The Top 7 Factors when selecting the best locations to invest in Bali

  • Bali Villa Realty by Bali Villa Realty
  • 1 week ago
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Choosing the perfect spot for your investment property in Bali is important… 

Buying a property because it looks nice or is cheap is not enough. You must consider many factors to ensure your investment makes a good profit and thrives.

That’s why it’s crucial to understand the critical characteristics of the best locations in Bali.

Knowing these characteristics will help you make a smart decision about where to invest, matching your goals.

Let me show you the seven main things to look for when finding the ideal place for your investment property in Bali.

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Why choosing a location for your investment property matters

Choosing the right location is extremely important for making your property investment in Bali successful. 

Property in a premium location could give you more than 70% occupancy rates with 15%-17% ROI.

What’s more, properties in the hot spots tend to have high rental income and increase in value quickly.

The best location also depends on who you want to rent to or live in the property. 

Families may want neighborhoods with good schools and amenities like parks. Luxury travelers may prefer high-end areas with golf courses and private beach clubs.

Finding the perfect Bali location requires understanding the island’s many different areas and being transparent about your investment goals. 

You can also visit our real estate listings to find your favorite property in a great location that can give you a high ROI.

Seven factors for knowing the best location in Bali:

Now that you understand why choosing a location is essential for your investment property in Bali, here are seven tips to help you determine what is considered a great location.

Factor #1: Accessibility and Infrastructure

Thanks to its good roads and transportation network, getting around Bali is easy. The Ngurah Rai International Airport is the main entry point for travelers from other countries. 

Property near this airport or major highways and roads is desirable for real estate investors. 

Why? Because tourists and visitors want to stay somewhere convenient and easy to reach. 

In 2023, over 14 million international visitors came to Bali, which means a high demand for easily accessible accommodations. 

Investors can take advantage of this demand by buying properties in locations with easy access to transportation links, such as the airport, major roads, and highways. 

This accessibility makes it easier for guests to come and go, which is attractive to potential renters or buyers.

Factor #2: Proximity to Beaches and Natural Attractions

Bali is famous for its stunning beaches and beautiful natural sights. 

These are some of the biggest reasons people want to visit the island. Properties near well-known beaches like Seminyak, Canggu, and Uluwatu are desirable for investors. 

The same goes for places near iconic attractions like the Ubud Monkey Forest and the Tegalalang Rice Terraces. 

These properties have great investment potential because of their proximity to Bali’s natural charms.

Why is being close to beaches and nature so important? 

Based on a recent post, over 60% of tourists say the beaches are their main reason for visiting Bali. 

Beaches are the top destination choice for visitors to the island. This means investment properties near Bali’s beautiful beaches and natural wonders are in high demand. 

Tourists want to stay somewhere convenient to access and enjoy Bali’s natural beauty during their vacation. For investors, owning a property surrounded by these attractions makes it very appealing to potential renters or buyers.

Factor #3: Established Tourism Hotspots

Buying property in areas of Bali that are already very popular with tourists can be a smart investment. 

These places constantly supply potential renters and buyers for your property. 

Some prime examples of established tourist hotspots in Bali are Seminyak, Canggu, and Ubud. 

These locations are famous for lively restaurant and dining scenes, great shopping, and cultural attractions. 

What makes these areas so appealing for investment? Their popularity means a steady flow of tourists throughout the year.

This increases the chances of finding renters or buyers for your property. 

With world-class dining, shopping, and cultural experiences available, tourists are willing to pay premium prices to stay in the heart of these hotspots. As an investor, owning property in an established tourism center can provide a reliable income stream.

Factor #4: Emerging Neighborhoods and Potential Growth

While investing in famous tourist spots is a safe bet, smart investors also look for upcoming neighborhoods growing in popularity. 

Although these areas may not be well-known, they have great potential for growth and development.

Take Canggu and Pererenan, for example. Just a few years ago, these were sleepy coastal villages with little going on. 

But recently, they have become trendy, attracting many new visitors and investors. Once quiet areas are booming, new construction and businesses are popping up everywhere.

Investors are interested in places like Canggu and Pererenan because property values tend to go up fast as an area grows and becomes trendier. 

Investing early in an emerging hotspot can lead to significant profits. As more tourists discover the area and facilities improve, properties rapidly appreciate. 

While yet to be as established as Seminyak or Ubud, up-and-coming neighborhoods offer exceptional growth potential.

Factor #5: Cultural and Artistic Influences

Bali has a deep cultural heritage and a thriving arts community, which add a unique, authentic appeal to investment properties in some island regions.

The town of Ubud is one of the best examples. It is renowned for its vibrant arts scene, which features traditional Balinese dance, music, painting, and more. 

The town and surrounding villages still maintain traditional Balinese lifestyles, giving the area a unique cultural atmosphere.

Properties in places like Ubud offer a distinctive opportunity for investors. Many tourists visiting Bali want to experience the island’s rich artistic traditions and cultural heritage. 

Owning a property steeped in Balinese aesthetics and traditions allows investors to cater to tourists seeking more than a beach vacation. Cultural immersion offers a unique experience.

Factor #6: Amenities and Lifestyle Offerings

Smart investors look for areas offering more than a place to stay. The best locations provide a complete lifestyle experience with all the amenities and facilities people want nearby.

This includes having quality healthcare clinics and hospitals that are easily accessible. 

International schools for families with children are also important. Shopping malls, boutiques, and lifestyle stores allow guests to enjoy shopping and leisure activities during their stay. 

Restaurants, cafes, bars, and recreational options like yoga studios, gyms, and spas create an appealing environment.

Areas like Seminyak and Canggu are prime examples of places with rapid growth in these lifestyle amenities. 

These towns now boast high-end restaurants, trendy boutiques, and hip lifestyle establishments catering to residents and tourists.

Having medical facilities, schools, shopping, dining, and recreation within reach creates immense convenience and appeal. This lifestyle factor is crucial for property investors to attract potential renters or buyers.

Factor #7: Sustainable and Eco-Friendly Initiatives

More and more people are becoming aware of the need to protect the environment. Because of this, investing in eco-friendly and sustainable properties can be a brilliant strategy.

Bali is a leader in sustainable tourism practices. Areas like Ubud and Canggu are at the forefront of implementing green initiatives, including programs for properly managing waste and providing environmentally friendly accommodations.

For example, some hotels and villas use solar power, recycle water, avoid single-use plastics, and grow their organic food gardens. Little things like this can make a big difference for the planet.

Property that embraces eco-friendly and sustainable practices will be extremely valuable and appealing to investors. Increasingly, tourists are explicitly looking for accommodations that align with their environmental values.

Green property investment can capitalize on the growing demand for sustainable tourism options. 

Their investment will attract the rising number of eco-conscious travelers visiting Bali, which will be a win-win for the environment and their profits!

Conclusion 

Are you excited to make your dream of owning an investment property in Bali come true? Do you want to make good money while experiencing Bali’s unique culture and beautiful scenery?

Then, you’ve got everything you need to know where to invest in your property in Bali.

Focusing on the seven key things we discussed is essential for finding the perfect location that fits your goals.

Remember, this guide is meant to guide you in the right direction, but you can deviate from it when necessary. 

Feel free to get help from local experts and have personalized plans for your villa. The Bali real estate market is constantly changing, so flexibility will help you stay ahead.


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