Bali villa investment yields, what is real and what is brochure

Every Bali brochure quotes a yield. Nine percent. Ten. Twelve. The number is not the question. The question is where the number comes from.

Projection or tenant

There are two kinds of yield claims in Bali:

• A projection. The developer models occupancy and nightly rates for a building that does not exist yet. It can be honest work or wishful thinking. Either way it is a forecast, and we label it as one. Maya Village quotes 10 to 12 percent net as a developer projection. Temple Heights quotes net yield from 9 percent and states plainly that it is not guaranteed.
• A tenant. The property is built, furnished and earning today. The Wolu Loft in Pererenan is the cleanest example on our list: tenant in place, roughly 10 percent net, no build risk, no waiting for keys. A number with a tenant behind it is evidence. A number without one is marketing.

Neither is wrong to buy. But you should know which one you are buying, and price the risk accordingly.

What "net" should include

A net yield claim is only useful if it survives the costs. Before you accept any number, ask what has been deducted:

1. Property management fees
2. Utilities, pool and garden maintenance
3. Platform and booking commissions
4. Furniture wear and periodic refresh
5. Void periods between tenants

If the answer is "gross minus nothing", the 12 becomes an 8 fast. The honest developments publish what is included. The better ones include the first year of management in the purchase price so year one is clean.

Short-stay versus long-term

Short-stay can out-earn long-term rental in peak months and under-earn it in quiet ones, with more wear and more management. Long-term tenancies earn less per night and far more per headache. Sanur skews long-stay and residential. Canggu and Pererenan support both. Match the strategy to the area before you model anything.

The entry math on today's list

At USD 120,000 for a built, tenanted loft, a real 10 percent net returns the purchase price in roughly a decade while the asset keeps earning. Off-plan buys from USD 170,000 to USD 220,000 price in a construction period, so the projected yield starts later. That gap is the price of buying finished. Compare the live listings and check the yield line on each one. Where there is no defensible number, we publish none.

Questions investors ask us

Is a guaranteed yield better? A guarantee is only as good as the company writing it. We prefer a conservative projection from a developer with finished buildings over a bold guarantee from one without.

What about capital growth? Leasehold value tracks the remaining term, the location and the build quality. Buy in lanes people actually want to live in. That is why our list stays inside Canggu, Pererenan, Padonan and Sanur.

How do I verify a tenanted yield? Ask for the tenancy agreement and the management statements. On tenanted listings we show buyers the paperwork.

Want the numbers behind any listing on the list? Message us on WhatsApp. We reply within 4 business hours, Bali time.