Why invest in real estate in Bali?
06/11/2024
Bali real estate Investor tipsInvesting abroad offers a number of advantages. Firstly, it diversifies your assets, reducing the risks associated with concentration in a single market. What’s more, some countries offer higher potential returns than others, due to factors such as economic growth and real estate opportunities.
What’s more, investing abroad can be a strategy for gaining access to booming markets and sectors that may not be as developed in your home country. This can open the door to growth opportunities you wouldn’t have otherwise.
Define your investment objectives, both in terms of your real estate project itself and the country in which you wish to make your acquisition. Would you like to generate a high income, live abroad for part of the year, or combine yields and occupation?
In terms of destination, are you looking for a fast-growing country, or one with stable long-term development? Your choice of country will depend first and foremost on your purchasing objectives.
Real estate market trends will guide your choice. Find out about local market data, observe the country’s economic growth and study the balance between real estate supply and demand. A country with strong demand will be more likely to generate high returns and added value on resale. However, acquisition prices will also be higher.
Choose destinations offering political and economic stability. A robust economy and a stable political climate provide secure ground for your real estate purchase abroad.
Step 4: Master local laws and regulations
Understand local real estate laws and regulations. Differences can be significant from one country to another. In Southeast Asia, for example, ownership rules are very different from those in France. Consult a local legal expert to help you deal with country-specific legal regulations.
Choose developing regions with promising growth potential. Today’s economically booming destinations, such as Southeast Asia and even Latin American countries like Mexico, have strong real estate potential. Invest in the future, balancing prudence and ambition.
Thailand: Thailand’s real estate market is dynamic, particularly in Bangkok, the economic heart of Southeast Asia, and Phuket, an international tourist gem. Thailand’s tourist appeal, coupled with its dynamic economic growth, offer attractive yield opportunities.
Bali: Indonesia’s1st island in terms of tourist appeal, Bali’s reputation is well established. The destination is ideal both for living in the tropics and for investing in rental property through seasonal rentals.
Cambodia: Cambodia is one of the world’s fastest-growing economies, with an average annual growth rate of 7.7% between 1998 and 2019. The rapid development of the country’s infrastructure and rising living standards are creating numerous real estate opportunities, particularly in Siem Reap and Phnom Penh, thanks to growing demand.
United States: Cities like Miami, Los Angeles and New York offer economic stability and a diversity of real estate options. Whether for residential or investment purposes, the U.S. real estate market is renowned for its strength, dynamism and ability to generate high returns over a short period of time, particularly in buy-to-let transactions.
Mexico: With notable economic growth, especially in Playa del Carmen and Tulum, Mexico is also a destination worth studying. The country enjoys a strategic position below the world’s largest economy, and American tourists flock to vacation under the Mexican sun.
Need more information before deciding? Ask us for a free consultation, during which we’ll help you make the right choice in terms of countries to target, and give you personalized guidance for your project. Contact us today.