OXO, Bali often referred to as the Island of the Gods, has long been a top destination for tourists and expatriates. With its breathtaking landscapes, vibrant culture, and thriving tourism industry, Bali presents an excellent opportunity for property investment. In 2025, the demand for high-quality properties continues to rise, making it a lucrative market for investors seeking long-term profitability.
Why Invest in Bali?
- Growing Tourism Industry
Bali remains one of the most visited destinations in the world, attracting millions of international travellers every year. This steady influx of tourists fuels the demand for accommodations, ranging from luxury villas to budget-friendly guesthouses.
- Strong Rental Market
With Bali’s popularity among digital nomads, expatriates, and long-term visitors, the rental market is booming. Short-term holiday rentals and long-term leases provide excellent returns on investment (ROI) for property owners.
- Affordable Property Prices
Compared to other global hotspots, Bali offers relatively affordable property prices, allowing investors to acquire premium properties at competitive rates.
- High ROI Potential
Well-located properties, especially in high-demand areas like Canggu, Seminyak, and Ubud, can generate substantial rental income, with some investments yielding ROI of 10% or more annually.
- Favourable Government Policies
The Indonesian government has been increasingly open to foreign investment, introducing visa schemes and property ownership structures that facilitate investment opportunities for international buyers.
Best Areas for Property Investment
- Canggu
A hub for digital nomads and surfers, Canggu has seen significant growth in demand for stylish villas and co-living spaces. Its vibrant lifestyle, trendy cafes, and beachside charm make it a prime location for investment.
- Seminyak
Known for its luxury resorts, nightlife, and upscale dining options, Seminyak remains a hotspot for high-end property investments, offering strong rental yields.
- Ubud
A cultural and wellness retreat, Ubud attracts expatriates and travellers seeking a peaceful environment. Investment in villas and eco-friendly resorts is on the rise here.
- Uluwatu
Famous for its stunning cliffs and world-class surf breaks, Uluwatu has become a sought-after area for premium beachfront properties and exclusive retreats.
- Sanur
A favourite among retirees and families, Sanur offers a more relaxed atmosphere with steady rental demand, making it ideal for long-term investment.
Investment Options
- Villas and Holiday Rentals
Luxury villas cater to the high-end tourism market and offer impressive rental income, especially in peak seasons.
- Boutique Hotels and Resorts
The hospitality industry is a profitable sector in Bali, with boutique hotels and resorts seeing high occupancy rates.
- Commercial Properties
Shops, restaurants, and coworking spaces in prime locations generate steady business revenue and rental income.
- Off-Plan Developments
Investing in off-plan projects allows buyers to secure properties at lower prices with potential appreciation upon completion.
Legal Considerations
While foreigners cannot directly own freehold property in Indonesia, there are legal ways to invest in Bali, including:
- Leasehold Agreements: Investors can lease land for up to 25-30 years with options for renewal.
- PT PMA (Foreign-Owned Company): Allows foreign investors to acquire land under an Indonesian business entity.
- Nominee Agreements: Partnering with a local nominee is an option but requires careful legal structuring to ensure security.
Invest in Bali
Bali remains an attractive destination for property investors in 2025, offering high returns, strong rental demand, and continuous tourism growth. By selecting the right location, understanding legal requirements, and investing in high-demand properties, investors can capitalise on Bali’s booming real estate market.
If you are considering property investment in Bali, conducting thorough research and seeking professional guidance will help ensure a successful and profitable venture.
