How to choose the right villa in Bali to live in or rent out

Choosing a villa in Bali is not just a real estate purchase, but a whole step towards a new way of life. This island is famous for its stunning scenery, unique culture and atmosphere of tranquility, which makes it an ideal place for both personal residence and investment projects. In this article, we will break down how to choose the right villa in Bali to make it enjoyable and profitable.

Why choose a villa in Bali?

A unique way of life

Imagine this: you wake up to the sound of waves gently rolling in, and outside your window you see the green of tropical plants and brightly colored flowers. Life in Bali offers a wonderful combination of privacy and closeness to nature. Here you can enjoy peaceful mornings, spend time on the beach or explore the picturesque rice terraces. This place is ideal for those who want to escape from the hustle and bustle of the city and enjoy the comfort of being surrounded by stunning scenery. In Bali, you will find plenty of opportunities for outdoor activitiesIt has a wide range of activities, including surfing, yoga and meditation, making it attractive to people seeking harmony and a healthy lifestyle.

Investment attractiveness

If you are considering buying a villa as an investment, Bali will not disappoint. High short-term rental income can be as high as 8-15% per annumThis makes this market very attractive for investors. Many villa owners successfully rent out their properties to tourists, which allows them not only to cover expenses, but also to earn a stable income. For example, a friend of mine who bought a villa in Changgu was able to return 70% of her investment in the first year thanks to active renting. With the growing number of tourists every year, the demand for villa rentals continues to growwhich increases the chances of a successful investment.

Popularity among tourists

Bali is one of the top 5 tourist destinations in the world, and this is no accident. The island attracts millions of tourists from all over the world with its beaches, cultural attractions and unique atmosphere. Every year, both surfing enthusiasts and those looking for peace and tranquility come here. This creates excellent conditions for villa rentals, especially in popular neighborhoodsThis is where tourists tend to stay, such as Seminyak and Changgu. With a variety of cultural events, festivals and natural beautiesBali continues to be an attractive destination for tourists, making it an ideal place for real estate investment.

Determination of purchase goals

Before you start looking for a villa, it is important to be clear about your goals. Do you plan to use the villa for personal residence or do you want to rent it out?

For personal residence

If you want to enjoy life in Bali, consider the infrastructure and proximity to beaches, shopping and schools. For example, Ubud is ideal for those seeking seclusion and want to immerse themselves in the local culture. Here you can enjoy tranquility, practice yoga and meditation, and attend art galleries and workshops. On the other hand, if you prefer an active lifestyle , Changu will be a great choice With its cafes, stores and proximity to surfing beaches. The area attracts young people and digital nomads, which creates a unique atmosphere for socializing and sharing experiences.

For rent

If your goal is to rent out your villa, look for locations with high tourist traffic. Choose objects with unique characteristicssuch as an ocean view or a swimming pool. This will greatly increase the appeal of your villa to potential renters. For example, a villa with a panoramic ocean view can not only attract more tourists, but also allow you to charge higher prices per night. Don't forget the extra amenitiesThis will make your villa more attractive than the competition, such as a Jacuzzi, gym or proximity to popular restaurants and entertainment venues. All this will make your villa more attractive against the competition.

It's also worth considering seasonality of demand. For example, during the high season, which lasts from May to September, the demand for rentals increases significantly and you will be able to maximize your profits. By investing in the right location and unique features, you can not only provide a steady income but also enjoy living on this beautiful island.

Locations: where to find the villa?

Now let's take a look at exactly where to look for your perfect Bali villa. Each area of the island has its own characteristics and advantages.

Seminyak

Seminyak is upscale neighborhood with chic beaches, restaurants and nightlife. Here you can find villas with prices ranging from $300,000 to $700,000. This area is ideal for those who want to be in the center of events and enjoy an active life. Seminyak is famous for its trendy stores and restaurantsIn addition, it hosts many events and festivals, making it an attractive destination for tourists and tenants. It also hosts many events and festivals, making it an attractive destination for tourists and renters. By investing in a villa in Seminyak, you will ensure a high demand for rentals, especially during the high season.

NARA VILLAS

from $92 444

Indonesia, Bali, Seminyak

SINI VIE RESORT BALI

from $86 243

Indonesia, Bali, Seminyak

MAGNUM RESIDENCE SEMINYAK

from $250,000

Indonesia, Bali, Seminyak

Changu

Changu has become a veritable mecca for expats and digital nomads. Prices for villas here range from $250,000 to $500,000. This neighborhood offers great rentals as well as plenty of cafes and stores, making it popular with young people. Changu is known for its surfing beaches and creative atmosphereThe city has a great location for people looking for an active lifestyle. There are also many coworking and recreational facilities, making it an ideal place to work and live. When you buy a villa in Changgu, you can expect a steady rental income, especially among young tourists and freelancers.

Nusa Dua

If you are looking for luxurious area with fashionable resortsNusa Dua is your choice. Prices for villas here range from $400,000 to $800,000. This area is ideal for those who want to enjoy a high level of service and a tranquil atmosphere. Nusa Dua is famous for its white-sand beaches and upscale hotelsThis makes it popular with wealthy tourists. International events and conferences are also held here, which creates additional rental opportunities. By investing in a villa in Nusa Dua, you will ensure a high level of comfort and rental income in a prestigious area.

Ubud

Ubud is Bali's cultural and spiritual center. Prices for villas here start from $200,000 and can go up to $400,000. This area is perfect for those seeking peace and inspiration. Ubud is surrounded by picturesque rice terraces and junglesThis makes it an ideal place for meditation and yoga. It also hosts many cultural events, exhibitions and workshops, attracting tourists interested in art and tradition. When you buy a villa in Ubud, you get to enjoy the tranquil atmosphere and high rental demand among those seeking privacy and cultural enrichment.

RUMAH VILLA

from $265,000

Indonesia, Bali, Ubud

TEN

from $259,000

Indonesia, Bali, Ubud

BLUE LAGOON VILLA

from $290,000

Indonesia, Bali, Ubud

VILLA COMPLEX

from $250,000

Indonesia, Bali, Ubud

SERENITY

from $70,000

Indonesia, Bali, Ubud

SOUL VILLAS

from $57,000

Indonesia, Bali, Ubud

Uluwatu

Uluwatu, known for its panoramic ocean views and surfing., offers villas ranging in price from $300,000 to $600,000. It is an ideal place for lovers of outdoor activities and beautiful sunsets. Uluwatu is famous for its surfing beaches and unique rock templesThis makes it popular with tourists and locals alike. The area also offers excellent rental conditions, especially in high season. By investing in a villa in Uluwatu, you can enjoy not only magnificent views but also a steady rental income, attracting tourists looking for outdoor activities and adventure.

Factors to consider when choosing a villa

Once you've decided on a location, it's time to think about the specific aspects that will help you choose the perfect villa. Here are a few key factors to consider.

Size and design

The size of the villa is one of the most important things to consider. If you are planning to rent out the villa, 2-3 bedrooms is optimal to attract as many tenants as possible. This will allow you to cater for families as well as groups of friends, increasing your target audience. For a private residence, think about your needs: perhaps you need a larger kitchen or a separate office for work. It's also important to consider the possibility of expansion if your plans change in the future.

As for the design, here the choice depends on your preferences. You can choose Traditional Balinese style with open spaces and natural materials or modern minimalism with clean lines and modern amenities. Personally, I have always preferred a style that harmonizes with the surrounding nature, so I chose a villa with lots of windows and open space. Remember that the style of a villa can affect its appeal to renters, so choose a design that will be in demand.

Condition of the property

Don't forget to pay attention to villa condition. Some properties may be new and ready for occupancy, while others may need to be remodeled. Check the quality of construction and the materials used. Pay attention to details such as the condition of the roof, plumbing and electrical systems. If you're not knowledgeable, it's best to bring in a professional who can assess the condition of the property and identify potential problems. This will help you avoid additional repair costs in the future.

Infrastructure

Infrastructure is another important aspect. If you are planning to live in Bali, make sure that the neighborhood has all the necessary amenities: stores, schools, hospitals and, of course, beaches. For example, if you choose a villa in Changgu, you will have easy access to stores and cafes as well as the beach, which is great for an active lifestyle. Also look at the availability of public transportation and accessibility to major highways to make getting around the island easier.

Availability

Don't forget about the accessibility of your villa. How far is it from the beach, airport and tourist areas? This can be a deciding factor, especially if you plan to rent out the villa. For example, a villa located within walking distance of the beach will be more attractive to tourists than a property located several kilometers from the sea. Also consider that proximity to popular attractions can increase your rentals, as many tourists are looking for convenience and easy access to points of interest.

Legal aspects of buying a villa

Buying real estate in Bali requires special attention to the legal aspects. There are several important points to consider.

Now that we have dealt with the main aspects of choosing a villa, let's talk about calculating the yield when renting out a villa.

Calculation of profitability when renting out a villa

If you are considering buying a villa in Bali as an investment, it is important to understand how to calculate its return. This will help you assess how profitable your investment will be.

Short-term rentals

Short term rentals are one of the most popular ways to profit from a villa in Bali. Depending on the location, the price per night can range from $150 to $500. For example, a villa in Seminyak located a few minutes from the beach can fetch up to $400 per night in high season.

At the same time, the average occupancy of a villa in high season is about 70-80%. This means that if you rent out a villa for 20 days per month, you can earn between $3,000 and $8,000 depending on the prices. Considering that the high season in Bali lasts from around May to September, you can increase your earnings significantly.

Long-term lease

If you prefer a more stable income, long term rentals can be a great option. Prices for long term villa rentals range from $1,500 to $3,000 per month. For example, if you buy a villa for $300,000 and rent it out for $2,000 per month, your annual income would be $24,000.

Calculation example

Let's look at a specific example. Let's say you buy a villa that costs $300,000. If you decide to rent it out on a short-term basis, with an average occupancy of 75% and a price of $200 per night, your income for the year will be:

• Income for the year: $200 (price per night) × 20 (number of days per month) × 12 (months) = $48,000.
• Net income: taking into account maintenance costs, taxes and commissions, you can expect a net profit of $30,000-$35,000, amounting to 10-12% per annum.

Now that we've sorted out the yield calculations, let's move on to tips for a successful Bali villa purchase.

Tips for a successful purchase

Buying a villa in Bali is an important step that requires careful preparation and planning. Here are some tips to help you make the right choice:

1. Use the services of local agents. They know the market and can offer you the best options considering your needs and budget.
2. Conduct due diligence. This means that you should carefully check the documents, the history of the property and its legal status. Do not hesitate to ask questions and demand proof.
3. Compare price and quality offers. Don't rush into buying, research the market to find the best deal. Sometimes it is worth waiting to find a villa that perfectly meets your requirements.
4. Make sure that all the necessary amenities are in place. If you plan to rent out the villa, make sure it has everything you need for a comfortable stay: kitchen, pool, Wi-Fi, etc.

Conclusion

Buying a villa in Bali is not only an opportunity to enjoy life on this beautiful island, but also a great investment. Approach the process wisely, consider all aspects, and you can find the perfect villa that will become your cozy home or profitable business. If you still have questions or would like assistance in your real estate search, feel free to contact our company. We are always happy to help you on the way to your dream!