Instead of spending weeks checking developers one by one, you can use Hatamatata— a platform with listings from verified agencies and trusted developers.

Where to Buy: Neighborhoods That Never Lose Value

Each area of Bali has its own character and rental audience:

• Canggu — the hub of digital nomads, where rentals are booked months in advance;

• Seminyak and Kuta — lively areas with restaurants, nightlife, and constant tourist traffic;

• Ubud — Bali’s cultural and spiritual heart, surrounded by rice terraces and jungle. Perfect for long-term rentals;

• Nusa Dua and Uluwatu — prestigious premium zones with luxury villas and five-star resorts.

Not sure which area fits you best? On Hatamatata you can filter properties by location and compare prices instantly.

How Foreigners Can Buy Property in Bali

Indonesian law does not allow foreigners to directly own freehold land, but there are several legal solutions:

1. Leasehold. Long-term lease agreements of 25–80 years, with rights to rent out, resell, or inherit;

2. PT PMA (foreign-owned company). Allows full freehold ownership but requires setting up a local company and bookkeeping;

3. Hak Pakai (right of use). Common for condominiums and apartments, issued for up to 30 years with renewal options;

4. Hybrid structures. Land under leasehold, while the building is registered through a PT PMA.

Key points to note:

• Purchase tax is about 5% of the property price;

• Rental income tax is around 10%;

• All contracts must go through a notary and be registered with the land office;

• Contracts must be translated into Indonesian and notarized.

Step-by-Step Buying Process

Here’s how a typical purchase works:

1. Define goals and choose an area;

2. Select a property and check documents;

3. Conduct legal due diligence;

4. Sign a preliminary agreement and pay a deposit;

5. Finalize the deal with a notary and register it;

6. Make the payment (full or staged for off-plan projects);

7. Receive official ownership or lease documents.

The whole process usually takes 2–6 weeks.

Property Management and Rentals

Most investors don’t live in Bali full-time, so they hand property management over to local companies.

Services include:

• Marketing the property on Airbnb, and local platforms;

• Guest check-in, cleaning, and daily maintenance;

• Accounting and reporting;

• Handling repairs and small expenses.

Management fees are typically 20–30% of rental income. For investors, this is the easiest way to generate passive income.

Rental strategies:

• Short-term rentals — higher income but more operational costs;

• Long-term rentals — lower returns but more stability and fewer expenses.

Savvy investors often mix both models to maximize occupancy.

Returns: How Much Can You Really Earn?

Numbers speak louder than words:

• Average returns for villas and apartments are 8–12% per year;

• In prime areas like Canggu or Seminyak, yields can reach 15%+;

• Payback period is about 6–7 years, much faster than in Europe or Moscow.

Example: A villa worth $200,000 rents for $150–200 per night. With 70% occupancy, that’s $35,000–40,000 annually. Even after taxes and management, the net income is $25,000–30,000.

Comparison With Other Countries

How does Bali compare to other hotspots?

• Dubai offers strong liquidity but requires much higher initial investment;

• Turkey is popular thanks to residence permits, but rental yields are generally lower;

• Thailand has a similar climate and demand, but its market is already saturated, so growth is slower.

Bali strikes the perfect balance: affordable entry, high returns, and strong appreciation potential.

Market Outlook: What’s Next in 5 Years?

Experts predict continued growth in Bali’s real estate sector due to:

• rapid infrastructure development;

• increasing tourist flows and digital nomads;

• rising interest from international investors;

• potential expansions in ownership opportunities for foreigners.

Property prices are expected to rise by 30–40% in the next five years, especially in premium coastal locations.

Risks to Consider

Even paradise has its downsides:

• Legal changes: regulations may shift;

• Developer reliability: not all companies deliver as promised;

• Seasonality: occupancy drops in the low season;

• Expenses: management, taxes, insurance, and utilities reduce net returns.

Experienced investors minimize these risks by working only with reputable developers and legal experts.

Conclusion: Should You Invest in Bali Real Estate?

Bali real estate is more than a tropical dream — it’s a profitable asset. Villas and apartments usually pay back in 6–7 years and then generate pure profit.

With proper planning, legal support, and a trusted developer, Bali property can become a long-term income source.

And if you’re still wondering where to find the best opportunities, the answer is simple: on Hatamatatayou’ll find listings from verified agencies and developers, making your investment journey safe and straightforward.