Market Report

The numbers behind the market.

No hype. The figures we use ourselves when we advise buyers, yields, occupancy, the legal path, and where the upside actually sits.

Updated June 2026 Bali, Indonesia
6-12%
Net rental yield on well-placed villas (after costs)
~61%
Bali hotel occupancy, official full-year 2025 (BPS)
6.95M
Foreign arrivals to Bali, 2025 (+9.7% YoY, BPS)
25-30 yr
Standard leasehold term, extendable by contract
$397K
Average foreign-buyer villa price (market listings)
$130K
Entry to the Second Home Visa (bank-deposit route)
The fundamentals

What the market actually says.

Demand that holds through the year

Bali ran the highest hotel occupancy of any Indonesian province in 2025, roughly 61% full-year on official BPS data, against a 49% national average. Well-managed villas in prime areas typically run higher (65-78% annually), but expect a real low-season dip to 40-55%. Consistency, not peak-week spikes, is what underwrites the return.

Yields, stated net, not gross

Most Bali sales pages quote gross. We lead with net. After management, platform fees, tax and upkeep, well-located villas typically net 6-12% a year, Canggu/Berawa and Uluwatu/Bingin at the top of that band, standalone villas often lower. The strongest, professionally run assets can clear it; the headline "up to 20%" figures are gross and sell-side. Net is the number you actually keep.

A legal path, not a workaround

Foreigners cannot own freehold (Hak Milik), that is fixed in law. The recognised routes are leasehold (Hak Sewa), individual Hak Pakai (needs a residency permit), or holding via a 100%-foreign PT PMA company. Leasehold runs a 25-30-year initial term, extendable only where the extension is written into the original contract, never automatic. Nominee structures remain legally void. No workarounds.

Where the off-plan upside sits

Buying off-plan from a credible developer means entering 20-30% below finished value, with payments staged across a roughly 9-18-month build against construction milestones. Buyers who hold from stage one to handover have typically captured ~20-30% by completion. These are developer/agency figures with no government index behind them, treat them as a market norm, not a guaranteed return.

Area snapshot

Where, and who each area suits.

Canggu / Berawa

The most established hub, schools, supermarkets, medical, and the largest, most liquid slice of the market. Net yields typically 8-12%; you pay for maturity and the appreciation runway is shorter. Inventory moves fast.

Pererenan

Canggu-adjacent, one step quieter. Newer builds, more land per dollar, roughly 20-30% cheaper entry than Berawa for comparable net yields (~9-12%). The value play next to a mature market.

Uluwatu / Bingin

The Bukit peninsula, Bali's fastest-appreciating sub-market, clifftop scarcity and the highest nightly rates on the island. Higher upside, but also the highest infrastructure risk: narrow access roads and patchy water in remote pockets.

Nuanu

A privately master-planned "creative city" in Tabanan, operational from 2025. Design-led, early-stage upside, but single-developer concentration risk and higher variance. Verify the title and permits on any unit before you commit.

Ubud / Sidemen

Nature-led and calmer, wellness-driven guests, longer average stays. Ubud is the established market; Sidemen the earlier, cheaper alternative further east, with more upside off a low base but thinner rental demand today. Yields here are property-specific, we model the actual unit, not an area average.

Next step

Want this modelled on a real property?

We'll run the yield, walk the legal structure, and show you inventory that fits the brief, not a pitch deck.

Speak with our advisors

Occupancy and arrivals figures are official BPS-Statistics Indonesia data (2025). Yield, price and off-plan figures are directional market estimates drawn from property-portal and developer data (sell-side) plus OXO / Terra / Canggu Properti project data, net of costs where stated, and not a guarantee of return. Legal-structure and visa figures are accurate at June 2026 but must be confirmed with a PPAT notary / Indonesian immigration before you commit; we model the specifics on real inventory first.

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Answers to the questions that always come up

Why is it leasehold and not freehold?

Foreigners cannot hold freehold (Hak Milik) in Indonesia. That is fixed in law, not a quirk of this project. The standard route is a leasehold of 25 to 30 years, agreed before a notary, with no local partner involved. An extension is only real where it is written into the original contract, so that clause is the first thing to read. Our full breakdown of both routes is here.

Leasehold vs PT PMA

Can I legally own this as a foreigner?

Yes, through one of the recognised structures: leasehold (Hak Sewa), Hak Pakai if you hold a residency permit, or a 100% foreign-owned PT PMA company. Nominee arrangements, where a local holds the title for you, are void under Indonesian law and we do not use them. Which structure applies to this unit is stated on the listing, and a licensed notary confirms it before you commit. We give you the facts; the notary gives the legal opinion.

How foreigners own Bali property

How do I know it will actually be built?

You do not get certainty, you get evidence. Ask for the developer's completed projects and go and look at them, and ask us for the payment schedule so you can see how much money is exposed at each stage. Indonesia has no statutory escrow for off-plan funds, so the payment schedule and the developer's delivery record are the real protection. We will tell you what we can verify on a project and what we cannot.

Are these rental yields real?

The 18 to 20 percent numbers in this market are gross and sell-side. Net is what you keep, after management, platform fees, tax and upkeep, and on well-placed villas that lands around 6 to 12 percent a year. Bali ran roughly 61 percent hotel occupancy full-year 2025 on official BPS data. Our published market read shows the deductions and names the sources.

Bali market report, with sources

Why buy through you rather than direct from the developer?

A developer can only sell you their own building. Our book is deliberately small and we have walked every unit in it, so the comparison you get includes the ones that are wrong for you and the reason why. If the right answer is a project we do not represent, we will say so. The whole portfolio is public and you can filter it yourself.

The full portfolio