9 Must Know Statistics Influencing Bali’s Property Investment Market in 2025

1. Bali Remains the Top Travel Destination for Australians

According to Flight Centre, Bali is the most popular international destination for Australian travelers. This is no surprise with a record number of 1.3 million Australians coming to the island last year, an increase of 16% over the year before. Bali outranked London, Auckland and Bangkok, and it was the favourite destination for holidays with families.

Read more: Flight Centre: Australia’s Year In Travel 2024: What Were Our Travel Trends?

2. Record International Tourist Arrivals In Bali – 6.33 Million Visitors

And on that same note, 2024 saw the highest number of international arrivals in Bali’s history, with 6.33 million arrivals, a whopping 20% increase over 2023. Early data for 2025 looks promising, being that at the end of February the international arrivals are already 15% more than last year.

3. Growth in Asian Feeder Markets Lead to All Year Bookings for Bali Accommodation

While Australians contributed 25% of the arrivals last year, the largest share of the market, there was significant double-digit growth from regional markets in Asia - India (25% increase), China (60% increase), South Korea (30% increase), and Malaysia (18% increase).

“The increase of these regional markets is incredible, because they aren’t flying long haul. They can plan with less notice, for weekend or quick getaways, and help to fill Bali accommodation during shoulder months,” says Mark Reed, GPFG International Sales Manager. “We can see now that Bali’s seasons are less reliant on Australian school holidays to max out occupancy. The island feels busy all year round.”

4. 2024 Marked the “The Best Year EVER” for Bali Hotels

Bali hotels celebrated an unprecedented year in 2024, with both occupancy rates and Average Daily Rates (ADR) soaring to all-time highs, according to a Horwath HTL report.

• On a whole excluding hot spot locations such as Seminyak and Canggu that receive higher than average occupancy, the island’s hotels achieved a remarkable 75% average occupancy—a 3.3% year-over-year surge—with demand peaking in July and September at 85.3% and 84.1%, eclipsing 2023’s highs.

• ADR skyrocketed by nearly 10% to IDR 2.4 million. The momentum reached new heights in July and August, when ADR hit a record-breaking IDR 2.8 million, surpassing 2023’s peak of IDR 2.6 million.

2024 wasn’t just a rebound—it was a historic triumph of growth in tourist demand for short term Bali Real Estate.

Read more: Hotel Investment: 9 Reasons Why Hotels Are the Hottest Investment for 2025

Data Source: Bali Hotel Association and Horwath HTL

5. 71% of Travelers Want Luxury!

While hotels enjoyed the best year ever, more specifically, we can see growing demand in the luxury and upscale segment of Bali Real Estate. Luxury hotels saw a remarkable 13% increase in revenue per room growth, driven by a 10% occupancy increase to 53% while maintaining stable room rates. Even more impressive, Upper Upscale properties achieved 15% RevPAR growth through a powerful combination of 10% ADR increases and 70% occupancy.

This explosive hotel growth aligns with Flight Centre data revealing that 71% of travelers opted for 4-5 star accommodations, underscoring Bali’s dominance as a premier luxury travel destination.

Read more: 5-Star Reviews Are Pouring in for TUI BLUE Berawa!

6. Bali Hotel Supply Growth is Limited, Approximately 1%

At the moment, Bali’s upcoming hotel pipeline is slated to add 5,300 new hotel rooms to the mix. This might seem like a lot, but it’s only a 1% increase to the existing 525,000-room market. This restrained growth ensures that the influx of new supply won’t disrupt the island’s strong occupancy rates, and also allows island officials to plan to combat fears of over tourism and overdevelopment.

Unsurprisingly, most of these additions are high-end properties, with 35 of the 43 hotels in the pipeline within the Upscale and Luxury categories, in the hotspots of Canggu (11 new hotels), Ubud (10), and Jimbaran & Uluwatu (10).

“Looking at the hotel market, it’s definitely a slow growth trajectory, we know that's a good thing for Bali, and especially for hotel property investors,” says Reed.

With tourism well-established and new supply carefully balanced, the market remains resilient—proving that quality, not quantity, drives Bali’s hospitality success.

7. Rental Listings Are Surging, Up 17.5%

On the other hand, while hotels have slow and stable growth outlook, the rental market for villas and apartments is booming. Bali’s rental listings skyrocketed by 17.5% in 2024, hitting a record 48,000 rentals by December—a post-pandemic construction surge becoming available to tourists.

But this rapid growth comes with complex trade-offs, including the effects of overdevelopment:

• Regulatory Gaps – Many villas operate informally, raising concerns about tax compliance, infrastructure strain, and unfair competition with regulated hotels.

• Sustainability Risks – Unchecked development exacerbates Bali’s water scarcity, waste management issues, and community disruptions.

8. Property Prices are Up, But Occupancy is Down for Independent Villa Real Estate

Additionally, the rapid expansion is now sparking fears of price wars amid oversaturation. Occupancy rates dropped 4.5% as demand lagged behind the flood of new independent villa listings. With that, across all booking channels, we see a buyer friendly market, forcing even luxury villas to slash prices to stay competitive. This may be a red flag for investors looking to "go it alone", as property prices are steadily increasing, up an average of 4.9% across all villa segments.

9. Indonesian Rupiah Hits Historic Lows: A Double-Edged Sword for Investors

In the last month, the IDR has lost more than 4% of its value of AUD, with a massive 10% swing in the last two weeks. (1 AUD = 10,806.55 IDR at the time of publish). If this slide continues, the historic lows of the current IDR's depreciation against major currencies presents both opportunities and risks.

On the bright side this creates a prime opportunity for foreign real estate investors. With the rupiah sliding against the USD, EUR and AUD, Bali's real estate has effectively gone "on sale" - foreign buyers get significantly more property for their money. However, with a weaker currency domestic travelers—which is more than 60% of the tourism arrivals—may feel squeezed with properties catering to foreigners. Long-term investors and tourism operators may also struggle with rising operational costs just as increased competition from new investors could pressure rental prices.

There is a silver lining to remember, is that market fluctuations are normal, and property investors can ride out the volatility, as Bali's underlying property demand remains robust.

Bali Property Investment Outlook in 2025

Bali’s 2025 property market presents both unprecedented opportunities and complex challenges. While record tourism, booming luxury demand, and favorable currency conditions create ideal conditions for new investors, the villa oversupply "go it alone" Airbnb model and regulatory uncertainties require careful navigation.

One truth remains constant—Bali’s enduring appeal as a global destination continues to make it a compelling, if nuanced, investment landscape. Through our network we connect property investors with target high-yield Bali hotel assets, with experienced and reputable brand-named operators, in strategic high demand locations.

Discover money management investment secrets and more information on the ins and outs of Bali property investment by accessing our educational video content.

Head to our main website to get started: balipropertyinvestment.com.au