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Bandung's residential property market in January 2026 is showing steady growth, driven by infrastructure projects and consistent demand from students, families, and lifestyle buyers.
We cover everything you need to know about current Bandung housing prices, recent trends, and what to expect in the coming years.
This blog post is constantly updated with fresh data and new analyses to keep you informed.
And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in Bandung.
Insights
- The official Bandung residential property price index grew under 1% year-over-year in Q3 2025, but local market activity suggests Bandung itself is outperforming at around 2% to 4%.
- Mid-market cluster homes in Bandung are seeing the strongest buyer demand because they sit in the financing sweet spot for young families.
- East Bandung neighborhoods like Gedebage are positioned for catch-up growth as the BIUTR toll road project improves connectivity to central areas.
- Bandung apartment prices show extreme variation, ranging from about IDR 6 million per square meter in Sukajadi to over IDR 22 million per square meter in prime central projects.
- Bank Indonesia held its policy rate at 4.75% in late 2025, which keeps mortgage costs stable but still limits how fast Bandung property prices can rise.
- Arcamanik and Antapani remain popular among Bandung buyers because they offer mid-range prices with good family amenities and liquidity.
- The upcoming LRT Bandung project, expected to begin construction in 2026, could reshape which neighborhoods command premium prices over the next five years.
- North Bandung areas like Dago and Ciumbuleuit have the highest per-square-meter prices but tend to grow slower in percentage terms due to their already elevated base.
- Bandung's diversified rental demand from students, young professionals, and tourists makes it more resilient than single-industry cities during economic slowdowns.
What are the current property price trends in Bandung as of 2026?
What is the average house price in Bandung as of 2026?
As of early 2026, the average house price in Bandung is approximately IDR 2.3 billion (around USD 145,000 or EUR 133,000), though this blends everything from compact landed homes to premium cluster properties.
When you look at price per square meter for Bandung homes, most landed properties fall in the range of IDR 12 to 18 million per square meter (roughly USD 750 to 1,130 or EUR 690 to 1,040 per square meter), with prime areas like Dago pushing above IDR 20 million per square meter.
For a realistic picture, about 80% of Bandung home purchases happen between IDR 650 million and IDR 4 billion (roughly USD 41,000 to 250,000 or EUR 37,000 to 230,000), covering entry-level homes in outer areas all the way up to well-located cluster houses in popular neighborhoods.
How much have property prices increased in Bandung over the past 12 months?
Property prices in Bandung increased by an estimated 2% to 4% over the past 12 months, with a central estimate around 3%, which is notably stronger than the national primary market index.
Different property types saw different outcomes: mid-market cluster homes and renovated landed houses performed at the higher end of that range, while apartments without strong rental stories lagged behind at closer to 1% to 2%.
The most significant factor driving this price movement was Bandung's unique position as an education and lifestyle city, which kept buyer demand steady even as mortgage rates remained elevated throughout 2025.
Which neighborhoods have the fastest rising property prices in Bandung as of 2026?
As of early 2026, the three Bandung neighborhoods with the fastest rising property prices are Gedebage in East Bandung, Arcamanik, and the Buah Batu corridor, all benefiting from improved accessibility and strong family demand.
Gedebage is seeing price growth of around 5% to 7% annually as infrastructure expectations build, while Arcamanik and Buah Batu are growing at approximately 4% to 6% thanks to their combination of mid-range prices and good amenities.
The main demand driver across these neighborhoods is the shift of buyers who have been priced out of North Bandung but still want convenient access to the city center and reliable commuting options.
By the way, you will find much more detailed price ranges across neighborhoods in our property pack covering the real estate market in Bandung.
We have made this infographic to give you a quick and clear snapshot of the property market in Indonesia. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.
Which property types are increasing faster in value in Bandung as of 2026?
As of early 2026, the ranking of Bandung property types by value appreciation is: cluster and townhouse-style homes at the top, followed by renovated landed houses, then apartments in strong rental locations, with generic apartments in weaker areas trailing behind.
The top-performing property type, mid-market cluster homes, is appreciating at roughly 4% to 6% annually in Bandung because these properties attract the widest pool of qualified buyers.
Cluster homes are outperforming because they match what young Bandung families want most: security, predictable maintenance costs, and mortgage amounts that banks will readily approve.
Finally, if you're interested in a specific property type, you will find our latest analyses here:
- How much should you pay for a house in Bandung?
- How much should you pay for an apartment in Bandung?
What is driving property prices up or down in Bandung as of 2026?
As of early 2026, the three main factors driving Bandung property prices are infrastructure development (especially the BIUTR toll road project), persistent demand from students and lifestyle buyers, and interest rate sensitivity that keeps price growth moderate rather than explosive.
The single factor with the strongest upward pressure on Bandung prices is the infrastructure re-rating effect, where neighborhoods along the Pasteur to Gedebage corridor are gaining value as travel times improve and buyers anticipate better connectivity.
If you want to understand these factors at a deeper level, you can read our latest property market analysis about Bandung here.
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What is the property price forecast for Bandung in 2026?
How much are property prices expected to increase in Bandung in 2026?
As of early 2026, property prices in Bandung are expected to increase by approximately 3% to 6% over the calendar year, with a central estimate around 4.5%.
Different analysts and sources suggest a range from about 2% on the conservative side (tracking closer to the national index) to 7% on the optimistic side (assuming strong infrastructure progress and rate cuts).
The main assumption underlying most Bandung price forecasts is that Bank Indonesia will maintain or slightly ease its policy rate while inflation stays within target, keeping mortgage affordability stable enough to support steady buyer activity.
We go deeper and try to understand how solid are these forecasts in our pack covering the property market in Bandung.
Which neighborhoods will see the highest price growth in Bandung in 2026?
As of early 2026, the neighborhoods expected to see the highest price growth in Bandung are Gedebage and the East Bandung arc, Arcamanik and Antapani, and the Buah Batu corridor.
These top neighborhoods are projected to see price growth of 5% to 8% during 2026, outperforming the city average by 1 to 3 percentage points.
The primary catalyst is the advancing BIUTR toll road project, which is changing how buyers think about commute times and making previously overlooked eastern areas much more attractive.
One emerging neighborhood that could surprise with higher-than-expected growth is the Terusan Buah Batu area, where new cluster developments are attracting buyers seeking value just outside the most established corridors.
By the way, we've written a blog article detailing what are the current best areas to invest in property in Bandung.
What property types will appreciate the most in Bandung in 2026?
As of early 2026, mid-market cluster and townhouse-style landed homes are expected to appreciate the most in Bandung, followed by renovated older houses in good-access locations.
The top-performing property type is projected to appreciate by 5% to 7% in Bandung during 2026, driven by strong demand from first-time buyers and young families.
The main demand trend favoring cluster homes is that Bandung buyers strongly prefer landed properties for privacy and flexibility, while also wanting the security and convenience that gated communities provide.
On the other hand, generic apartments in locations without clear rental demand are expected to underperform, potentially growing less than 2%, because they lack the broad buyer appeal needed to sustain price momentum.
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.
How will interest rates affect property prices in Bandung in 2026?
As of early 2026, the current interest rate environment is keeping Bandung property price growth moderate but positive, with buyers remaining payment-sensitive but still active in the market.
Bank Indonesia's benchmark rate stands at 4.75%, and mortgage rates in practice run higher due to bank spreads, though there is room for cuts later in 2026 if inflation stays within target.
In Bandung's market, a 1% drop in mortgage rates typically accelerates absorption in mid-ticket properties and reduces discounting pressure, potentially adding 1 to 2 percentage points to annual price growth in the most rate-sensitive segments.
You can also read our latest update about mortgage and interest rates in Indonesia.
What are the biggest risks for property prices in Bandung in 2026?
As of early 2026, the three biggest risks for Bandung property prices are rupiah volatility forcing Bank Indonesia to delay rate cuts, infrastructure project delays that push connectivity benefits further into the future, and local livability issues like traffic congestion and drainage problems in specific micro-areas.
The risk with the highest probability of materializing is infrastructure timing risk, because large projects like the BIUTR and LRT often face procurement and construction delays that can disappoint buyers who paid a premium based on expected completion dates.
We actually cover all these risks and their likelihoods in our pack about the real estate market in Bandung.
Is it a good time to buy a rental property in Bandung in 2026?
As of early 2026, buying a rental property in Bandung looks favorable for most individual investors, particularly if you target properties near durable rental demand sources like universities or the Pasteur-Sukajadi corridor.
The strongest argument for buying now is Bandung's unusually diversified rental base spanning students, young professionals, and domestic tourists, which provides more stable occupancy than cities dependent on a single tenant type.
The strongest argument for waiting is that if Bank Indonesia cuts rates later in 2026, you might secure better financing terms, though this benefit needs to be weighed against potentially higher purchase prices by then.
If you want to know our latest analysis (results may differ from what you just read), you can read our assessment on whether now is a good time to buy a property in Bandung.
You'll also find a dedicated document about this specific question in our pack about real estate in Bandung.
Buying real estate in Bandung can be risky
An increasing number of foreign investors are showing interest. However, 90% of them will make mistakes. Avoid the pitfalls with our comprehensive guide.
Where will property prices be in 5 years in Bandung?
What is the 5-year property price forecast for Bandung as of 2026?
As of early 2026, cumulative property price growth in Bandung over the next 5 years is expected to reach approximately 20% to 35%, with a central estimate around 27%.
The range of forecasts spans from a conservative scenario of about 20% total growth (assuming infrastructure delays and persistent rate headwinds) to an optimistic scenario of 35% or more (assuming smooth project execution and eventual rate cuts).
This translates to a projected average annual appreciation rate of roughly 4% to 6% per year over the 5-year period in Bandung.
The key assumption most forecasters rely on is that major infrastructure projects like the BIUTR toll road and LRT Bandung will progress substantially, even if not perfectly on schedule, creating lasting accessibility improvements.
Which areas in Bandung will have the best price growth over the next 5 years?
The three Bandung areas expected to have the best price growth over the next 5 years are Gedebage and the East Bandung growth belt, transit-linked corridors toward Tegalluar, and established mid-market districts like Arcamanik, Antapani, and Buah Batu.
These top-performing areas are projected to see cumulative 5-year price growth of 30% to 45%, meaningfully outperforming the city average as infrastructure benefits materialize.
This largely mirrors our shorter-term forecast, though over 5 years the infrastructure effect compounds more significantly, meaning eastern areas have greater upside potential than they do in any single year.
The currently undervalued area with the best potential for outperformance is the Tegalluar zone in Greater Bandung, which could re-rate substantially if the LRT project advances as planned toward that corridor.
What property type will give the best return in Bandung over 5 years as of 2026?
As of early 2026, mid-market cluster and townhouse-style landed homes are expected to give the best total return over 5 years in Bandung, combining solid appreciation with manageable rental income potential.
The projected 5-year total return for this property type is approximately 35% to 50% when you combine capital appreciation with net rental income, assuming a well-located property in an improving-access district.
The main structural trend favoring cluster homes is that Bandung's demographic of young families and professionals consistently prefers secure, landed properties with predictable costs, and this preference shows no signs of changing.
For investors seeking the best balance of return and lower risk, renovated landed houses in established Arcamanik or Buah Batu locations offer strong liquidity and steady demand without the volatility of newer, less-proven developments.
How will new infrastructure projects affect property prices in Bandung over 5 years?
The three major infrastructure projects expected to impact Bandung property prices over the next 5 years are the BIUTR (Bandung Intra Urban Toll Road), the LRT Bandung light rail system, and ongoing improvements to the greater Bandung regional road network.
Properties near completed infrastructure in comparable Indonesian cities typically command a premium of 10% to 20% over similar properties in areas without improved access, and Bandung should follow a similar pattern.
The specific Bandung neighborhoods that will benefit most are those along the Pasteur to Gedebage corridor for the BIUTR, and areas near planned LRT stations, particularly eastern and southeastern zones that currently lack convenient transit options.
How will population growth and other factors impact property values in Bandung in 5 years?
Bandung's population is projected to grow modestly at around 1% to 1.5% annually, but the more important impact on property values comes from continued household formation as young adults establish independent homes.
The demographic shift with the strongest influence on Bandung property demand is the steady inflow of students and young professionals, which creates consistent rental demand and eventually converts to purchase demand as these residents settle permanently.
Domestic migration patterns favor Bandung as a lifestyle and education destination within West Java, drawing residents from both Jakarta (seeking affordability and quality of life) and smaller regional cities (seeking opportunity), which supports sustained property demand.
The property types and areas that will benefit most from these demographic trends are mid-market landed homes in family-friendly districts like Arcamanik and Buah Batu, and rental-oriented apartments near university clusters and the Pasteur-Sukajadi corridor.
We made this infographic to show you how property prices in Indonesia compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
What is the 10 year property price outlook in Bandung?
What is the 10-year property price prediction for Bandung as of 2026?
As of early 2026, cumulative property price growth in Bandung over the next 10 years is expected to reach approximately 45% to 80%, with a central estimate around 60%.
The range of forecasts spans from a conservative scenario of about 45% total growth (assuming periodic economic headwinds and slower infrastructure completion) to an optimistic scenario of 80% or more (assuming strong economic growth and full infrastructure buildout).
This translates to a projected average annual appreciation rate of roughly 4% to 6% per year over the 10-year period in Bandung, consistent with the city's long-term historical pattern.
The biggest uncertainty factor in making 10-year predictions for Bandung is the interest rate environment over multiple economic cycles, since prolonged periods of high rates would constrain affordability and limit how far prices can rise before buyer demand pulls back.
What long-term economic factors will shape property prices in Bandung?
The three long-term economic factors that will most shape Bandung property prices over the next decade are the interest rate environment across multiple cycles, Bandung's economic diversification as an education and creative hub, and the compounding effect of infrastructure investments that reshape the city's accessibility map.
The single factor with the most positive long-term impact on Bandung property values is the city's diversified economic base spanning education, creative industries, services, and tourism, which makes it more resilient than cities dependent on a single sector.
The single factor posing the greatest structural risk is the possibility of prolonged high interest rates over multiple years, which would continuously constrain buyer affordability and limit price appreciation potential for the entire market.
You'll also find a much more detailed analysis in our pack about real estate in Bandung.
Is buying a property in Bandung a good long-term investment then?
As of early 2026, buying a property in Bandung looks like a solid long-term investment for most individual buyers, particularly if you focus on well-located properties that match what Bandung's market consistently demands.
The strongest argument for Bandung as a long-term investment is that the city has durable demand drivers (education, lifestyle, regional hub status) and limited land supply in desirable areas, which creates a structural floor under property values even during weaker economic periods.
The strongest argument for caution is that returns will be modest rather than spectacular, likely in the 4% to 6% annual range, so buyers expecting rapid appreciation may be disappointed compared to higher-risk, higher-reward markets.
The simplest long-term strategy for Bandung is to buy a mid-market landed or cluster home in a district with improving connectivity, hold for rental income and appreciation, and avoid overpaying for luxury properties that have narrower resale pools.
What sources have we used to write this blog article?
Whether it's in our blog articles or the market analyses included in our property pack about Bandung, we always rely on the strongest methodology we can … and we don't throw out numbers at random.
We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.
| Source | Why It's Authoritative | How We Used It |
|---|---|---|
| Bank Indonesia Residential Property Price Survey | Indonesia's central bank publishes the official housing price index for the primary market. | We used it to anchor official price growth trends. We then adjusted national figures to reflect Bandung-specific market conditions. |
| Bank Indonesia RPPI News Release Q3 2025 | This is BI's direct media release with the latest verified year-over-year price data. | We used it for the most recent official price growth rate. We triangulated this with listing data to estimate Bandung's all-market change. |
| Bank Indonesia Policy Rate Decision | This is BI's official monetary policy communication on benchmark rates and economic outlook. | We used it to explain how interest rates affect mortgages and buyer affordability in 2026. We also used the macro narrative as our base case for forecasts. |
| BPS Indonesia Residential Property Price Index 2025 | The national statistics office publishes official housing price methodology and results. | We used it as a second official cross-check on housing price movements. We ensured our estimates align with how official indices define residential property. |
| BPS Kota Bandung Dalam Angka 2025 | This is the official city-level statistics publication used widely for planning and policy. | We used it to ground local demand drivers like population and economy. We mapped these fundamentals to which neighborhoods tend to outperform. |
| OJK Prime Lending Rate Disclosures | OJK is the financial regulator and this is the official reference on bank base lending rates. | We used it to explain why mortgage rates differ from the BI policy rate. We combined it with BI's stance to set realistic 2026 financing assumptions. |
| Ministry of Public Works BIUTR Project Page | This is the official government project page with scope and connectivity details. | We used it to identify infrastructure premium areas in Bandung. We translated project scope into neighborhood-level demand expectations over 5 years. |
| Ministry of Finance KPBU LRT Bandung Update | This is the government's PPP channel where project preparation status is formally communicated. | We used it as evidence of the transit investment pipeline. We connected likely station corridors to which residential areas tend to re-rate first. |
| 99.co Bandung House Listings | One of Indonesia's largest property portals with high listing volume and consistent formatting. | We used it to convert index growth into real rupiah price ranges. We also used subarea snapshots to compare relative positioning across neighborhoods. |
| 99.co Arcamanik Listings | Large portal data showing comparable listings with land and building size information. | We used it to compute real asking price per square meter from current listings. We triangulated with Rumah123 examples for cross-validation. |
| 99.co Bandung Kota Listings | High-volume slice of listings focused on central city inventory. | We used it to benchmark central Bandung prices versus eastern and southern submarkets. We identified which areas look stretched versus reasonably priced. |
| Rumah123 Bandung House Listings | A major national portal widely used by buyers and agents. | We used it as a cross-check so our estimates aren't biased by one portal's inventory. We computed price per square meter in prime areas like Dago. |
| Rumah123 Sukajadi Apartment Listings | Clean way to observe Bandung condo and apartment pricing with unit sizes. | We used it to compute apartment asking prices per square meter in a core rental district. We compared with prime projects to frame the apartment price spectrum. |
| Reuters Report on Bank Indonesia | Top-tier newsroom directly reporting on BI's decision and guidance. | We used it only as a cross-check narrative on BI priorities. Our source of truth for policy numbers remains BI's own official releases. |
| BeritaSatu Property Market Report | News outlet reporting on property portal demand data and market trends. | We used it to validate buyer interest signals in Bandung. We treated rising demand share as a leading indicator that typically supports prices with a lag. |
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If you want to go deeper, you can read the following: