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This article breaks down rental yields in Bandung for early 2026, covering everything from gross and net returns to neighborhood-level differences and the costs that eat into your profits.
We constantly update this blog post to reflect the latest market data and local conditions.
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
- Bandung apartments near universities can show gross yields of 7% to 9%, but building fees often cut net returns by 2 to 3 percentage points.
- Landed homes in Bandung typically yield only 2.5% to 3.5% gross because purchase prices scale much faster than rents in this city.
- The spread between Bandung's highest-yield and lowest-yield neighborhoods can reach 5 percentage points, mostly driven by prestige pricing in north Bandung.
- Vacancy in well-located Bandung rentals averages 3 to 5 weeks per year, but overpriced units in niche luxury areas can sit empty for 12% of the year or more.
- Bandung's Tegalluar corridor near the new high-speed rail station is the main infrastructure catalyst that could push rents higher in East Bandung over the next few years.
- Smaller units in Bandung deliver better yield per square meter because rent does not drop proportionally with size.
- Local property tax (PBB-P2) in Bandung typically runs between 0.1% and 0.2% of assessed value, which is usually a smaller drag on yield than maintenance or vacancy.
- Full-service property management in Bandung costs around 5% to 10% of collected rent, plus a leasing fee of roughly one month's rent per new tenant.
What are the rental yields in Bandung as of 2026?
What's the average gross rental yield in Bandung as of 2026?
As of early 2026, the average gross rental yield in Bandung across all common residential property types sits at around 4.9%.
That said, most typical Bandung rental properties fall within a realistic gross yield range of about 4.3% to 5.6%, depending on the property type and location.
Compared to Indonesia's national averages, Bandung's yields are fairly typical for a major secondary city, sitting slightly below Jakarta's prime areas but competitive with other Tier-2 Indonesian cities.
The single biggest factor influencing gross yields in Bandung right now is the gap between apartment and landed-home pricing, since apartments offer much lower entry prices while rents stay supported by the city's large student and young professional population.
What's the average net rental yield in Bandung as of 2026?
As of early 2026, the average net rental yield in Bandung after recurring costs and vacancy is approximately 3.6%.
This means landlords in Bandung typically see a gap of about 1.3 percentage points between gross and net yields, which reflects the real cost of owning rental property here.
The expense category that most significantly reduces gross yield in Bandung is the combination of maintenance, building fees (especially IPL/service charges for apartments), and vacancy, which together can eat 20% to 30% of rental income.
Most standard Bandung investment properties fall within a net yield range of 3.0% to 4.3%, with apartments often dropping more due to higher building fees while landed homes face more variable repair costs.
By the way, you will find much more detailed rent ranges in our property pack covering the real estate market in Bandung.
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 yield is considered "good" in Bandung in 2026?
In Bandung's rental market, a gross yield of 6% or higher is generally considered "good" by local investors, while anything above 7.5% is seen as a strong performer.
The threshold that separates average Bandung properties from high-performing ones is typically around the 6% gross mark, though achieving this usually means targeting apartments in the right micro-location or finding landed homes priced below market value.
How much do yields vary by neighborhood in Bandung as of 2026?
As of early 2026, the spread in gross rental yields between Bandung's highest-yield and lowest-yield neighborhoods can reach 3 to 5 percentage points.
The neighborhoods that typically deliver the highest yields in Bandung are those with reasonable entry prices and steady renter demand, such as Coblong, Sukajadi, Pasteur, Antapani, and Buah Batu.
On the other hand, the lowest yields in Bandung tend to show up in premium areas like Dago Pakar, prime Ciumbuleuit, Setiabudi, and Braga, where lifestyle prestige pushes purchase prices far above what rents can justify.
The main reason yields vary so much across Bandung neighborhoods is that property prices scale with prestige and views much faster than rents do, so buyers pay a premium that renters simply will not match.
By the way, we've written a blog article detailing what are the current best areas to invest in property in Bandung.
How much do yields vary by property type in Bandung as of 2026?
As of early 2026, gross rental yields in Bandung range from about 2.5% for landed homes up to 9% for well-located apartments, depending on property type.
Apartments and condos currently deliver the highest average gross yields in Bandung, often landing between 6.5% and 9% because their lower entry prices make rents look more attractive relative to purchase cost.
Landed homes such as houses and townhouses deliver the lowest yields in Bandung, typically ranging from 2.5% to 4%, since their higher purchase prices are not matched by proportionally higher rents.
The key reason yields differ so much between property types in Bandung is simply that apartment ticket sizes are far smaller, so even modest rents translate into solid percentage returns.
By the way, you might want to read the following:
What's the typical vacancy rate in Bandung as of 2026?
As of early 2026, the estimated average residential vacancy rate in Bandung for decently priced rentals is around 6% to 10% per year.
Across different Bandung neighborhoods, vacancy rates can range from near zero in high-demand campus areas to 12% or more for overpriced or poorly located units.
The main factor driving vacancy rates in Bandung is proximity to demand anchors like universities, hospitals, and major commercial nodes, which keep tenants flowing in areas like Dago, Coblong, and Sukajadi.
Compared to Indonesia's larger cities, Bandung's vacancy rates are fairly typical for a secondary city with a strong student population, though specific micro-markets can outperform or underperform significantly.
Finally please note that you will have all the indicators you need in our property pack covering the real estate market in Bandung.
What's the rent-to-price ratio in Bandung as of 2026?
As of early 2026, the average rent-to-price ratio in Bandung is approximately 0.41% per month, which translates to about 4.9% annually.
For buy-to-let investors in Bandung, a monthly rent-to-price ratio above 0.5% is generally considered favorable, and this connects directly to gross yield since a higher ratio means better cash flow relative to your purchase price.
Compared to other Indonesian cities, Bandung's rent-to-price ratio is competitive with Tier-2 cities like Surabaya and Yogyakarta, though it trails some emerging areas where prices have not yet caught up with rental demand.
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 neighborhoods and micro-areas in Bandung give the best yields as of 2026?
Where are the highest-yield areas in Bandung as of 2026?
As of early 2026, the top three highest-yield neighborhoods in Bandung are Coblong, Sukajadi, and Antapani, all of which combine reasonable entry prices with consistent renter demand.
In these high-yield Bandung areas like Coblong, Sukajadi, Pasteur, and Buah Batu, investors can typically achieve gross rental yields in the range of 6% to 8%.
The main characteristic these high-yield Bandung neighborhoods share is strong access to demand anchors like universities, hospitals, and toll roads, combined with purchase prices that have not yet reached premium levels.
You'll find a much more detailed analysis of the areas with high profitability potential in our property pack covering the real estate market in Bandung.
Where are the lowest-yield areas in Bandung as of 2026?
As of early 2026, the top three lowest-yield neighborhoods in Bandung are Dago Pakar, prime Ciumbuleuit, and Setiabudi, where prestige pricing pushes yields down significantly.
In these low-yield Bandung areas, gross rental yields typically fall in the range of 2% to 3.5%, which barely covers costs for many investors.
The main reason yields are compressed in these premium north Bandung areas is that buyers pay for lifestyle, views, and prestige, while renters are rarely willing to pay a proportional premium for these amenities.
Buying a property in a low-yield area is one of the mistakes we cover in our list of risks and pitfalls people face when buying property in Bandung.
Which areas have the lowest vacancy in Bandung as of 2026?
As of early 2026, the top three neighborhoods with the lowest residential vacancy rates in Bandung are Dago, Coblong, and Sukajadi, all of which benefit from constant student and young professional demand.
In these low-vacancy Bandung areas, well-priced units can see vacancy rates as low as 0% to 4%, meaning they stay occupied almost continuously.
The main demand driver keeping vacancy low in these Bandung neighborhoods is the university ecosystem, particularly around ITB and Unpad, which creates a steady stream of students, lecturers, and service workers looking for housing.
The trade-off investors face when targeting these low-vacancy Bandung areas is that the most popular pockets often come with higher purchase prices, which can compress overall yields despite the occupancy advantage.
Which areas have the most renter demand in Bandung right now?
The top three neighborhoods currently experiencing the strongest renter demand in Bandung are Dago-Coblong, Sukajadi-Pasteur, and Ciumbuleuit, all of which combine lifestyle appeal with daily convenience.
The renter profile driving most of the demand in these Bandung areas includes university students, young professionals working in the city center, and families seeking good schools and safe neighborhoods.
In these high-demand Bandung neighborhoods, well-priced rental listings typically get filled within two to four weeks, and premium units in the right locations can find tenants even faster.
If you want to optimize your cashflow, you can read our complete guide on how to buy and rent out in Bandung.
Which upcoming projects could boost rents and rental yields in Bandung as of 2026?
As of early 2026, the top three upcoming projects expected to boost rents in Bandung are the Tegalluar high-speed rail station TOD, the Summarecon Bandung mixed-use development, and related East Bandung infrastructure improvements.
The neighborhoods most likely to benefit from these projects are Gedebage, Tegalluar, and the broader East Bandung corridor, where new transit access and commercial amenities will attract more renters.
Once these projects are fully operational, investors in nearby Bandung neighborhoods might realistically expect rent increases of 10% to 20% over several years, though gains will depend on how quickly jobs and services follow the infrastructure.
You'll find our latest property market analysis about Bandung here.
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What property type should I buy for renting in Bandung as of 2026?
Between studios and larger units in Bandung, which performs best in 2026?
As of early 2026, studios and one-bedroom apartments in Bandung generally outperform larger units in terms of rental yield, though larger units tend to offer better occupancy stability.
In Bandung, studios typically achieve gross yields of 7% to 9% (around Rp 45 to 60 million annually, or roughly $2,800 to $3,700 USD / €2,600 to €3,400 EUR), while two to three-bedroom units often fall closer to 4% to 6%.
The main factor explaining this difference in Bandung is that smaller units have lower entry prices, so even modest rents translate into higher percentage returns.
However, for investors targeting families or longer-term tenants in Bandung, two to three-bedroom units can be the better choice because they attract tenants who stay longer and cause less turnover.
What property types are in most demand in Bandung as of 2026?
As of early 2026, the most in-demand property type in Bandung is affordable apartments near universities and access corridors, followed closely by modest two to three-bedroom landed homes in gated clusters.
The top three property types ranked by current tenant demand in Bandung are: first, small apartments near campuses; second, family-sized houses in secure clusters; and third, well-located townhouses with parking.
The primary demographic driving this demand pattern in Bandung is the city's large student population combined with young families seeking affordable, safe, and well-connected housing.
One property type currently underperforming in Bandung is large luxury villas in north Bandung, which struggle to find tenants willing to pay rents that justify their high purchase prices.
What unit size has the best yield per m² in Bandung as of 2026?
As of early 2026, units in the 25 to 40 square meter range deliver the best gross rental yield per square meter in Bandung.
For this optimal unit size in Bandung, investors can typically achieve gross yields of around Rp 1.5 to 2.5 million per square meter annually (roughly $95 to $155 USD / €85 to €145 EUR per square meter per year).
The main reason larger units in Bandung tend to have lower yield per square meter is that rent does not increase proportionally with size, so you pay more for space that does not generate proportionally more income.
By the way, we also have a blog article detailing whether owning an Airbnb rental is profitable in Bandung.
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 costs cut my net yield in Bandung as of 2026?
What are typical property taxes and recurring local fees in Bandung as of 2026?
As of early 2026, the annual property tax (PBB-P2) for a typical rental apartment in Bandung runs between 0.1% and 0.2% of the assessed value, which often translates to Rp 500,000 to Rp 3 million per year (roughly $30 to $185 USD / €28 to €170 EUR) for a mid-range property.
Beyond property tax, Bandung landlords must also budget for apartment building fees (IPL/service charges) if applicable, which can run Rp 500,000 to Rp 2 million per month (roughly $30 to $125 USD / €28 to €115 EUR monthly) depending on the building.
For most Bandung rental properties, these taxes and recurring fees typically represent about 5% to 15% of gross rental income, with apartments usually on the higher end due to building charges.
By the way, we cover all the hidden fees and taxes in our property pack covering the real estate market in Bandung.
What insurance, maintenance, and annual repair costs should landlords budget in Bandung right now?
Annual landlord insurance for a typical Bandung rental property costs roughly Rp 1 to 3 million per year (about $60 to $185 USD / €55 to €170 EUR), depending on coverage level and property value.
For maintenance and repairs in Bandung, landlords should budget around 0.8% to 1.5% of property value annually for landed homes, or 0.5% to 1% for apartments plus building fees.
The repair expense that most commonly catches Bandung landlords off guard is water-related damage, including roof leaks, drainage issues, and water pump failures, which are especially common in north Bandung's humid climate.
In total, Bandung landlords should realistically budget Rp 8 to 25 million per year (roughly $500 to $1,550 USD / €460 to €1,420 EUR) for combined insurance, maintenance, and repairs on a typical mid-range rental property.
Which utilities do landlords typically pay, and what do they cost in Bandung right now?
In Bandung, most rental agreements are structured so tenants pay their own utilities (electricity, water, and internet), while landlords typically only cover utility costs during vacant periods.
When landlords do cover utilities during vacancy or as part of an all-inclusive rental, the monthly cost in Bandung typically runs Rp 300,000 to Rp 800,000 (roughly $18 to $50 USD / €17 to €46 EUR) for a modest apartment, though this varies significantly with air conditioning usage.
What does full-service property management cost, including leasing, in Bandung as of 2026?
As of early 2026, full-service property management in Bandung typically costs 5% to 10% of collected rent, which works out to roughly Rp 250,000 to Rp 800,000 per month (about $15 to $50 USD / €14 to €46 EUR) for a mid-range rental.
On top of ongoing management, Bandung property managers commonly charge a leasing or tenant-placement fee of about one month's rent (roughly Rp 4 to 8 million, or $250 to $500 USD / €230 to €460 EUR) each time they find a new tenant.
What's a realistic vacancy buffer in Bandung as of 2026?
As of early 2026, Bandung landlords should set aside about 8% of annual rental income as a conservative vacancy buffer, which accounts for tenant turnover and leasing gaps.
In practical terms, most Bandung landlords experience about three to five weeks of vacancy per year on a well-priced, well-located property, though poorly positioned units can see much longer gaps.
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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 Survey Q1 2025 | It's Indonesia's central bank publishing an official, repeatable property-price survey. | We used it to anchor the macro backdrop for prices and demand into early 2026. We also used it as a reality check that portal-based pricing isn't contradicting national trend direction. |
| BPS Statistics Indonesia RPPI 2025 | BPS is Indonesia's official statistics agency and RPPI is a standardized index publication. | We used it to triangulate the broader context that prices are moving but not wildly. We used it to support why yields are driven more by neighborhood and rentability than by fast price inflation. |
| Rumah123 Apartment Sales Bandung | It's one of Indonesia's largest property portals with transparent median stats from its own large listing dataset. | We used it to get market-wide and area-level median apartment asking prices in Bandung. We treated these as investable entry price benchmarks and cross-checked them against rent medians. |
| Rumah123 House Sales Bandung | Same portal with the same transparent methodology but for landed homes. | We used it to approximate Bandung's typical buy price for landed homes. We used district medians to explain neighborhood yield gaps. |
| Rumah123 Apartment Rentals Bandung | It's a high-volume portal reporting medians from thousands of rental listings over the last 3 months. | We used it to anchor annual median apartment rents for key Bandung districts. We then paired rent medians with sale medians to compute gross yields consistently. |
| Rumah123 House Rentals Bandung | Same large portal dataset focused on landed-home rents. | We used it as the city-level typical landed-home annual rent benchmark. We used it to build a blended Bandung yield estimate across apartments and landed homes. |
| JDIH Kota Bandung Perda No. 1/2024 | It's the city government's official legal documentation portal for local tax rules. | We used it to ground recurring local taxes in the correct Bandung legal framework. We used it as the primary authority for PBB-P2 rates. |
| BPK JDIH Perda Kota Bandung No. 2/2025 | It's an official government legal repository distributing the enacted local regulation text. | We used it to confirm that the Bandung local tax framework was updated and still applicable by early 2026. We used it as a change-log check so our tax notes aren't outdated. |
| DDTCNews Bandung Tax Tariff Summary | It's a specialized tax publisher that clearly points back to the underlying local regulation. | We used it to express Bandung tax brackets in simple terms readers can absorb quickly. We still treat the Perda text as the legal source of truth. |
| Direktorat Jenderal Pajak PBB-P2 Explanation | It's Indonesia's tax authority explaining the structure of the tax system. | We used it to explain why PBB-P2 rates and rules are set locally. We used it as context so readers don't confuse national versus local property taxes. |
| Kementerian ESDM Permen No. 7/2024 | It's the official regulation text governing electricity tariff categories. | We used it to ground landlord-paid electricity cost assumptions in the real tariff framework. We used it to keep utility estimates consistent with regulation. |
| KCIC Tegalluar TOD Development Page | It's the high-speed rail operator describing its official transit-oriented development plan. | We used it to identify infrastructure-led demand catalysts near East Bandung. We used it to justify why some micro-areas can see rent growth even if citywide yields are stable. |
| Summarecon Bandung Tegalluar MoU News | It's the developer's official release about a specific project and partnership. | We used it to corroborate that private-sector development around Tegalluar is real. We used it to list watchlist neighborhoods likely to benefit from transit completion. |
| Pinhome Indonesia Residential Market Report 2025 H1 | It's a large Indonesian property platform publishing a structured research report with stated scope. | We used it to triangulate demand drivers going into early 2026. We used it only for broad direction, not for Bandung-specific yield math. |
| Pinhome Market Report 2025 H1 PDF | Same report in fixed PDF form for verifiability and quoting stability. | We used it to cross-check the web-page version and avoid moving target content. We used it to support cautious assumptions on vacancy buffers and renter demand resilience. |
| Kemenkeu IPL Explanation | It's an official Ministry of Finance educational channel explaining common fees in plain language. | We used it to explain IPL and service-charge basics simply for non-professional readers. We used it to justify why apartment net yields often drop more than landed homes after fees. |
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