Your Dutch Partner in Bali

Frequently Asked Questions (FAQ) - about Investing in Bali

Are you considering an investment in Balinese real estate, but have questions about legal security, tax rules, or property management? As your partner in Bali, we answer the most frequently asked questions below. Is your question not listed? Please feel free to contact us.

Property rights & legal

Officially, as a foreigner, you cannot own land in ‘Freehold’ (Hak Milik), just like an Indonesian citizen can. Fortunately, there are perfectly legal and safe alternatives, such as leasing the land long-term (Leasehold) or establishing a foreign-owned company (PT PMA), which gives you full control.

Read all about the differences in our article: Leasehold vs. Freehold in Bali

A PT PMA (Perseroan Terbatas Penanaman Modal Asing) is a foreign-owned company. If you want to rent out real estate commercially or invest with multiple people, this is the safest and most professional route. It not only offers you security over the real estate, but also tax benefits.

View the benefits and the process: Setting up a PT PMA in Bali

Investing & ROI (Financial)

While the real estate market in Europe is stagnating, a net return (ROI) of 8% to 12% for well-managed villas in Bali in 2026 is very realistic. This is after deducting management fees, taxes, and operational costs. Please note that location is a crucial factor for your occupancy rate.

View our complete calculation: What is the return on real estate in Bali?

Bali offers a unique combination: lower entry prices, a structurally higher ROI and, more importantly, no seasonal dip. Where real estate in Europe often sits empty in the winter, Bali has a 365-day-a-year occupancy. Moreover, the tax treaty with the Netherlands offers interesting benefits.

Discover the data: 6 Reasons why Bali is smarter than Europe

The purchasing process & management

Buying real estate from 12,000 kilometers away requires trust and local expertise. The process starts with determining your strategy, followed by strict ‘Due Diligence’ (legal check of the land) and the notary transfer. Bali Property Advisory guides you step by step in this process, even if you are in the Netherlands.

View our complete step-by-step plan: Buying a House in Bali: The complete guide

No, that is not strictly necessary. Many of our investors sign the necessary documents from the Netherlands. We do this by working with Power of Attorney and sworn notaries in both the Netherlands and Indonesia. Of course, you are always welcome to view the projects locally with us.

We work with renowned Property Management companies. They take 100% of the work off your hands: from marketing on Airbnb and guest communication to managing the cleaning staff and garden maintenance. You enjoy a passive income, without the daily stress.

Do you still have doubts or need personal advice?

The Indonesian market is unique and requires a tailored strategy. Our team is ready to help you navigate your journey.

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