Increasing tourist flow in Bali boosts demand for property rentals

Increasing tourist flow in Bali boosts demand for property rentals

Investment in buy-to-let property is becoming more and more profitable. The housing market is continuing to experience strong growth in 2023, with rental property in high demand. The most popular areas of Bali are Canggu, Seminyak, Bukit and Jemagi Sesekh.

According to the Bali Central Statistical Agency (BPS Bali), in the first quarter of 2023, over 350,000 foreigners visited the island every month. This confirms that the tourism industry has successfully weathered the temporary downturn associated with the pandemic and is recovering.

The occupancy rate for rental properties in Bali has reached pre-pandemic levels. The highest yield rates have been observed in Seminyak, which is followed by Changu, Bukit and Jemagi-Sesekh.

Short-term rentals remain the most profitable option. On average, a landlord can receive from $500 for an apartment and up to $1,500 for a villa per day. Long-term rental rates directly depend on the amenities a property has to offer and its condition, but even an average apartment can bring a landlord more than $100,000 a year. This figure can be considered as a starting point, since the rent rates for high-end units are much higher. The demand for rental property in Bali confirms the potential high returns for local investment housing.

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