The Bali rental market in 2026

Bali welcomed 6.3 million international tourists in 2025 — 14% above the pre-pandemic peak — with average length-of-stay rising to 8.4 nights. Digital-nomad visa arrivals grew 41% year-on-year. Short-term rental supply has grown too, but demand outstrips it in Canggu, Uluwatu and Ubud during high season (July–August, December–January).

Gross vs net yields — the numbers most agents don't show you

Marketing brochures quote gross yields. Serious investors underwrite on net yield after all operating costs. A well-run 2-bedroom villa in Canggu, purchased off-plan at USD 350,000, will realistically deliver:

MetricAmount (USD)% of price
Purchase price350,000
Gross annual rent (240 nights × $220 ADR)52,80015.1%
Operating costs (see below)-17,400-5.0%
Rental tax (20% withholding)-7,080-2.0%
Net rental income28,3208.1%

Net yields by area

AreaAvg ADR (USD)OccupancyNet yield
Canggu / Berawa180–26072–80%9–12%
Uluwatu / Bingin220–45065–75%10–14%
Ubud140–22068–75%8–11%
Seminyak160–28070–78%8–10%
Sanur110–18060–70%6–8%
Denpasar (long-let)n/a92% (12-mo)5–7%

Realistic operating costs

  • Property management: 18–25% of gross rent
  • OTA commissions (Airbnb/Booking.com): 15–18% of gross
  • Cleaning & linen: USD 40–70 per turnover
  • Utilities & internet: USD 250–450/month
  • Pool & garden maintenance: USD 150–300/month
  • Pondok Wisata licence + local dues: USD 300–800/year
  • Villa insurance: 0.15–0.30% of value/year
  • Annual PBB (land & building tax): 0.1–0.3% of assessed value

Occupancy benchmarks — what's realistic

AirDNA data for Canggu (2025) shows top-quartile 2-bed villas hitting 76% average occupancy, with median at 68%. Uluwatu clifftop villas score higher ADRs but 5–8 points lower occupancy due to seasonality. Ubud is remarkably stable year-round (65–75%) thanks to wellness tourism.

How to maximise your Bali yield

  1. Design for 2 couples, not 1 family — twin-master villas earn 30% more per m²
  2. Direct-booking website (bypasses 15–18% OTA commission)
  3. Professional photography — pays for itself in 3 bookings
  4. Dynamic pricing (Beyond, Wheelhouse) adds 8–12% to RevPAR
  5. Long-let hedge for shoulder season: 3-month rentals to nomads at 40–60% discount to nightly, but 100% occupancy
  6. In-villa upsells: private chef, yoga, airport transfer — 6–9% ancillary revenue

See yield-optimised Bali villas

All our featured Bali listings come with independent yield projections and comparable-property AirDNA reports.

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