer 30-50% lower prices than established hotspots.
| Location | Land Price (USD/m²) | Villa Price (USD/m²) | Rental Yield |
|---|---|---|---|
| Canggu | $214-$270 | $3,400-$4,200 | 12-20% |
| Seminyak | $452-$500 | $4,200-$4,500 | 12-20% |
| Ubud | $167-$180 | $3,500 | 8-12% |
| Uluwatu | $200-$250 | $3,950-$4,000 | 12-20% |
| Tabanan (Emerging) | $100-$150 | $2,000-$2,500 | 8-15% |
Fact-checked and reviewed by our local expert
Daniel Rouquette 🇫🇷
CEO & Co-Founder at Villa Finder
What are the current average prices per square meter for land and villas in Canggu, Ubud, Seminyak, and Uluwatu?
Land prices in Bali's prime areas show significant variation, with Seminyak commanding the highest premiums at $452-$500 per square meter.
Canggu, the digital nomad hotspot, sees land prices between $214-$270 per square meter, while villa prices range from $3,400-$4,200 per square meter. Seminyak remains the most expensive area with villa prices reaching $4,200-$4,500 per square meter, reflecting its premium beachfront location and established luxury market.
Ubud offers more affordable options with land at $167-$180 per square meter and villas around $3,500 per square meter, making it attractive for buyers seeking the cultural heart of Bali. Uluwatu, known for its dramatic clifftop locations, prices land at $200-$250 per square meter with villas at $3,950-$4,000 per square meter.
These prices reflect fully furnished, premium-finish properties and are typically quoted per "are" (100 square meters) in local markets. The pricing structure favors villa investments over raw land purchases due to the immediate rental income potential.
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How have property prices evolved over the past 6 months, and what are the short-term projections?
Bali's property market has maintained steady growth momentum throughout the first half of 2025, with consistent quarterly increases across all prime areas.
Over the past six months, property prices have risen by 1-2% per quarter in established areas like Canggu, Seminyak, and Uluwatu. This growth is primarily driven by the continued influx of digital nomads and the tourism sector's robust recovery to pre-pandemic levels.
Short-term projections for the next 6-12 months indicate a further 5-10% price increase across prime locations. This forecast is supported by limited new land supply in developed areas and sustained high demand from foreign buyers. Emerging areas are expected to see even higher growth rates as infrastructure improvements unlock new investment opportunities.
The steady price appreciation reflects market maturity and strong fundamentals rather than speculative bubbles. Foreign investment regulations have stabilized, providing confidence for long-term planning and investment decisions.
What's the long-term outlook for Bali's real estate market over the next 3 to 5 years?
The long-term outlook for Bali's real estate market remains exceptionally strong, with annual price increases of 7-12% expected in established areas through 2030.
Key market drivers include the booming tourism sector's return to pre-pandemic visitor numbers, major infrastructure upgrades including road improvements and airport expansion, and the growing remote work culture attracting international buyers. Government reforms have also eased foreign investment restrictions, creating more accessible pathways for property ownership.
Emerging regions like Tabanan and North Bali could see even higher appreciation rates as new infrastructure projects unlock previously inaccessible areas. The digital nomad economy continues expanding, with Bali positioned as a premier destination for remote workers seeking tropical lifestyle benefits.
Environmental sustainability and eco-tourism trends are driving demand for properties with green certifications and sustainable features. This shift creates opportunities for developers and investors focusing on environmentally conscious projects.
The market's resilience during recent global economic uncertainties demonstrates its fundamental strength and appeal to international investors seeking stable, high-yield opportunities in Southeast Asia.
Which areas in Bali are currently considered undervalued or high-growth potential?
Several emerging areas in Bali offer significant value opportunities compared to established hotspots, with prices 30-50% lower than prime locations.
| Area | Current Price Advantage | Growth Drivers |
|---|---|---|
| Tabanan | 40-50% below Canggu | New highway access, rice terrace tourism |
| Mengwi | 35-45% below Seminyak | Cultural attractions, improved connectivity |
| Kedungu | 30-40% below Uluwatu | Beach access, resort development |
| North Bali (Lovina) | 50-60% below southern areas | Eco-tourism, dolphin watching, quiet beaches |
| Amed | 45-55% below Ubud | Diving tourism, traditional culture |
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What's the current rental yield for villas and apartments in different regions?
Rental yields in Bali vary significantly by location and property type, with short-term vacation rentals consistently outperforming long-term arrangements.
Prime tourist areas including Canggu, Seminyak, and Uluwatu deliver impressive annual yields of 12-20% for villa properties, supported by 80-90% occupancy rates during peak seasons. These areas benefit from consistent demand from international tourists and digital nomads willing to pay premium rates for prime locations.
Ubud offers more moderate but stable returns of 8-12% annually, attracting visitors seeking cultural experiences and wellness retreats. The area's appeal to long-term visitors and yoga practitioners creates steady demand throughout the year.
Apartment investments generally yield 7-10% annually, though well-located or serviced units can achieve higher returns. Short-term rentals significantly outperform long-term arrangements in tourist-heavy areas, with compact 1-2 bedroom villas showing the highest demand from vacation rental guests.
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How is demand split between local buyers, foreign investors, and digital nomads?
The demand structure in Bali's real estate market shows a clear dominance of foreign buyers, particularly in the luxury villa segment.
Foreign investors continue to dominate purchases in hotspot areas, primarily utilizing leasehold arrangements or company structures to navigate ownership restrictions. This group typically focuses on properties with strong rental income potential and capital appreciation prospects.
Digital nomads and remote workers represent a rapidly growing segment, increasingly driving demand for furnished rental properties and co-living spaces in areas like Canggu, Ubud, and Sanur. This demographic seeks flexible, move-in ready accommodations with reliable internet and modern amenities.
Local buyers tend to focus on primary residences and more affordable market segments, with limited participation in the luxury villa market due to price points exceeding local income levels. Their activity concentrates on traditional residential areas and emerging neighborhoods.
The trend shows an accelerating shift toward digital nomads and international expats, with growing interest in eco-friendly properties and wellness-focused developments reflecting changing lifestyle priorities.
What types of properties are moving fastest on the market right now?
The Bali property market shows clear preferences for specific property types, with off-plan and compact villas leading transaction volumes.
Off-plan villas account for 37% of current listings and attract buyers seeking customization opportunities and potential appreciation during construction phases. These properties typically offer payment plans that appeal to international investors managing currency exchange considerations.
One to two-bedroom villas represent over 62% of all transactions, valued for their affordability and strong rental yield potential. These properties hit the sweet spot for vacation rental demand while remaining accessible to a broader range of investors.
Leasehold villas sell particularly quickly due to the legal simplicity they offer foreign buyers, avoiding complex company structure requirements. The straightforward ownership model reduces transaction time and legal complications.
Apartment projects are gaining significant traction, especially near new infrastructure developments and wellness hubs. These properties appeal to investors seeking lower maintenance requirements and professional property management options.
What are the average budgets and price brackets for different use cases?
Investment budgets in Bali vary significantly depending on intended use, with clear price brackets emerging for different investment strategies.
| Use Case | Typical Budget (USD) | Property Type | Expected Returns |
|---|---|---|---|
| Living Full-Time | $200,000-$400,000 | 2-3 BR villa in Canggu/Ubud | Lifestyle + appreciation |
| Short-Term Rental | $120,000-$350,000 | 1-2 BR villa in tourist area | 12-20% annual yield |
| Long-Term Rental | $60,000-$180,000 | Apartment or small villa | 7-12% annual yield |
| Flipping | $200,000-$500,000+ | Off-plan or undervalued property | 20-40% total return |
| Premium Beachfront | $650,000+ | Luxury villa in Seminyak | Prestige + moderate yield |
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Indonesia versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.
What government regulations and restrictions affect foreign buyers in Bali?
Foreign property ownership in Bali operates under specific legal frameworks that have evolved to become more investor-friendly while maintaining Indonesian sovereignty over land.
Foreigners cannot own freehold land directly, but several legal structures provide property access including leasehold arrangements (25-30 years, renewable), Right to Use (Hak Pakai) for residential purposes, and Right to Build (Hak Guna Bangunan) through PT PMA company structures for business investments.
Minimum purchase values for foreign buyers range from IDR 2-5 billion ($130,000-$325,000) depending on location and property type. Recent reforms have simplified foreign ownership through PT PMA structures and expanded rights to own apartments.
Tax obligations include property transfer tax at 5% (BPHTB), notary and legal fees of 1-2.5%, annual land and building tax of 0.1-0.5%, VAT on new properties at 10%, luxury tax at 5% where applicable, and rental income tax at 10%. Short-term rental operations require "Pondok Wisata" licenses for legal operation.
Recent regulatory improvements have streamlined processes and reduced bureaucratic barriers, making Bali more accessible to international investors while maintaining legal compliance requirements.
How does financing work for foreign investors in Bali?
Financing options for foreign investors in Bali have evolved, though cash purchases remain the most common approach due to simplicity and speed.
Traditional mortgages are possible but rare, typically requiring 40%+ down payments with interest rates of 7-12% and extensive documentation including income verification and credit history. Indonesian banks generally prefer lending to residents with local income sources.
Developer installment plans offer more accessible alternatives, featuring lower initial payments of 10-20% and flexible payment terms during construction phases. These arrangements often include completion guarantees and can accommodate international payment methods.
PT PMA company structures enable property purchases under business entities, popular among investors combining property investment with business operations. This approach can facilitate financing through business loans rather than personal mortgages.
Cash purchases remain most common due to their simplicity, speed, and ability to negotiate better prices with developers and sellers. Many investors use international wire transfers or cryptocurrency conversions to fund acquisitions.
What hidden costs should buyers factor into their investment planning?
Property investment in Bali involves several ongoing costs that can significantly impact overall returns if not properly budgeted.
1. **Annual maintenance costs:** $1,000-$3,000 for standard villas, with luxury properties requiring higher budgets for pool maintenance, garden care, and general upkeep2. **Property management fees:** 15-25% of rental income when using professional management companies for marketing, guest services, and maintenance coordination3. **Monthly utilities:** $100-$300 covering water, electricity, and internet services, varying significantly based on property size and usage patterns4. **Community and infrastructure fees:** $2,000+ annually for premium villa developments covering security, common area maintenance, and infrastructure upkeep5. **Repair and renovation reserves:** Budget for periodic major repairs, equipment replacement, and property upgrades to maintain competitive rental standardsTotal hidden costs typically add 15-20% to the initial investment annually, making proper budgeting essential for accurate return calculations. Properties in remote areas may face higher utility and maintenance costs due to limited service provider access.
Insurance costs, legal compliance fees, and periodic property valuations represent additional expenses that vary based on property value and location. Professional property management can reduce these burdens while ensuring legal compliance and optimal rental performance.
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What's the best strategy for buying in Bali based on your goals?
The optimal investment strategy in Bali depends entirely on your primary objective, whether lifestyle-focused or purely financial.
For full-time living, choose established areas like Canggu, Ubud, or Sanur that offer comprehensive amenities, international communities, and reliable infrastructure. Budget $200,000-$400,000 for quality 2-3 bedroom villas in these areas, prioritizing proximity to healthcare, shopping, and social facilities over pure investment returns.
For rental income generation, target high-yield zones including Canggu, Seminyak, and Uluwatu, focusing on 1-2 bedroom villas or serviced apartments with proven rental records. Properties near beaches, restaurants, and nightlife command premium rates and maintain high occupancy throughout the year.
For resale and flipping opportunities, seek undervalued or emerging areas like Tabanan, North Bali, and Kedungu where infrastructure improvements are driving appreciation. Consider off-plan purchases or raw land with development potential, leveraging upcoming infrastructure projects for capital gains.
Regardless of strategy, engage reputable local agents, conduct thorough legal due diligence, and budget for all taxes and ongoing costs. Consider starting with leasehold arrangements to minimize legal complexity while gaining market experience.
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.
Bali's real estate market in 2025 presents compelling opportunities for both lifestyle buyers and serious investors seeking high-yield returns.
With proper research, legal compliance, and strategic location selection, property investment in Bali can deliver exceptional returns while providing access to one of the world's most desirable tropical destinations.
Sources
- Bali Exception - Real Estate Prices Guide
- Tranio - Indonesia Property Prices
- Noethera - Bali Land Lease Pricing 2025
- Statista - Indonesia Property Price Index
- Invest Land Bali - Market Trends 2025
- Warisan Agency - Real Estate Trends 2025
- Visit World Today - Property Buying Guide
- Coco Development Group - Market Analysis 2025
- Own Bali Real Estate - Property Selling Guide
- Exotiq Property - Foreign Ownership Guide
-Average House Prices in Bali: Complete Market Analysis
-Average Price of Houses in Bali: 2025 Market Guide
-Bali Property Market Trends: Investment Insights
-Bali Property Ownership Guide for Foreigners
-Bali Real Estate Market Analysis and Forecasts
-Bali Rental Yield Analysis: Investment Returns