Selling Property in Bali? Why It’s Harder Than Ever—And What Smart Owners Are Doing Differently

The dream of buying in Bali is alive and well. But what about selling?

Ask any long-time property owner, and you’ll hear it: things have changed. Deals take longer. Buyers hesitate. Agents go silent. Prices fluctuate. And yet, the “market” looks hot on the surface.

This article unpacks what’s really happening behind the scenes—and how smart sellers are adjusting with next-gen tools that were unthinkable just five years ago.

What Sellers Are Struggling With (Backed by Data)

1. The Market Is Oversupplied, Especially for Larger Properties

According to REID’s 2024 Market Report:

• 3-bedroom villa sales dropped by 16%

• 2-bedroom sales rose by 12%, and 1-bedroom by 37%

• The market is shifting toward smaller, more liquid assets

👉 If you own a larger villa, you’re not just competing on price—you’re competing against changing buyer behavior.

2. Leasehold Is Now Dominant, but Sellers Aren’t Ready

Leaseholds grew from 72.9% in 2023 to 77.7% in 2024, signaling strong demand for this structure.

And yet, many sellers:

• Don’t have well-structured leasehold contracts (e.g., no clear extensions)

• Struggle to communicate the legal validity of their offer to foreign buyers

• Are left at the mercy of buyers’ lawyers or agents who “aren’t sure”

📉 A poorly documented lease is a red flag—even if your villa is amazing.

3. Most Buyers Can’t (or Won’t) Pay Upfront

In reality:

• Most international buyers are digital nomads or entrepreneurs

• Indonesian banks don’t offer foreigner financing

• Large lump-sum capital is rare and cautious

As a result, fully priced, 100% upfront cash offers are rarer than most sellers think.

4. Agents Are Overloaded and Misaligned

Yes, they list your property—but here’s what really happens:

• They manage dozens of listings at once

• They often use the same photos across platforms

• Their commission incentive only kicks in at closing

So unless your listing is exceptionally easy to close, many agents simply let it sit.

5. There’s No Easy Way to Sell a Fraction or Raise Liquidity

Need to sell 25%?
Want to raise capital without losing the whole property?

Good luck. In traditional real estate:

• You can’t “sell a piece” of your villa

• You can’t tokenize it

• You can’t collateralize it for short-term liquidity

That’s a major limitation for owners who want flexibility.

What Smart Sellers Are Doing Differently (Enter Real Estate 3.0)

✅ They Use LLCs Instead of PT PMAs or Personal Names

Why? Because:

• LLCs (especially U.S.-based) are legally compliant entities that can hold leaseholds in Indonesia

• They’re easy to transfer (just sell the LLC, not the asset)

• They’re cleaner for inheritance, resale, and taxation

• Wyoming LLCs in particular offer no state income tax and strong asset protection

This structure also reassures foreign buyers who are more familiar with U.S. legal systems than Indonesian ones.

✅ They Explore Fractional Ownership & Tokenization

Real Estate 3.0 brings the ability to:

• Split ownership into digital shares

• Sell to multiple buyers around the world

• Lower the entry barrier for investors

• Retain partial ownership while unlocking liquidity

Think of it like selling slices of your property, rather than the whole pie at once.

✅ They Structure Leaseholds for the Future

Smart sellers now:

• Negotiate extension terms upfront (e.g., 25+25 years)

• Build in revenue-sharing or rental terms for investor flexibility

• Digitally store all documents to speed up due diligence

Conclusion: Don’t Just Sell. Sell Smart.

The Bali property market isn’t broken—it’s just evolving.
Supply is high. Demand is real. But the tools to connect the two haven’t kept up.

That’s what Real Estate 3.0 is about: legal clarity, smart structures, digital transactions, and a wider pool of buyers.

Curious if your property qualifies for this new model?

We created a short, free seller assessment to help you explore your options—from traditional sales to fractional listings and liquidity-backed models.

No pressure. Just clarity.