Bali is an ideal place to buy real estate due to the growing economy and rapid development of the country. That is to say, investing in Bali real estate will provide great returns in no time. This Paradise Island has all the conditions for recreation, life and business. Therefore, Bali is on the first positions in the world ratings of investment attractiveness. In this article we will consider whether it is profitable to invest in real estate in Bali, and how to choose the best residential object for purchase on this Paradise Island.Prospects for the development of Bali
Indonesia takes a well-deserved place among the most promising developing countries, being the seventh-fastest growing economy in the world. An undeniable fact is the decision in 2021 to launch four major projects in Bali that promise to revolutionize the island's tourism industry. These projects include the construction of a new international airport, the largest theme park in Southeast Asia by Paramount Pictures, a Formula 1 track in Northwest Bali and a new cruise port. Expert predictions suggest that these initiatives are driving up real estate values on the island.
Bali is not only a tourist attraction, but also a favorable destination for real estate investors. Here, modern infrastructure is centered around the picturesque nature, volcanoes, rice fields, as well as restaurants and bars overlooking the sea and mountains. The tourist season on the island lasts all year round, making Bali an ideal investment destination.
The real estate market in Bali promises stable returns that exceed the world average. Annual growth in property values is 15-20%, which is on average three times higher than the global average. Meanwhile, rental values are also steadily increasing at 15-20% annually. With a high occupancy rate (65-80%) and the ability to recoup the investment within 5–6 years, real estate in Bali is a solid and profitable investment.
One of the advantages of investing in Bali real estate is the relatively low entry threshold. Apartments starting at $143,700 and cottages with land starting at $212,500 make owning a slice of paradise accessible to a wide range of investors. Government programs aimed at attracting foreign investors provide convenient conditions and transparent legislation, making Bali an ideal place for successful real estate investment.Buying real estate in Bali: what type of housing is best to choose
In Bali, foreigners have the opportunity to purchase different types of real estate, including land, apartments or villas, depending on their investment goals. However, apartments stand out as a particularly favorable option, providing a relatively low investment compared to a villa. Apartments offer a wide range of functionality:
In what area to buy property in Bali
- An ideal place to live;
- An efficient tool for passive income through rentals supported by a management company that takes care of all organizational matters;
- A profitable option for resale, allowing you to purchase apartments during the construction phase and sell them immediately after completion, receiving approximately 50% of the profit from the sale.
Choosing a property in Bali is an important step, and to do it thoughtfully, you need to consider different neighborhoods and investment opportunities. Let's take a closer look at some of the promising locations on this magical island.Changu
One of the most popular neighborhoods in Bali is Changgu. All aspects of a perfect vacation and investment are embodied here. The neighborhood has everything you need:
- Beautiful beaches;
- Entertainment centers;
- Educational institutions.
Changgu offers a variety of housing options, from villas to hotels. Foreign investors often choose Changgu for long-term rental apartments, which provides high rental yields.
The Bukit Peninsula is home to luxury real estate, offering a unique atmosphere and stunning natural scenery. This region provides opportunities for both vacation and investment in coastal villa rentals. Bukit attracts investors looking to generate rental income and enjoy the beauty of the island.Ubud
Ubud is an ideal destination for those seeking tranquility, spiritual development and contact with nature. It is home to new hotels, stores and villas, making it attractive to investors. The demand for rentals in Ubud is increasing and the cost of apartments remains affordable, making the area attractive for long-term investment.Sanur
Sanur is a developed oceanfront neighborhood. It has everything for comfortable living and recreation: schools, golf course, restaurants and medical facilities. Real estate in Sanur is one of the most attractive investment areas in Bali.Northern Areas
Bali's northern districts are of interest to those looking for luxury, affordable villas. Despite their distance from the sea, they promise privacy and tranquility. Northern provinces such as North Pererenan and Seseh are beginning to attract the attention of investors due to their unique nature and affordable prices.
It is important to do a thorough analysis before making a choice. Weigh your investment goals, housing needs and future plans. With the right approach, investing in Bali real estate can bring not only financial rewards, but also an incredible experience of living on this amazing island.Conclusions
Professional analysts predict that the development of the Bali real estate market between 2023 and 2024 promises to be highly promising for investors. With sustained tourism being a key factor in the country's economy, the opportunity is opening up for foreigners to purchase apartments and villas on the island on a regular passport, while securing a ten-year residency permit.
With attractive real estate prices, the timing is ideal for investment. The expected increase in the value of housing in Indonesia offers the prospect of significant income, as well as the opportunity to become the owner of a luxury apartment on the ocean.