It’s 2022 and the pandemic is still going strong across the world. It goes without saying that demand for villas has dropped as Bali’s borders remain largely closed to international tourists; only those holding a Business Visa or a Permanent Stay Permit are allowed to enter after a strict hotel-only quarantine period.
This has impacted the sales and villa rentals everywhere – many villas that were built for short-term rent remain almost empty and owners have had to change their villa marketing tactics dramatically. And, that becomes a hard time to predict villa competition.
Villa prices in Bali were once the highest in the region and are now at only a percentage of what they were. Owners have slashed prices to meet market demand and to cater to local tourists who won’t pay the same prices that international travelers would.
The current market rates are way below half of what they used to be, and if you’re planning on investing in a villa this year, do keep this in mind.
If you’re planning to buy or rent a villa this year for long-term investment, the drop in prices would be good news for you. You’ll have the pick of the crop from hundreds of villas in all of the most sought-after locations that used to be thriving tourist hubs such as Kuta, Legian, Seminyak, Umalas, Canggu, Jimbaran, and Uluwatu.
You can even look further like Ubud, Amed, Candidasa in East Bali, or Lovina in North Bali.
Competition between villa owners would be fierce as they would be competing amongst one another to try to get a tenant or a buyer. The best advice we can give you is to take your time. Do not rush, and do not allow anyone to pressure you into putting in a deposit when you’re not ready.
The second thing you need to do, which is equally important, is to do your own research. Explore all your preferred areas and get to know the neighborhoods. See how you would feel if you stayed there for a long while. Is it close to all the hottest locales and necessities like supermarkets, pet shops, schools, and clinics?
Thirdly, try to talk to as many villa owners as possible so you can see for yourself the price range for a particular area. Don’t just conduct negotiations online – go on-site visits, ask all the right questions like additional fees and payments as well as legalities and make sure you fulfill all legal requirements needed when purchasing or renting a villa.
We hope the above was helpful! If you’re looking to buy or sell property here in Bali, you can always refer to Bali Property Direct, we are an innovative online property platform that connects buyers and sellers directly with each other. No agents are involved and therefore no commissions are due.