The Bali real estate market is evolving rapidly, and knowing where to invest in 2026 requires insider knowledge. We sat down with Paul H., real estate developer and professional investor behind SAVIAN Group, to discuss his strategy for navigating Bali's property landscape in the year ahead.

Paul brings years of hands-on experience developing and investing in Bali real estate. His insights offer a refreshing, no-nonsense perspective on what's working, what's not, and where the smartest opportunities lie for investors looking to enter or expand in the Bali property market.

‍

‍

Q: What would a developer and professional investor do in 2026 in Bali?

‍

Paul H.: I would focus on Freehold, looking for properties in new markets where entry price is still affordable, and only premium pieces. I am talking about cliff-side in Nusa Penida, beach-front in Amed or Medewi, or facing rice terraces in Tabanan.

The returns won't be immediate but in the long run it's definitely a smart investment move. If you just consider how Bali has developed over the last five years, imagine what it can do over the 5 next. You need to be a bit ahead of the market and the best way to take advantage of it is by going with Freehold.

Leasehold is still interesting but I would focus on existing assets that I would optimize or refurbish. If you look at Kuta today, it's full of empty hotels, even in top locations. And with the LTR coming in the next few years (the "Bali metro"), that will give a second life to the coastal areas I believe.

I would never go leasehold without thinking of exit first. I see too many villas sitting on the market, while owners barely make 10%. Even if they do, and they can't sell, they only make their money back in 10 years and start earning actual money from then on. Obviously, under Freehold, you don't have this problem. So for a leasehold opportunity I'm always looking at my worst case, and at how easily I would be able to get out.

‍

The Experience Factor: What Sets Premium Properties Apart

‍

Paul H.: I would also focus on experience. Experience is heavy in hospitality in 2026. We've seen the typical Bali villa over and over again, and the revenues now are adjusting. That's why you need to create something unique. Not just design wise, but from the very moment your guests stay inside the villa until they leave.

That's also why at SAVIAN we are creating our own management team with top practices to provide guests with unique, tailored experiences.

I would look at the current trends. I love looking at what's working best. If you take a look at COCO Development (very successful guys), they promise investors and future guests with "the bali lifestyle". That means that you'll have saunas, and big gyms, and padels, and coworking, all under the same roof. And I think that's genius.

In another niche, I also really like what Mad Monkey is doing. I stayed at several of their hostels and again, they provide an experience that is exactly what their target customer is looking for. For them, it's fun, party, community, and good vibes. And it works. These are the types of models that are going to stay, not just the basic villa. And I think we're going to go more and more that way.

You could also think of doing a yoga center for retreats in the middle of the rice fields, something super eco conscious, maybe with home grown veggies, and have some bamboo huts for the guests. Basically, I coined it like that: "Make a place where people would enjoy going during the day, and they'll definitely stay overnight. That's the new name of the game for hospitality". At least that's what I believe.

‍

What to Avoid: The Oversaturated Coastal Development Trap

‍

Paul H.: What I wouldn't do is, like everyone else, buy a piece of land up the coast in Seseh, Nyani or Kedungu, and build villas on 200sqm of land. This has been working for the last few years because the market was booming and everyone wanted to get in, so it went up north.

But now, things have changed, investors are more careful, they are more informed buyers, they take the time to do their research. And there are just so many options, so many developers trying to sell. But if you look at the numbers, you'll quickly understand that nobody is making the 15% they are promised early on. Not anymore.

‍

Key Takeaways for Bali Property Investors in 2026

‍

Paul H.'s investment strategy reveals several critical insights for anyone considering buying property in Bali:‍

• Focus on Freehold in emerging premium locations like Nusa Penida cliff-sides, Amed beachfront, Medewi coastal areas, and Tabanan rice terrace views. These markets offer affordable entry prices with strong long-term appreciation potential.
  ‍
• Think exit strategy first with Leasehold investments. Consider refurbishing existing assets in areas that will benefit from infrastructure improvements like the upcoming Bali LTR metro system, particularly in coastal zones like Kuta.
  ‍
• Prioritize guest experience over cookie-cutter design. The Bali villa rental market is shifting toward experiential hospitality, where unique, tailored guest experiences drive higher revenues and occupancy rates.
  ‍
• Be cautious of oversaturated coastal developments in areas like Seseh, Nyani, and even Uluwatu where small-plot villa projects have flooded the market and projected returns are no longer materializing.
  ‍

Make Informed Investment Decisions with Expert Guidance

‍

Paul H.'s insights underscore an important reality: the Bali real estate market of 2026 requires strategic thinking, local expertise, and careful due diligence. Whether you're a seasoned investor or exploring your first property purchase in Bali, understanding market dynamics and emerging opportunities is essential.

At Tipi Estate, we're dedicated to helping you navigate Bali's evolving property landscape with confidence. Our team provides expert guidance on freehold and leasehold investments, emerging market opportunities, and premium property selection across Bali's most promising locations. Whether you're interested in luxury villas for sale in Bali, investment properties with strong rental yields, or strategic land acquisitions, we offer the local insights and professional service you need to make smart decisions.

‍

Ready to explore your Bali property investment options? Contact Tipi Estate today to discuss how we can help you identify the right opportunities and achieve your real estate goals in Bali's dynamic market.

‍