Investing in Amed land for sale
Investing in land for sale in Amed is a profitable way to generate regular income from land banking, villa rentals and property sales. Foreigners are looking to capitalize on land investment strategies as Amed enters a property growth boom.
Land prices and the cost of villas for sale in Amed are rapidly increasing. Prices of land in many locations are consistently returning in excess of 20% per year.
Property investors can capitalize from a number of strategies when looking to buy land in Amed;
- Land banking
- Building villas for sale
- Building villas for rent
- Building a custom home
Amed land for sale for foreign investors
Investing in vacant land is traditionally a great investment. There are a number of land investment options that can help you to put your capital to work.
With a prime plot of land in Amed, you can create high income businesses that generate significant cash flows. Below are just a few examples of how foreigners are benefiting from Amed’s property boom.
Amed Land for sale with borders marked out for land banking investment
Land banking investments
Land banking is a strategy where the investor buys land to hold over a period of time. As the value of land appreciates, the investor can sell the land for a profit.
This buy and hold strategy can be very lucrative and is historically a safe investment as land prices in prime locations almost always increase.
Building holiday villas for rent
Developing residential and commercial property on land in Amed as a rental property business. Generate regular income through short and long term rentals.
Tourist demand for private villa rentals in Bali is exploding. Buying land and building in prime locations of Amed can help to maximize your return on investment. As a result, by owning the land and the property you can benefit from the long term appreciation of land values.
Architect drawings of a custom designed villa built on land for sale in Amed.
Building villas for sale
Buying land and building villas for sale to generate profit as property development business.
To operate as a business in Bali, foreigners are required to set up a PT PMA foreign-owned company. Setting up a business in Bali is a straightforward process and there are many benefits of owning a property investment company.
Building on land for sale
Find your dream location to build a second home or retirement villa in tropical paradise. This is a great way to get exactly what you want in a custom designed home. Buying land in the location of choice and building your own property in Amed is a fulfilling project. Pre-built villas for sale are convenient and hassle free, but they come with restrictions and may not always suit your needs.
Custom built homes as a secure investment
Custom built homes as a secure investment
Supply of land for sale in the best locations of Bali is short. Investors are now looking to buy land in emerging locations such as Amed to capitalize on lower prices and long term price appreciation. We can help you to secure a prime plot of land in a perfect location before prices explode. Contact us today to schedule a free consultation with our Amed based real estate specialists.
Can foreigners buy land in Bali?
Right to Lease (Hak Sewa)
Right to Use (Hak Pakai)
Right to Build (Hak Guna Bangunan)
Differences between ‘Right to Use’ and ‘Right to Build’
Amed land zoning laws
Land for sale in Amed is categorized into three distinctive zones. Each zone has a number of conditions attached to them and they dictate how the land can be used and who it can be used by.
- Yellow Zone
- Green Zone
- Purple Zone
It is important to check the status of any land your may be interested in. Use a reputable legal representative to check the land status on the official land registry.
Yellow Zone
The Yellow Zone is designated as a Residential Zone. This Zone allows foreign individuals to build houses and villas on the land providing the correct title has been acquired. Foreign individuals can not get a business license in a Residential Zone. Running a business as a foreign individual in a Yellow Zone is legally prohibited.
However, it is possible for a foreign-owned PT PMA company to buy land under the Right to Build (Hak Guna Bangunan) title. The foreign-owned company can build houses, villas, offices and shops for business interest purposes.
Green Zone
Green Zone land for sale in Bali is protected land and can not be built on. This is to preserve the natural beauty of Bali and to respect the cultural heritage of the Balinese people.
Examples of Green Zone protected areas include;
- Forests
- Rice paddy fields
- Beach front
- Riverbeds
It is important the check the status of any land enquiry. Land sellers often do not fully understand the Zoning laws and may tell a potential buyer that the land is safe for a foreigner to buy.
Purple Zone
The Purple Zone is designated as a Tourism Zone. This Zone allows foreign-owned companies to build;
- Hotels
- Restaurants
- Houses
- Villas (kost-kostan/pondok wisata)
- Offices
- Shops
Land used for these purposes are generally business activity related. A foreign-owned PT PMA company is needed to acquire land and appropriate title for use in a Purple Zone area.
Due diligence checks when buying land in Amed
Foreign investors looking to buy land for sale in Amed should take the necessary levels of due diligence before signing documents or transferring money.
Using a qualified and reputable legal representative at every stage of the land buying process will help to make sure that the purchase is free from future complications once the transaction has completed. Here are a few of the most important due diligence checks to conduct when buying land in Bali.
Verify land ownership
Check the official land certificate to make sure you are dealing with the correct landowner. Asking the land owner to update the land certificate may take some time, however an updated certificate will verify all the land ownership details.
Land zoning check
Make sure that the land you are buying is suitable for your needs. Buying Yellow Zone land as a foreign individual is strictly for residential purposes only and all business activities are prohibited. However, foreign-owned PT PMA companies can operate a business in a Yellow Zone.
Land tax history
Making sure that the land owner has paid all previous taxes the land. Building permits (PBG) can not be issued unless the land tax history is clean. A land tax check will also give you an estimate of how much tax will be due in the future.
Building permits
Check to see that all building permits are relevant to the land you are purchasing. If there is a building on the land, an PBG permit is required. Without the PBG permit the building may be dismantled by the authorities.
Conclusion
Amed’s property cycle is entering a boom phase as tourist numbers are quickly growing back to pre-pandemic levels. A trend has emerged where tourists are choosing to stay in private villas instead of in resort hotels. The demand for holiday villas is on the rise and supply is not keeping pace with the demand.
This trend is likely to continue creating an opportunity for investors looking to buy land in Amed. A number of strategies are available to capitalize on the real estate boom. Investment strategies such as land banking can be very profitable as land prices accumulate over time.
Developing property in Amed for sale or rent can also be a fun and lucrative business as tourist trends change. Contact us for more information on how we can help you to find the best land for sale in Amed.
