In 2024, Bali remains a top destination for property investors, and its real estate market continues to attract buyers worldwide. Known for its stunning beaches, vibrant culture, and growing infrastructure, Bali offers a mix of luxury villas, affordable land, and investment opportunities that are difficult to resist. Whether you’re looking to buy a vacation home, an investment property, or a permanent residence, the Bali real estate market provides a wide range of options. This article will explore the current Bali housing market prices, trends, and key factors influencing the cost of buying a house or villa on the island.
Average Real Estate Prices in Bali
While understanding the current prices is essential, it’s equally important to explore the factors driving these trends. Now, let’s take a closer look at the real estate price trends in Bali and what influences property values across the island.
Housing Market Overview
As of 2024, Bali’s real estate market is diverse, catering to various budgets and preferences. Average property prices vary significantly based on location, property type, and proximity to tourist hotspots. Here’s an overview of current average real estate prices for popular property types:
- Villas. Luxury villas in Bali typically start at around USD 119,000 in areas like Ubud and can go up to USD 1 million or more in prime areas like Seminyak or Canggu.
- Land. Land prices per square meter range from USD 50 to USD 300, depending on location, with coastal and tourist areas being more expensive.
- Apartments. Apartments are less common than villas but can be found in urban areas like Denpasar and Seminyak, with average prices starting from USD 100,000 for a small unit.
Price differences are notable between Bali’s urban, rural, and coastal areas, with Seminyak, Ubud, and Canggu being the most expensive due to their popularity among tourists and expats.
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Real Estate Price Trends in Bali
Over the last few years, real estate prices in Bali have shown steady growth. Even during the global pandemic, interest in property in Bali remained strong. As tourism rebounds, Bali property values are expected to rise further, with some areas potentially seeing a 10-20% increase in house prices by the end of 2024.
Price Statistics from the Central Bank of Indonesia
According to the Central Bank of Indonesia’s (Bank Indonesia) report on real estate prices across various regions of the country for Q1 2024, property prices in Bali (Denpasar) increased by 1.48% year-on-year (YoY) and 1.06% quarter-on-quarter (QoQ) in real terms (adjusted for inflation). The Residential Property Price Index (IHPR) has shown accelerated growth. In the previous quarter, the IHPR was recorded at 0.43% YoY.
The rise in the IHPR for the reported period was primarily driven by price increases across three types of property on Bali:
- Small units (less than 36 sqm): Prices rose by 1.77% compared to the same period last year.
- Medium-sized units (36-70 sqm): Prices increased by 2.13% YoY.
- Large units (over 70 sqm): Prices grew by 1.07% YoY.
For comparison, prices for these segments increased by 0.9%, 0.19%, and 0.33%, respectively, in the previous quarter.
| 2022 | 2023 | 2024 | ||||||||||
| Residential Property Type (size) | Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | Q1 | |||
| Small | 101,93 | 101,85 | 102,17 | 102,26 | 102,3 | 102,59 | 103,18 | 103,18 | 104,1 | |||
| Medium | 102,27 | 102,32 | 102,76 | 102,81 | 102,84 | 102,85 | 103,01 | 103,01 | 105,02 | |||
| Large | 102.6 | 102.05 | 102.03 | 102.03 | 102.03 | 102.03 | 102.37 | 102.37 | 103.13 | |||
| Total | 102.37 | 102.08 | 102.24 | 102.28 | 102.29 | 102.36 | 102.71 | 102.71 | 103.81 | |||
Factors Affecting Real Estate Prices in Bali
The factors driving property prices in Bali are complex and varied. Let’s now delve into what specifically influences the market and how these factors play a crucial role in shaping real estate trends across the island.
Property Location
Location plays a critical role in determining Bali housing market prices. Popular areas like Seminyak, Canggu, and Ubud offer high investment potential due to their popularity among tourists and digital nomads. Coastal properties, especially those near Bali’s famous beaches, can command premium prices, while rural properties are more affordable but may lack accessibility to key amenities.
Type of Property
Bali real estate includes a wide range of options, from luxury villas in Bali to affordable land plots. Villas generally have higher price tags due to their amenities and prime locations. Land plots, especially in developing areas, offer a more budget-friendly option for those looking to build their own property. Newly built properties tend to be more expensive than pre-owned ones, but they provide modern features and better construction quality.
Discover affordable oceanfront apartments in Bali’s Canggu district. Surrounded by stunning beaches and lush landscapes, these budget-friendly properties offer both personal use and high rental potential. Starting at just $75,000, with daily rental rates up to $130, you can expect strong returns and a payback period of 5-8 years. Invest in Canggu’s fast-growing market and enjoy steady rental income or profit from resale. Reach out to our experts for more details on these opportunities!
Accessibility and Infrastructure
Easy access to major roads, airports, and essential public services significantly impacts property prices. Areas with developed infrastructure, such as Seminyak and Canggu, see higher demand and prices. With the ongoing development of roads and airports, areas that are currently more remote may experience a rise in property values in the near future.
Popular Areas to Buy Real Estate in Bali
Bali offers a wide range of real estate investment opportunities, with each area presenting its own unique appeal and market dynamics. Let’s explore the most popular locations to buy property on the island and what makes each of them a compelling choice for investors.
Seminyak
Seminyak is one of Bali’s most sought-after areas for luxury villas and beachfront properties.
Average Villa and Land Prices in Seminyak
- Villas: You can find offers at USD 160,000 and above (USD 1,900,000) for high-end properties.
- Land: USD 467 per square meter.
The area is famous for its vibrant nightlife, upscale dining, and proximity to Bali’s beautiful beaches. It remains a prime location for investment, especially for those looking to tap into the lucrative short-term rental market.
Canggu
Canggu, known for its laid-back vibe and surf culture, is a favorite among expats and digital nomads.
Average Property Prices in Canggu
- Villas: USD 300,000 to USD 700,000, depending on size and proximity to the beach. However, you can find offers starting from USD 130,000 and going sky-high to an astounding USD 4,200,000.
- Land: USD 150 to USD 250 per square meter.
The area has seen a rapid increase in property development, with luxury villas in Canggu offering a strong return on investment through both rental income and resale value.
If you want to buy property here, take a look at the secluded Cocoon Villa, located in Bali’s Canggu district. This innovative architectural concept blends seamlessly with nature, offering maximum comfort and privacy. Perfect for personal use or as a lucrative investment, the villa features one bedroom, a jacuzzi, and an open layout. With a purchase price of $207,900 and an estimated annual rental revenue of $65,700, it promises a 12.8% net income. Construction is set to be completed by September 2026.
Ubud
Ubud is the cultural heart of Bali, attracting those seeking peace and a connection with nature.
Average Villa and Land Prices in Ubud
- Villas: Starting at USD 119,000 for smaller units and reaching USD 3,300,000.
- Land: USD 221 per square meter.
Luxury Villas in Ubud – A Smart Investment Opportunity
An exciting investment opportunity is the luxury villa in Bali project located in Ubud. These villas, priced at USD 170,000, offer a projected rental income of 12-15% annually, making them an ideal option for investors. Surrounded by rice terraces, these properties are designed to cater to both vacationers and long-term tenants, providing a balanced blend of personal and rental usage.
Please take a look at our exclusive offer: luxury villas in Ubud, which is a lucrative investment opportunity.
Other Emerging Areas
While Seminyak, Canggu, and Ubud dominate the market, areas like Singaraja, Sanur, and Jimbaran are gaining attention due to their affordability and future growth potential. Property prices in these regions are still relatively low, but they are expected to rise as infrastructure improves.
Types of Properties Available in Bali
The types of properties available in Bali cater to various preferences and investment goals, making the island an attractive real estate market. Here’s an overview of the key property types you can explore:
Villas
Villas in Bali are available in various price ranges, typically depending on location, size, and amenities. High-end properties often feature swimming pools, modern designs, and proximity to beaches or tourist areas.
Land
Land is a popular option for individuals looking to build homes or develop commercial properties, with prices varying widely depending on location. Rural areas often offer more affordable land options compared to urban centers. However, investors should be mindful of regulations, particularly leasehold and freehold distinctions. For foreigners, the concept of hak pakai, which refers to the right of use or leasehold, is an essential term to understand when purchasing property.
Apartments and Condominiums
While less common than villas, apartments are more affordable and often found in urban areas. They appeal to those seeking a low-maintenance residence or rental property.
Commercial Properties
Investing in commercial properties, such as hotels, restaurants, or retail spaces, can offer significant returns, especially in tourist-heavy regions. These properties generally have higher price tags but promise a strong return on investment.
Conclusion
Bali’s real estate market continues to offer excellent opportunities for investors, with property values expected to rise in key areas. Whether you’re looking to buy a villa in Bali, invest in land, or purchase a commercial property, the island provides a variety of options to suit different budgets. Contact our real estate experts today to start your journey towards owning a piece of paradise.
How much does the average villa cost in Bali?
The cost of a villa in Bali varies widely depending on its location, size, and amenities. In popular areas like Seminyak and Canggu, a luxury villa can range from USD 300,000 to USD 1 million or more. In Ubud, smaller villas may start at around USD 119,000, while larger, more luxurious properties can exceed USD 500,000. Coastal areas generally command higher prices due to proximity to beaches and tourist attractions, while inland or rural areas offer more affordable options.
Is it profitable to buy property in Bali?
Yes, buying property in Bali can be very profitable, especially in popular areas like Seminyak, Canggu, and Ubud. Villas in these areas can generate a high return on investment (ROI) through rental income, with annual yields typically ranging between 12% and 15%. Additionally, property values in Bali have been steadily increasing, particularly in tourist-heavy areas, making it a lucrative investment for both short-term rentals and long-term property appreciation.
What are the costs associated with buying real estate in Bali?
When buying real estate in Bali, there are several additional costs to consider beyond the purchase price. These include:
– Taxes: Capital gains tax is 10% for residents and 20% for non-residents. There’s also a transfer tax of 5% on property value.
– Legal fees: A notary fee of 1% is typically required, which is split between the buyer and seller.
– Other costs: Expect to pay for due diligence, property inspections, and possibly agents’ fees, which can range from 2-5% of the purchase price.
These costs should be factored into your budget to get a clear
understanding of the total investment required when buying property in Bali.
15 October 2024 