How much for a property in Bandung now?

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

Everything you need to know before buying real estate is included in our Indonesia Property Pack

Who is the author of this content?

BAMBOOROUTES

A team specialized in real estate investing in APAC countries (Japan, Thailand, Indonesia, Australia, etc.).

We are a team of financial experts, legal professionals, developers, and local real estate specialists dedicated to helping people like you avoid mistakes when investing in real estate in a foreign place, particularly in Bandung. If you'd like to learn more about us, you can check our presentation page.

What's your goal with the property and what would success look like?

Your investment success in Bandung depends entirely on matching your goal with the right property type and area.

If you want to live in the property, success means finding a landed house or apartment in established areas like Ciumbuleuit or Dago Atas where you get comfort, proximity to amenities, and stable value appreciation of 6-8% annually. You'll pay more upfront but gain quality of life and secure long-term appreciation.

For short-term rentals, target villas or condos in tourist zones like Lembang and Dago Atas where you can achieve 7-10% net yields from seasonal bookings. Success means covering your mortgage and maintenance while building equity, though income will be seasonal and require active management.

Long-term rental investors should focus on apartments near universities and business districts in Bandung Wetan or Sukajadi, or affordable landed houses in suburban areas. Success here means achieving 5-6% steady yields with minimal vacancy and appreciation of 5-7% annually.

For buy-to-resell strategies, target affordable landed houses in up-and-coming suburbs like Arcamanik, Gedebage, or Buah Batu where prices have surged 8-10% in the past year. Success means achieving 15-25% IRR over 3-5 years through strategic improvements and market timing.

Which property type fits your investment goal in Bandung?

Landed houses remain the most sought-after property type in Bandung, especially among families and flip investors.

These properties offer the highest appreciation potential in growing suburbs and give you full control over renovations and improvements. Prices typically range from IDR 1.5-3 billion for a decent family home, with strong demand from local buyers who prefer landed properties over apartments.

Apartments and condos work best for long-term rentals, expat tenants, and investors wanting low maintenance. They offer the most affordable entry point in prime zones, typically costing IDR 600 million to 1.5 billion, and attract tenants who value security and modern amenities.

Villas are ideal for tourist and leisure rentals in scenic locations like Lembang or Dago Atas. While they generate higher seasonal income of 7-10% yields, they require more maintenance and marketing effort. Expect to pay IDR 3-8 billion for quality villas in prime locations.

Townhouses represent a good middle ground for mid-range budgets, offering secure settings with strong rental demand. The average price sits around IDR 1.1 billion, making them accessible for first-time investors.

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

Which neighborhoods should you consider for your property search?

Your neighborhood choice in Bandung will determine both your lifestyle and investment returns.

Established premium areas like Dago, Ciumbuleuit, and Setiabudi offer scenic locations with international schools and higher-end amenities. These areas command premium prices but provide stable appreciation and attract quality tenants willing to pay higher rents.

Up-and-coming suburban areas like Arcamanik, Buah Batu, and Gedebage represent the best value for growth-oriented investors. These neighborhoods benefit from new infrastructure development, affordable entry points, and strong price appreciation of 8-10% annually as the city expands.

Central convenient areas like Cicendo, Sukajadi, and Bandung Wetan lead in rental demand due to their proximity to business districts and universities. You'll pay price premiums but enjoy mature amenities and consistent tenant interest.

For comparison, we recommend focusing on three key areas: Dago for premium living and stable returns, Buah Batu for value and growth potential, and Cicendo for central convenience and rental demand.

What size and layout work best for Bandung properties?

Property size and layout in Bandung should match both local preferences and your intended use.

For family homes, the typical size ranges from 2-4 bedrooms with 100-150 square meters of built-up area. Local families strongly prefer properties with parking for 1-2 cars and some garden or outdoor space, which adds significant value and rental appeal.

Apartments typically range from 30-90 square meters with 1-3 bedrooms. Mid to high-end projects should include secure access, swimming pools, and gym facilities to command premium rents and attract expatriate tenants.

Essential amenities that determine property value include secure parking, reliable water and electricity supply, proximity to schools and workplaces, fiber internet connectivity, and adequate kitchen space. Properties lacking these basics will struggle with both sales and rental demand.

Land size becomes crucial for landed houses, with properties on 100-200 square meter lots being most marketable. Larger lots command premiums but may limit your buyer pool when selling.

What's your realistic all-in budget for a Bandung property?

Your total property cost in Bandung extends well beyond the listed purchase price.

For a typical 3-bedroom house, expect an all-in budget of IDR 1.5-3 billion including the base price plus additional costs. Taxes consume 5-10% of the purchase price, while notary and agent fees add another 1-2%. Renovation costs can reach 5-15% depending on the property condition, and you should maintain a 5-10% contingency buffer for unexpected expenses.

If you're financing through a mortgage, you'll need a minimum 20-30% down payment. Current interest rates range from 9-11% with loan tenors of 10-20 years. Banks typically cap monthly payments at 30-40% of your proven income, so calculate your payment capacity carefully before shopping.

Cash purchases often provide negotiating leverage and eliminate bank processing delays, making them attractive in Bandung's competitive market. However, ensure you maintain adequate liquidity for property maintenance and other investments.

Factor in ongoing costs like property management fees, maintenance, insurance, and annual property taxes when calculating your total investment budget.

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How should you finance your Bandung property purchase?

Financing options in Bandung offer flexibility but require careful planning to optimize your investment returns.

Mortgage financing allows you to leverage your capital across multiple investments while preserving cash flow. Indonesian banks typically require 20-30% down payments for property loans, with interest rates currently ranging from 9-11% annually. Loan tenors stretch from 10-20 years, giving you flexibility in monthly payment amounts.

Your monthly payment capacity becomes the limiting factor, with banks restricting payments to 30-40% of your documented income. This means a family earning IDR 50 million monthly could support mortgage payments up to IDR 15-20 million, enabling property purchases in the IDR 2-3 billion range.

Cash purchases provide significant advantages in Bandung's market, including faster closing times, stronger negotiating positions, and elimination of interest costs. Sellers often accept lower prices for cash offers due to reduced transaction risks and quicker completion.

Consider your overall portfolio allocation when choosing financing. If this property represents a large portion of your net worth, financing might provide better diversification. If you have multiple investment opportunities, cash purchases might offer better returns by avoiding interest payments.

What are current market prices by property type and area in Bandung?

As of September 2025, Bandung property prices show clear patterns across different types and locations.

New builds consistently command 10-20% premiums over resale properties, especially in prime zones where buyers value modern amenities and warranty coverage. Resale properties often sell at 5-15% discounts but may require renovation investments to achieve market rents.

Location significantly impacts pricing, with central areas like Sukajadi and Bandung Wetan commanding premiums of 20-30% over suburban locations. However, suburban growth areas like Buah Batu and Arcamanik show the strongest price appreciation trends.

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.

Can you show three realistic deal examples with full cost breakdowns?

Here are three complete property deals in Bandung showing true all-in costs as of September 2025.

**Example 1: Affordable Landed House in Buah Batu**Purchase price: IDR 1.2 billion for a 3-bedroom house on 120m² land. Tax and government fees add IDR 90 million (7.5%), while notary and agent fees contribute IDR 24 million (2%). Essential renovations including kitchen upgrade and paint cost IDR 70 million, with a 10% contingency buffer of IDR 50 million. Total all-in cost: IDR 1.41 billion.

**Example 2: Central Apartment in Sukajadi**Purchase price: IDR 950 million for a 2-bedroom, 75m² apartment with pool and gym access. Tax and fees total IDR 60 million (6.3%), with minimal renovation needs of IDR 40 million for furniture and fixtures. Including a IDR 30 million buffer, total investment reaches IDR 1.08 billion.

**Example 3: Luxury Villa in Dago Atas**Purchase price: IDR 4 billion for a 4-bedroom villa with mountain views and 300m² land. Tax and fees consume IDR 320 million (8%), while comprehensive renovations including landscaping cost IDR 200 million. With a IDR 100 million contingency for luxury finishes, total investment reaches IDR 4.62 billion.

These examples demonstrate how additional costs typically add 15-25% to the base purchase price, making proper budgeting essential for successful property investment in Bandung.

Which areas offer the best value, growth potential, and premium living?

Bandung's property market shows distinct tiers based on pricing, growth potential, and lifestyle benefits.

**Most Expensive Areas:** Dago, Ciumbuleuit, and Setiabudi command the highest prices due to their scenic mountain locations, prestigious addresses, and proximity to international schools. Properties here cost 30-50% more than city averages but provide stable appreciation and attract affluent tenants willing to pay premium rents.

**Best Upcoming Areas:** Buah Batu, Arcamanik, and Gedebage represent the strongest growth opportunities with new residential projects, expanding infrastructure, and government development plans. These areas show 8-12% annual appreciation and offer the highest future upside for patient investors.

**Most Budget-Friendly Areas:** Gedebage, Cibiru, and outer suburban areas provide the lowest entry costs with properties 20-40% below city averages. These areas require longer investment timelines but offer the strongest percentage returns for buyers who can wait 5-10 years for full development.

The sweet spot for most investors lies in areas like Buah Batu and Arcamanik, which combine reasonable entry costs with strong growth fundamentals and improving infrastructure connectivity to central Bandung.

What investment strategies work best for different property goals in Bandung?

Your investment strategy in Bandung should align precisely with your financial goals and risk tolerance.

**For Primary Residence:** Choose landed houses in established areas like Dago or suburban locations like Buah Batu where you'll enjoy both lifestyle benefits and 6-8% annual appreciation. Focus on properties with good schools nearby and reliable infrastructure, as these factors maintain long-term value.

**For Short-Term Rentals:** Target villas in Lembang or high-end apartments in Dago Atas where tourist demand supports 7-10% net yields. Success requires active management and marketing, but seasonal peaks can generate substantial cash flow during holidays and weekends.

**For Long-Term Rentals:** Apartments near universities in Bandung Wetan or business districts in Sukajadi offer steady 5-6% yields with minimal vacancy risk. Townhouses in secure complexes also attract long-term tenants, particularly expatriate families and professionals.

**For Flipping/Resale:** Focus on affordable landed houses in rapidly developing suburbs like Arcamanik or Gedebage. Target properties needing cosmetic improvements that you can complete within 6-12 months, aiming for 15-25% IRR over 3-5 year holds.

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

How have Bandung property prices moved and what's the forecast?

Bandung property prices show consistent upward momentum with sustainable growth patterns.

**Recent Price Movement:** Over the past year, property prices in Bandung have increased 3-10%, with suburban areas like Buah Batu and Arcamanik showing the strongest gains of 8-10% due to new infrastructure projects and government development initiatives.

**Five-Year Historical Performance:** Cumulative price growth over the past five years reaches 15-25%, with strategic districts near universities and business centers showing the strongest performance. This represents annual compound growth of 3-5%, demonstrating steady market fundamentals.

**Short-Term Forecast (1-2 Years):** Property prices are likely to continue growing at 3-6% annually through 2026-2027, supported by Indonesia's economic recovery, infrastructure improvements, and Bandung's growing technology sector.

**Medium-Term Outlook (5 Years):** Properties in prime locations could see 50-80% total appreciation by 2030, driven by continued urban development and Bandung's emergence as a major technology hub outside Jakarta.

**Long-Term Projection (10 Years):** Well-located properties may double in value by 2035, particularly in areas benefiting from planned transportation improvements and smart city initiatives.

How does Bandung compare with other major Indonesian cities for property investment?

Bandung offers compelling advantages compared to other major Indonesian property markets as of September 2025.

Bandung provides superior value compared to Jakarta's inflated prices while offering better growth prospects than Surabaya's industrial-focused economy. The city's technology startup scene, university population, and government support create stronger long-term tailwinds than markets like Yogyakarta.

While Jakarta commands higher absolute prices and liquidity, Bandung's entry costs allow broader diversification and higher percentage returns. The city's proximity to Jakarta also provides spillover benefits as businesses and residents seek more affordable alternatives to the capital.

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

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. Bandung Property Market Analysis
2. Bandung Price Forecasts
3. Cities to Invest in Indonesian Real Estate
4. Indonesia Property Prices and Buying Process
5. Most Popular Residential Areas for Expats in Bandung
6. Bandung Real Estate Forecasts
7. Bandung Villas for Sale
8. Property for Sale in Bandung