Is Buying Property in Bali Safe?

Dreaming of your own villa in Bali? You're definitely not alone. Bali has quickly become a hot spot for property investors and it's easy to see why. In 2024, over 6 million tourists visited the island and that number keeps growing. For investors, that means a strong demand for short-term rentals and a reliable income stream.

Even better, property values in Bali are rising steadily – growing at an average annual rate of 8–15%. It’s one of the most promising long-term investment markets in Asia. Still, no matter how good the numbers look, one question tends to pop up: Is it actually safe to buy property in Bali? 

The short answer? Yes, it can be. In this blog post, we’ll walk you through the key risks to watch out for, along with practical tips to help you make smart decisions and keep your investment secure and profitable.

Smart Decisions Begin with Understanding

Before diving into Bali’s property market, it’s essential to grasp the full picture. Knowing the process from the start can help you avoid costly mistakes and make your investment a success. Take time to explore the island’s diverse regions – each one of them offers something unique. Whether it’s the lively energy of Canggu, a hotspot for digital nomads, or the peaceful, spiritual vibe of Ubud, there’s a location to match every lifestyle and strategy.

It’s also wise to consider early on whether you want to invest in a completed property (on-plan) or get involved in a development that’s still under construction (off-plan). For international buyers, understanding Indonesian property laws is a key. Since foreigners can’t directly own the land, you’ll need to explore legal pathways – be it a long-term lease, working with a local nominee or setting up a foreign-owned company (PT PMA).

Partner with a Trusted Developer

Successful property investment in Bali starts with choosing a reliable and experienced developer or licensed agent. While it’s common for someone to recommend a “local contact,” relying on informal connections without proper background checks can lead to serious issues – ranging from incomplete documentation and inflated prices to outright fraud.

A seasoned developer understands the local legal landscape, can accurately assess a property's condition and knows how to avoid costly mistakes like poor waterproofing, faulty drainage or missing building permits.

Working with a professional developer means access to a trusted network of architects, engineers, and legal advisors – all focused on delivering a high-quality, legally compliant result. The right partner isn’t just a middleman, they’re a knowledgeable guide who supports you at every step and helps you make well-informed investment decisions.

Never Buy without a Proper Legal Contract

Verbal promises and handshake deals simply aren’t enough in a market like this. Every transaction should be backed by a legally binding agreement, prepared by a qualified lawyer who specializes in real estate. A solid contract protects your rights, helps prevent ownership disputes and ensures you're not caught off guard by hidden issues down the line.

Not Everything That Shines Is Gold

We all want to get the most for our money – it’s only natural. And in many cases, hunting for the best deal pays off. But when it comes to investing in real estate, the cheapest or flashiest offer isn’t always the smartest choice.

From what we've seen, cutting corners to secure a bargain property in Bali often leads to costly trade-offs. Things like poor ventilation, weak construction, or impractical design choices can quickly turn your dream into a headache.

That’s why we focus on thoughtful planning and top-tier craftsmanship. Our developments follow strict European standards just like in Estonia, ensuring that every villa is built to last. The result? High-quality homes that are comfortable, durable, and truly ready to enjoy, with no unpleasant surprises down the line.

Management Is Also Important

Buying a villa is only the first step. After that, your property will need daily care and attention to keep it in good condition – whether for your own use or for renting out to guests. If you're not in Bali all the time, it's wise to consider professional management services.

This is where a full management service comes in, covering all your day-to-day needs. From the cleanliness and technical upkeep of the villa to managing reservations and answering guests' questions. The result is a seamless, worry-free and professional experience – you can focus on your business while your villa is well maintained and ready to welcome guests at any time.

3 Most Common Mistakes

Thinking about investing in Bali? Before making any big decisions, keep these key takeaways in mind:

1. Avoid relying on a “friend of a friend” who claims to be a local agent. Personal connections are great, but property deals require professional experience and accountability.

2. Never proceed without a proper legal contract. Verbal agreements or vague promises can lead to serious trouble later on. Always work with a licensed notary and legal advisor.

3. Be cautious, even with “trusted” agents. If they don’t personally know the seller or can’t provide verified information, that’s a red flag. Transparency and traceability matter more than charm or reputation.

Contact Us

Ready to take your first step into the Bali real estate market? We'd love to help. Reach out to us at info@venturevillasbali.ee or schedule a video call with our CEO. From the first question to the final signature, we’ll guide you every step of the way making your investment journey smooth and stress-free.