🏝 Owning Property in Bali in 2025: What Investors Should Know

Buying a villa or apartment in Indonesia isn’t just about acquiring real estate — it’s about running a small business. In 2025, more developers are offering full-service solutions: from tenant search to tax reporting, property management companies handle it all. But investors still need to understand the cost structure. Here’s a quick breakdown:

💼 Property Management

Property management firms take care of everything, offering a hands-off experience.

▪ Their commission typically ranges from 15% (for monthly rentals) to 30% (for daily rentals).

▪ Platforms like Airbnb charge an additional 4–9% in service fees.

📄 Taxes

▪ 0.5% annual property tax.

▪ 10% income tax on rental revenue.

▪ 11% VAT (applicable to commercial rentals).

▪ Notary fees are symbolic — about $0.60 per document.

🛡 Insurance

While most new builds meet earthquake resistance standards, many owners still opt for extra coverage.

▪ Basic insurance starts at $190/year.

▪ Extended coverage (including natural disasters) can reach $635/year.

💡 Utilities

Utility costs are relatively low and predictable:

▪ A 70 m² villa averages about $345/month for electricity and services.

📊 Real Example: 70 m² Townhouse

▪ Monthly rental income: $3,850

▪ After taxes, management fees, and utilities: ~$2,600 net income

📌 Takeaway:

Property in Bali is evolving into a full-fledged service model. With the right developer and property manager, investors can enjoy steady passive income — as long as they factor in the full picture of operating costs.