Returns on Bali real estate: what is realistic
Investing in Bali delivers substantially higher returns than in the Netherlands. We work with two levels: the market average per region and what Bali Estate Group achieves on its own projects.
Market averages
Average market returns per region
The figures below are broad market averages for luxury real estate in these areas, based on public market reports. They do not apply specifically to our projects, and they are calculated on the value of the property, whereas we calculate on your investment.
Per region
Uluwatu and Bingin: average market returns after costs between 10 and 14 percent, driven by the scarcity of cliff-front land. Canggu and Berawa: between 8 and 11 percent in a mature market with predictable occupancy. Pererenan and Tabanan: emerging areas with 8 to 10 percent expected annual price growth up to 2028. Ubud: between 7 and 10 percent, with a wellness audience and longer stays.
Our projects
What Bali Estate Group achieves on its own projects
For the projects we develop and sell ourselves, the return after costs sits between 9 and 13 percent per year. That is the return that remains after the all-in management fee of 32 percent and the homeowners association (HOA) fee, expressed as a percentage of your investment, and therefore on a different basis than the market averages above.
Where our figure comes from
We steer on sharper location choices, economies of scale on larger projects such as Nova Ocean Resort, and the choice of an international operator (MĀUA by Swiss-Belhotel) on that flagship project, which structurally raises ADR and occupancy.
Before you commit, we set out in writing for each project which position within our 9 to 13 percent range is realistic. Each quarter we report what actually remains, both after costs and after tax.
After costs and after tax
From rental income to return, and the payback period
What gets deducted
We work with one all-in management fee of 32 percent of the rental income. That fee covers management and operations, utilities, insurance, staff, major maintenance and periodic refurbishment to keep the units on trend. There are no separate property management costs on top of it. Only booking costs from platforms such as Booking or Airbnb are passed on separately and transparently at cost. Alongside that you pay an HOA fee of 175 euros per month.
What remains after those two items is your return after costs, expressed as a percentage of your investment: 9 to 13 percent. In the scenario calculations per unit it works out at around 10 percent at 70 percent occupancy, around 11 percent at 80 percent and around 13 percent at 90 percent occupancy. A 10 percent Indonesian withholding tax then applies to the rental profit. What is left after that is your return after tax.
Leasehold extension falls outside the 32 percent: 6,000 euros for an apartment or the Golf View Private Pool (each extension 5 percent higher), 7,200 euros for a studio and 14,400 euros for a suite or two-bedroom apartment, every five years and only from year 5 through year 50. Your investment is 80 percent of the purchase price, with the remaining 20 percent paid interest-free out of the rental income. At Nova Ocean Resort a rental return guarantee of 8 percent applies for the first two years; that guarantee is limited to that project and to those first two years, and it does not apply to our other projects. Calculated after costs and after tax, the payback period on your investment sits between 8 and 10 years, compared with the 20 to 25 years that is usual for a rental property in the Netherlands.
This explanation is indicative. The 10 percent tax step depends on your personal situation and fiscal structure; we are happy to calculate what you actually keep. Past returns are no guarantee of future results.
Calculator
Calculate your return yourself
Choose a unit, play with the occupancy rate and switch between return after costs and return after tax, including a projection up to 10 years.
After costs is the rental income after the management fee (32%) and the HOA fee. That fee covers the full management and operation: staff, cleaning, maintenance, utilities and insurance. Booking platform costs fall outside it and are already deducted separately in this calculation, at 15% of the nightly rate. After tax deducts the 10% Indonesian withholding tax on rental profit. The leasehold extension falls outside the 32% and is shown as a separate line in the long-term projection.
Indicative calculation. Past returns are no guarantee of future results. Request a personal calculation for your situation.
Why Bali Estate Group
Four reasons why investors choose us
Leasehold up to 80 years
We negotiated extension options up to 80 years, where the market standard is 30 years. At the time of writing unique in the market.
Developer and seller in one
No intermediaries. We select the location ourselves, arrange the legal structure and contract the operator.
MĀUA by Swiss-Belhotel
International hotel operator with decades of experience, on our flagship Nova Ocean Resort. Higher occupancy, lower return variance.
Transparent quarterly reporting
Every quarter, insight into revenue, occupancy and return after tax. Verifiable figures instead of empty promises.
As seen on
Experiences
What our investors say
“We first came across Bali Estate Group through the Lotgenoten podcast, where Roy talked about Bali's property market. He immediately came across as trustworthy, knowledgeable and transparent: he not only highlighted the opportunities, but also spoke honestly about zoning, building materials and possible pitfalls. In our conversation with Pierre, virtually all our questions were answered before we even had to ask them, and there was an instant personal click. The Dutch point of contact and short lines of communication are a big plus, and their involvement does not stop once the sale is done: newsletters with professionally edited videos let you follow the construction closely. We wholeheartedly recommend Bali Estate Group to anyone considering investing in real estate in Bali.”
Tamara & CoenInvestors“Bali Estate Group appealed to me right away: the no-nonsense mentality of Roy and Koen, no sales talk, but projects with real character. After an info evening in Delft I bought my first 2 units, with perfect financial guidance through a contact of Roy's. Now 6 units further: tidy and well organised on the construction site, and the after-sales on location is top notch.”
“After I sold my home in the Netherlands, I knew I wanted to do something with my equity. Through Danny I ended up at the Nova Ocean Resort project. I am very happy with my purchase and with the communication from the Bali Estate Group team. I look forward to the future!”
“We have been investing in real estate for several years, looking for a high return combined with a beautiful country to spend our holidays. Originally we wanted to do this in Spain, but due to licensing restrictions there we moved on to other countries. During our search we came into contact with Bali Estate Group. From day one we had pleasant and intensive contact. We had more than a thousand questions and Bali Estate Group always helped us neatly, quickly and professionally.”
“By early 2022 I was already busy putting my money to good use in real estate for a high ROI. However, this job was bigger than I thought. I came into contact with various parties, but it was all 'almost right'. Until I got in touch with Bali Estate Group at the end of 2024. The people gave me good advice and were able to fulfil all my wishes, and recommended investing in Bali with a high return. The person I am in contact with helps me with everything like a true professional investor. I am very satisfied with how everything is going and will certainly keep doing business in the future.”
“The purchase of Nova Oasis Villa in Canggu in early 2025 was initially a bit sluggish, but everything visibly improved along the way. The team is professional and skilled, and the reports are clear and complete. We have now stayed in the villa and will go again this year; it really feels like our second home.”
FAQ
Frequently asked questions
What is the difference between return after costs and return after tax?
How much does a typical Bali villa earn per year?
What is occupancy in practice?
What operational costs can I expect?
What if the rental income disappoints?
Knowledge base
Read more about investing in Bali
More articles from our knowledge base about investing in Bali.
How do you maximise a real estate investment in Bali?
From location and operator to maintenance and occupancy: the factors with which you structurally maximise the return on your Bali real estate investment.
Read articleHigh returns in Bali?
What is a realistic return on Bali real estate? We explain what comes off the rental income and show which range is achievable in the island’s best locations.
Read articleNet returns in Bali: a realistic calculation
From rental income to return: an honest calculation with all the costs included. Here is how to work out what a Bali unit actually yields after costs and after tax.
Read article
Discuss your situation
Book a no-obligation introductory call. We discuss your goals, capital and horizon and which project fits best.