Who Really Benefits From Leasehold Properties in Bali?

If Bali property were a buffet, leasehold would be the “unlimited food for 25 years” deal.

You don’t own the restaurant.
You don’t own the building forever.
But you get to enjoy it, profit from it, and control it for a long time — for way less money than buying freehold (if you even can).

And for a lot of people, that’s a perfect deal.

Let’s talk about who leasehold is actually made for 👇


1) The “I want a villa in Bali but I’m not trying to be a billionaire” crowd

Leasehold is often the only option that feels financially sane.

Instead of paying a premium for the “forever ownership” vibe, you can get:

✅ Better villa location
✅ Bigger land size
✅ More stylish build
✅ A pool where you can swim laps

All for a price that doesn’t require sacrificing your entire future.

Leasehold is basically the “value menu” of Bali real estate — but the good kind.


2) The lifestyle buyers: “I’m here for the sunsets and scooters”

Some people don’t want a forever asset.

They want:

🌴 5–25 years of living in paradise
☀️ Working remotely with digital nomad communities
🍽️ Living next to cute cafés
🏄 Quick beach access

If you’re not planning to “pass the villa down to your grandchildren,” then freehold is often overkill.

For lifestyle buyers, leasehold is like renting… except you get control, stability, and the ability to sell later.


3) The smart investor who cares about ROI, not ego

Leasehold properties often win on return on investment, especially if you’re buying in a rental-friendly area.

Because the purchase price is lower, your numbers can look much better:

  • Lower entry cost
  • Similar nightly rates (depending on design + location)
  • Better cash-on-cash returns

So if you’re the kind of investor who looks at spreadsheets and not just vibes…

📈 Leasehold can be a strong play.


4) The “I want to run a business” buyers (villa rentals, cafés, studios)

Leasehold works really well for people who treat property like a business asset, not a legacy asset.

Examples:

🏡 Villa rental business
🧘 Yoga studio / retreat space
🍵 Café concept
💆 Wellness clinic
🎨 Creative space / co-working

Businesses usually don’t need “ownership forever.”

They need:

✅ stable control
✅ clear timeline
✅ predictable costs
✅ profitability within a set period

Leasehold fits that model beautifully.


5) The “I’m allergic to complicated legal structures” people

This is underrated.

When foreigners chase freehold-like ownership in Bali, they often end up in complicated setups (nominee arrangements, layers of contracts, unclear control).

Leasehold is usually:

📄 simpler
🔍 easier to verify
💡 more straightforward to understand
🤝 commonly used by foreigners

So if you prefer clarity over complexity…

Leasehold can feel safer psychologically and practically.


6) The buyer who wants flexibility and an exit strategy

Leasehold properties can still be sold.

This is key: you’re not “throwing money away.”

If you buy a 30-year leasehold villa and sell it 7 years later, the buyer is purchasing the remaining 23 years.

So leasehold benefits people who want:

🔁 flexibility
🚪 an exit option
📦 a “hold for 3–7 years” kind of plan

It’s less like “forever marriage”
and more like a long, committed relationship with benefits 😄


7) The “I want premium location without premium freehold price” buyer

In places like Canggu, Seminyak, Berawa, Uluwatu, some leasehold deals make way more sense than stretching for a freehold structure (or something pretending to be one).

Leasehold lets you get closer to:

📍 beach access
📍 popular hotspots
📍 high-demand Airbnb areas
📍 trendy lifestyle zones

It’s like getting front-row seats without paying VIP for lifetime access.


Okay… so who should not buy leasehold?

Leasehold is not for everyone.

It may be a bad match if you’re:

❌ extremely long-term minded (30+ years and beyond)
❌ emotionally attached to the idea of permanent ownership
❌ not prepared to factor renewal terms into your plan
❌ buying without checking the remaining lease length (this is a big one)

And one more:

⚠️ If the lease is already short (example: 10–15 years remaining)
…it can still work, but only if the price reflects that.


Leasehold, explained in one sentence

Leasehold in Bali is amazing for people who want lifestyle, profit, or control — without paying for “forever.”


A simple “Should I buy leasehold?” checklist ✅

Leasehold is probably right for you if:

✅ you’re buying for 5–25 years of use
✅ you want solid rental income potential
✅ you want a better villa for the money
✅ you want a realistic entry point into Bali property
✅ you’re okay with the idea of renewals and timelines
✅ you care more about cashflow + enjoyment than bragging rights

And if you’re ready to browse without the chaos — Estad has you. We aggregate listings from renowned Bali real estate platforms and agencies, giving you tons of options in one spot… so you don’t have to play detective across hundreds different websites.

Check out these examples of villas under 300bali

Stunning Uluwatu Villa with Rooftop Lounge, Pool, and Ocean Views

$ 232,778

Mediterranean-Tropical 3-Bedroom Villa in Berawa, Walk to Beach and Cafés

$ 229,000

Charming Mexican-Style Villa with Pool, Minutes to Pererenan Beach

$ 190,997


Leave a comment