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Top 5 Places in Bali For Villa Investment

Invest in Bali September 30, 2021
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Best Areas in Bali for Investment

 

The paradise island is beautiful in every part, though some regions fare better than others when it comes to their prospects for real estate investment. This pandemic is a golden opportunity to buy property in Bali, since not only you might find discount land or property for sale in Bali but also you’ll be prepared to welcome the upcoming influx of vacationers once the international border reopens.

 

Better yet, the property market of certain areas is currently ripe for harvest because of the area’s rising popularity which in turn increases the demand for villas. Whether you want to fix and flip, buy-to-let, or develop an investment from zero, these regions are our top picks to invest in Bali's commercial real estate based on the current state of the property market. Here’s our recommendation on the best places to own a villa in Bali right now:

 

All statistics displayed below are based on 2017-2019 data obtained from Airbnb and Vbro that have been analyzed with AirDNA

 

Canggu

 

The trendy region is definitely the first on this list because properties in Canggu have significantly increased in value within the past few years. A melting pot of various cultures and lifestyles, Canggu is currently the most sought-after destination in Bali both for vacationers and business people alike. Berawa, in particular, has skyrocketed into fame thanks to rapid developments that produce attractive amenities and popular establishments like Finns Beach Club and Finns Recreation Club (formerly Canggu Club), making it the primary target to buy land in Bali.

 

The formerly sleepy Echo Beach and Batu Bolong also experience similar changes, welcoming new kinds of crowds in addition to the usual die-hard surfers.

Graphic depicting the average monthly revenue of daily villa rentals

 

With high demand and ample space for development, Canggu is the number one region to invest in Bali. Property for sale in Canggu is selling quickly because of high demand, and it is arguably the best place to buy villas in Bali today. It also has a great selection of land for sale leasehold in all of Bali because it's not fully developed yet.

 

Villas for sale in Canggu are very profitable both for short-term and long-term rentals because the region is the number one pick to find holiday villas or houses for rent in Bali. The region is only second to Seminyak in the short-term villa rental market, surpassing every other tourist destination in Bali. Lease agreements for villa leaseholds in Bali typically last between 20 to 30 years, which is sufficient for capital growth.

 

Tourists and expats keep flocking to Canggu on a daily basis despite its infamy for traffic congestion, flourishing the region’s villa industry not only in its touristic areas but also in the quieter residential neighborhoods.

 

Seminyak

 

Property price in Bali’s oldest resort town is amongst the most expensive on the island for many good reasons, mainly because of its renown as a sophisticated destination. Seminyak attracts a more refined crowd with its luxurious offerings, setting it apart from more laid-back tourist hotspots like the neighboring Canggu.

 

The main streets of Seminyak are full of restaurants, cafes, coffee shops, and a wide assortment of shops, while the luxury resorts are mostly located on the beachfront. Nightlife is very busy, with large crowds concentrated in the famous clubs Motel Mexicola, La Favela, and Potato Head.

 

Though the main streets are undoubtedly lively both day and night, most villas in Seminyak are located in the small streets and gangs so noise problem is not inevitable. Seminyak is definitely not the place to find Bali villas for sale cheap, because villas for sale in Seminyak are among the most expensive due to competition. Despite these perceived drawbacks, Seminyak remains on top of the short-term rental market as it yields the most profits from villas for rent in Bali, more so than up-and-coming Canggu.

 

Seminyak’s location is very convenient for travel and it offers a wide variety of high-end amenities, which is no surprise as to why the region remains highly popular among vacationers to this day.

 

Sanur

 

A long-time favorite of retirees and families with children, good ol’ Sanur is an excellent location for vacation, residence, and investment. Sanur’s ambience is more mature though not as sophisticated as Seminyak, offering a lively nightlife sans the hustle and bustle from Bali’s less refined areas. The beachside is one of the few places in Bali where you can get around on foot or on a bicycle, hence its popularity among foreign residents.

 

Sanur is also the preferred crossing point among vacationers who wish to sail towards Nusa Penida and Nusa Lembongan, so the region is almost never in short supply of visitors. 

 

Graphic depicting the average demand growth for villas, not including villa leaseholds in Bali

 

The demand for short-term rentals in Sanur has remained high over the past 2 years, meaning that its full potential is yet to be tapped. There aren’t too many options for apartments and private villas in Sanur since lodgings are provided mostly by hotels and homestays, which means that there’s ample opportunity to develop your own and then rent it out for rental income.

 

Sanur is a good place to find Bali houses for sale, as they often come with the advantage of being within walking distance from essential facilities. Bali homes for sale in Sanur also tend to retain their classic look if it's something that you desire. Vacant land on the beachside is selling fast and it’s only a matter of time until there won’t be any left to buy or rent, so you’ll have to seize any available opportunity immediately.

 

Bukit Peninsula/Uluwatu

 

Though not as developed as Seminyak or Sanur yet, the laid-back surfer’s paradise is getting more and more reachable by vacationers thanks to recent developments. Home to the most extravagant resorts and amenities in all of Bali, Bukit Peninsula is steadily rising into a primary tourist destination.

 

Tourists are attracted to famous hangouts like Rock Bar at Ayana, Single Fin, and the newly opened Savaya to name a few, while surfers and beachgoers can’t resist the unveiled beauty of Uluwatu’s beaches and picturesque views. Uluwatu is a good place to find villas for sale in South Bali, as the villa offers in the area often feature ocean views that you can't easily find even in places like Nusa Dua.

 

Short term villa rentals in Bukit Peninsula performed well in the last 3 years, with villas in Uluwatu, Ungasan, and Pecatu yielding more monthly revenue on average than those in Ubud. Combined with the widespread availability and reasonable pricing of vacant land in the area, Bukit Peninsula is highly prospective for long term investments as well as starting a rental business in Bali. Although living convenience used to be an issue, sped-up developments have vastly improved the quality and quantity of facilities in the area. 

 

Ubud

 

A celebrated destination for Bali holiday well known for its strong spiritual and cultural heritage, Ubud is the staple destination for vegans, yogis, art lovers, and foodies from all around the globe. From the art galleries to the famous landmarks, Ubud is packed with tourists and expats who instantly fall in love with the town on their very first visit. The region is also a prime choice for retreats and honeymoons, especially in certain parts of Tegallalang where many villas and resorts are hidden within the peaceful jungle.

 

All in all, Ubud’s distinction from Bali’s typical beach town offerings is what makes it wildly popular.

 

Graphic depicting the supply increase of villas for rent in Bali

 

The number of Ubud villas is increasing faster than any other area on this list, which is unsurprising as the short term rental market is flourishing thanks to a steady supply of tourists. Be prepared to compete when offering a Bali villa for rent in Ubud, because the demand is high while pricing tends to be more affordable than in the other regions.

 

Since Ubud’s town center is already quite saturated, you might want to look for opportunities in the outskirts especially if you wish to have a riverside or a rice field view investment.

 

Those 5 regions are the best locations to invest in Bali property today, all offering great potential for investment return on top of their distinctive charms. Bali Home Immo is the best property agency in Bali to help find the right investment for you, as we are backed with an extensive catalog of villasland, and properties both leasehold and freehold for sale in Canggu, Pererenan, Seminyak, and other regions in Bali.

 

Please do not hesitate to contact us if you're looking for Bali properties for rent on a monthly or yearly basis, houses for sale in Bali, villas for sale in Bali, want to sell villas in Bali or want to consult about Bali real estate.

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Top 5 Places in Bali For Villa Investment

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