2025 Forecast: Where the Bali Property Market Is Heading Next

Explore Bali’s 2025 property forecast - rising demand, eco-villas, and high ROI hotspots like Uluwatu and Canggu. See why now is the best time to invest.

Posted on: 
November 3, 2025
Posted by: 
leylines
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Bali has been a top choice for travellers, digital nomads and investors. However, 2025 is a turning year for the Bali real estate market, with demand from abroad at an all-time high.

According to recent times, the real estate market in Indonesia is predicted to reach USD 68.55 billion by 2025, increasing at the rate of 5.8 per cent annual rate. The market is projected to reach USD 90.96 billion in 2030. Bali is at the top of this boom, fueled by an expanding tourism industry as well as a rising interest from foreign investors.

Tourism is still the main driving force. By the best month to visit Bali, international arrivals peak, with 6.3 million tourists recorded in 2024-up by 4.5 million from 2023. This number is expected to increase by an additional 15-20% by 2025, which will fuel a massive demand for Bali properties including luxury villas and luxury rentals.

The Recovery and Growth Story

The Bali property market has grown quickly over the last two years.

These aspects make a Bali property the top choice for investors worldwide, ensuring stable growth and long-term wealth accumulation.

Key Trends Driving the Market in 2025

The Bali property market is experiencing an evolution, with a variety of significant trends defining its course this year:

1. Rise of Compact Villas and Apartments

The data from early 2025 shows that a 62% portion of transactions are currently for 1- and 2bedroom homes as buyers search for affordable and high-demand homes.

This is a sign of a growing market for rentals that caters to small families, couples and long-term renters.

2. Surge in Off-Plan Projects

Off-plan homes are now 37% of the listings in Bali and represent an increase of 180% year-over-year. Investors are gaining advantage of low pre-construction costs and the potential for substantial increase in value when the project is completed.  For example, our ADAYA Boutique Villas project achieved a 25% capital appreciation from off-plan to completion, highlighting the tangible gains investors can realize in Bali’s market.

3. Sustainable and Wellness-Centric Development

The eco-conscious buyer is driving demand for homes made of sustainable materials and amenities for wellness:

These amenities are very well-liked in luxurious villas in Uluwatu Bali, where nature and health blend effortlessly.

4. Remote Work & Digital Nomad Influence

Digital nomads currently account for 20 percent of Bali's rental market. They prefer luxuriously furnished, well-located properties with a high speed internet connection, forcing developers to focus on design and functionality.

Price Forecast and ROI Predictions

Bali real estate market is predicted to grow 10% to 15% by end of 2025, extending its uptrend from previous. Rent yields are one of the best in Asia with 7 to 15 percent gross returns, and the most luxurious villas making as high as 16% annual net ROI in prime areas.

Year Price Growth Average Rental Yield (Net)
2024 8% – 10% 7% – 9%
2025 10% – 15% 8% – 12%

The key takeaway is that investors who invest now can reap the benefits of the strong rental income as well as property value increase in the coming five years.

Emerging Hotspots to Watch

Bali continues to expand as new regions gain recognition as prime investment destinations:

If you’re considering investing in luxury homes in Uluwatu, this region continues to offer premium opportunities with strong growth potential.

Legal Updates for Foreign Investors

Knowing the laws governing Bali's property is essential for foreign buyers. For 2025, there will be three major routes to take:

Risks to Consider (and How to Avoid Them)

Every investment has its own set of the possibility of. Here's what you should be looking out on in Bali:

Working with a trusted developer like LeyLines minimizes these risks. From securing prime land to ensuring compliance, construction quality, and long-term property management, LeyLines provides turnkey solutions that protect and maximize your investment.

Updated Cost Breakdown for 2025

Low Bali living expenses remain one of the biggest advantages, attracting both residents and investors purchasing luxury villas.

Expense Average Monthly Cost (USD)
Property Management ~15% from rental income
Villa Staff Included in the property management fee
Utilities Depends on villa size, typically 10%–15% of revenue

With affordable Bali living expenses, investors can enjoy high margins even after accounting for property management and utilities.

Case Study: ADAYA Boutique Villas

LeyLines' first project, ADAYA Boutique Villas is a good example of the reason Bali is an investment-grade place.

Project Highlights:

This case study proves that even with rising demand, the manageable cost of living in Bali supports both lifestyle upgrades and strong ROI.

2025 is the Year to Invest in Bali

It is believed that the Bali property market in 2025 is about to enter an incredible period of expansion, providing a wonderful mixture of life-style benefits as well as yields that are high. With rising demand and investor-friendly policies, 2025 is the perfect time to secure a Bali select property designed for strong returns.

Start the first step on your investment journey with LeyLines and explore prime opportunities in Bali. Find exclusive properties and set up a consultation for expert insights into Bali's vibrant real property market.

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