Why Bali Still Works for Investment in 2025

Published on 9 November 2025 at 23:33

By Elly, OPI

 

When I first set foot on Bali, I wasn’t just drawn by the turquoise waters and rice-field views—I was looking for the next property hot-spot. And today I believe Bali remains a very compelling international investment destination. Here’s why:

1. Strong Tourism & Digital‐Nomad Tailwinds

Tourism levels are rebounding strongly, which fuels demand for short-stay properties. In addition, Bali has become a magnet for digital nomads—longer stays, furnished villas, flexible living. This means investors aren’t purely reliant on peak holiday seasons.

 

2. Rental Yield Potential Above Global Norms

In numerous reports, villas in Bali are showing rental yields gross of around 7 %-15 % in prime areas. Some older reports even quoted up to 15-20 % or more—but with caveats. 

To be clear: the globe-average rental yield is much lower (c. 5 %). 

3. Property Appreciation Upside

In certain hot zones of Bali—such as Canggu and Uluwatu—land and property values have been growing at rates up to 15–20 % in some reports. That gives both income and capital-growth dimensions to the investment.

 

4. Entry Threshold Still Reasonable

While luxury villas cost a premium, there are more modest investment-entry points in Bali compared to many Western markets. Some sources suggest you can begin with smaller villas or apartments from ~$150k onwards. 

 

5. Cultural & Lifestyle Pull

Bali isn’t just an investment island—it’s a lifestyle one. That adds non-financial value (which many of our OPI‐readers appreciate). The ability to enjoy the property, rent it out, or combine both is part of the appeal.

What to watch / caveats:

 

Legal structure is vital 

 

Location still matters hugely. Yields vary widely by zone. 

 

Management cost, occupancy fluctuations and maintenance can bite net returns.

 

Because yield expectations have become more “mature,” don’t expect doubling your money overnight. Some recent commentary suggests more realistic expectations of 7-12 % net returns. 

 

 

Bottom line:

If you’re looking for a “buy and forget” scheme with modest returns, Bali may not be for you. But if you’re open to leveraging the tourism/digital-nomad trend, willing to choose the right location and set up the right structure, then Bali remains a very interesting investment for 2025 and beyond.

🌴 Investing in Paradise: Your Free Guide to Buying Property in Bali

 

Have you ever imagined owning your own little slice of Bali – perhaps a tranquil villa tucked between lush rice fields, a chic coastal home near Seminyak’s beach clubs, or a luxury retreat perched above the cliffs of Uluwatu?

 

It’s no wonder so many international buyers are drawn here. With its tropical climate, deep cultural heritage, warm hospitality and year-round appeal, Bali continues to rank among the world’s most desirable destinations for lifestyle and investment property.

 

Whether your goal is a peaceful getaway, a relocation to island life, or a property that generates solid rental income, Bali delivers an enticing blend of beauty and opportunity.

 

The best part? There are real, accessible pathways for overseas buyers — from leasehold villas to managed resort investments — and with the right guidance, you can navigate the legal and financial aspects smoothly.

 

That’s why we created the FREE Bali Property Buying Guide, independently researched and written to give you expert insights, essential local knowledge, and step-by-step advice for buying safely and smartly in Indonesia’s island paradise.

 

✨ Download the guide today and start exploring how you can invest in paradise with confidence.


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