Investing in Bali
Bali is one of the world’s best places to live, invest in or Holiday. With some of the worlds best beach clubs, Cliff front nightlife, shopping and ample dining experiences you have options as far as the mind can reach.
Not to mention the surf, beautiful beaches and easy island hoping on a quick weekend away
There truly is something for everyone
If you have the capital and want to make a good investment, be this for living, or for investment here is some things to consider before making an investment in Bali
Freehold or leasehold? – The most common question we get on a daily basis
For this I would like to start by saying, no foreigner can own a freehold property in Bali using his/her/they name as the title holder. With the laws in Indonesia its simply not allowed.
No the question is “how did Joe down the road get this done?”
For starters, the property is most likely in the name of a local Indonesians name, either a wife or family member. In saying this for individuals that want to secure that they have to power over the title and property would need to make sure that contacts are drawn to secure that you ultimately have the say when it comes to the property. Not the safest way of doing so, and we urge you to really think about maybe doing it as follows.
Secondly, that person may acquire his property using his company’s name. This is also possible as long your company fulfils all requirements to acquire property (as the company’s assets). We call this the PMA method. FYI, PMA is an acronym for Penanaman Modal Asing (Foreign Investment Company) and it refers to the company you own. The setback of this method is that it takes time and money to set up a company here, but it’s the safest way to secure your title.
To build or not to build?
If you’re a builder and you know your way about planning, budgeting, men management and all that stuff, go for it. Outsource everything else. Familiarize yourself with assortments of building materials available in Bali. Learn the regulations, visit building expos, ask around, find a first mate, someone you trust that could build for you. If you decide to build, the workforce is another thing you have to plan out thoroughly, especially in terms of labor supply, management and communication (that can be tricky sometimes, due to language barrier).
Without proper knowledge, even if you’re a builder back home, things can be out of hand really fast, from delays to bad finishing.
If you decide to invest in a resale villa or other type of property instead, make sure that everything is legit and it has a building permit (IMB). Conduct due diligence properly. It may be necessary to consult with a notary public or company that specializes in this kind of service before you make any decision. BVR property and BVR legal can assist in ensuring that everything is triple checked, safe and set you on the right path
What area should we invest in?
Some areas on the island costs quite a bit more than others, but at the same token your return on Investment could be that much higher. On the other hand, a place can lack what is necessary to give high yields, but the cost is twice or three times cheaper and the view is amazing, so it’s worth it. It’s important to calculate everything before making an offer. Whatever place you choose, make sure it fits your needs. A place in Seminyak or Petitenget may be perfect to be developed into a daily or short-term rentals. Look for the plus factor of the area. Gather as much information in this phase. Compare notes with friends or acquaintances that are familiar with the area if necessary.
In this case, the North Kuta area (especially Berawa, Echo Beach, and Pererenan) is still one of the top most-sought-after areas for residential and commercial purposes. The area still continues to develop, with some challenges in the communication sector, especially in fiber optics grids coverage and unstable mobile signal reception. Other than that, residential and commercial incentives (schools, food and beverage, sunny beaches) along with the availability of basic infrastructures will continue to draw investors in years to come.
So what am I In for? Costs please!
Keep in mind that as far as the price is concerned, there are no clear guidelines. The price for land and villas changes on a regular basis in Bali. Pure speculation, property resale or simple greed drive such fluctuation. The government doesn’t regulate property prices. They leave it at the mercy of the seller. Whatever that may be, always remember, that everything is negotiable here in Bali. BVR property will negotiate on your behalf, to find the best and most suitable price points.
Herewith a few tips to consider before making an offer:
- Be flexible with your budget (But always try stick to it as much as possible)
- Work with a professional that can guide you through the process, do cost comparisons and get you the best deal
- Always ask if there are any hidden fees
- You will have to cover notary costs for the transaction over and above the purchasing price
I think we have covered everything, should you need more information, reach out to our professional sales team and they will guide and assist you in finding and securing the best for your investment!
Contact BVR property today
WhatsApp : +628113976689
Email : email@example.com
Phone : (0361) 9348918
Address : Gg. Meduri No.5, Seminyak, Kec. Kuta Utara, Kabupaten Badung, Bali 80236