Bali is one of Indonesia’s beautiful islands in Southeast Asia which attracts both domestic and international tourists due to its scenic nature, and hospitable community. It is for this reason that investment in property notably Villas in Bali is on the rise. The location of the villa is the key determinant of investment success in this kind of business. Here are some key factors to consider:
1. Investment Goals
- Personal Vacation: If you plan to lease the villa for personal holidays you can agree with the kind of place that best favors your wish. Would you like the surrounding atmosphere to be noisy and at the same time, can be on the beach, in the countryside with beautiful nature, or near the opportunities for visiting different interesting places?
- Rental Income: If the plan is to let the villa, then the villa should be in a touristy area. Aspects like the distance from the beach and other establishments that the clients frequent should also be considered.
- Resale Value: If you have a plan of reselling the villa in the future, you should adopt a place having high resale value.
2. Target Market
- Domestic Market: Domestic tourists generally prefer locations near beaches and offering various tourist activities.
- International Market: International tourists have diverse preferences, depending on their origin and interests. Research to better understand your target market.
3. Accessibility
- Transportation: The transportation should be carefully thought through, whether it will be by car, an airstrip, or a waterway to the villa. Can it be reached conveniently by car/ own transport by bus, or through any of these means of transport?
- Amenities: Make sure the villa’s area has accessibility to what may be considered necessities such as supermarkets, hospitals, as well as schools.
4. Surrounding Amenities
- Beach: Is the villa close to a beach? If so, consider the beach type (white sand, black sand, etc.) and its level of activity.
- Tourist Attractions: Are there any interesting tourist attractions surrounding the villa? This can enhance the villa’s appeal to tourists.
- Entertainment Options: Consider the presence of restaurants, bars, cafes, and other entertainment venues around the villa.
5. Security
- Neighborhood: Choose a location in the area where there are fewer cases of robbery or other forms of insecurity. Look at the crime index and how secure it is if there are some security officers around.
- Natural Disasters: Be keen to avoid any area that leads to natural calamities such as earthquake areas near seas that are vulnerable to tsunamis or areas near rivers that may be affected by floods.
6. Local Regulations
- Permits: Understand local regulations regarding villa construction and operation. Ensure you possess all necessary permits.
- Zoning: Pay attention to the zoning of the area around the villa. Are there plans for major development projects that could impact your property value?
7. Development Potential
- Economic Growth: One should consider the possibilities to stimulate the economic development of the area. Is there a plan that was created for infrastructural or industrial development that could improve the market value of the property?
- Tourism: Is the tourism industry in the area on the right trajectory? This may lead to the expansion of the needed supply in the types of accommodation that are available such that more villas are rented.
8. Uniqueness and Appeal
- View: Does the villa offer breathtaking views? Is the villa located in front of the ocean, rice fields, or mountains?
- Design and Architecture: Is the villa stylish and original in terms of construction and does it suit your preference?
- Villa Amenities: Are there appealing features for tourists such as a private swimming pool, a bathtub, or a spa room?
9. Estimated Costs
- Land Price: Consider the land price in the location. Does it fit your budget?
- Construction Costs: Calculate the estimated cost of building the villa, including materials, labor, and architect fees.
- Operational Costs: Estimate the operational costs of the villa, such as electricity, water, and staff.
10. Consultation with Experts
- Real Estate Agent: Speak to a real estate agent specializing in Bali for more information and guidance.
- Lawyer: It is advisable to seek the services of a lawyer to advise on the matter now that the purchase of the villa transaction is legal.
- Architect: It is recommended that one hires an architect to advise on the design of the villa as well as its cost.
There is much to consider when it comes to the selection of a villa location in Bali and much research is needed. Follow this guide and you will get the most out of your investments and ensure that Indonesia’s Island of the Gods will be home to the villa you’ve always wanted.
Dream Villa, property investment, Bali