Location vs Design: Which Impacts Bali Villa ROI More?

 

 

When it comes to investing in a villa in Bali, two words dominate every conversation: location and design. But which one actually matters more when it comes to ROI (Return on Investment)? The truth is, both play a vital role but in different ways.

The Power of Location

The old saying in real estate still applies in Bali: location is king. Villas in prime areas such as Canggu, Seminyak, Uluwatu, and Ubud naturally enjoy higher occupancy rates, stronger demand, and higher daily rental prices.

Why location matters:

• Tourist traffic: Proximity to beaches, cafes, and attractions increases bookings

• Accessibility: Easy road access makes a villa more appealing to guests

• Future growth: Areas with ongoing development can see rapid appreciation in land value

A villa in the right area can easily command 10–15% annual ROI, while the same design in a less desirable area may struggle to reach half of that.

The Role of Design

But here’s the catch: location alone is not enough. In today’s competitive Bali villa market, design often becomes the deciding factor that pushes one property ahead of another.

Guests and buyers are spoiled with options. A poorly designed villa in Canggu might sit empty, while a thoughtfully crafted villa in a quieter area could attract consistent bookings.

Design influences ROI through:

• Guest experience: Open layouts, natural light, and seamless indoor–outdoor living keep guests coming back

• Marketability: “Instagrammable” details like sunken lounges, rooftop decks, or unique pools boost online visibility

• Longevity: Durable materials and smart layouts reduce maintenance costs and improve resale value

Which Matters More?

Think of location and design as a partnership. Location sets the stage, design steals the show.

• A villa in a prime location with poor design will underperform

• A beautifully designed villa in the wrong location will struggle to rent

• When you combine the two, that is when ROI truly peaks

The Smart Investor’s Approach

Successful investors in Bali focus on balance:

1. Choose a location with strong demand and future growth potential

2. Invest in design that not only looks beautiful but also functions for both rentals and resale

3. Think long-term: a villa should feel relevant and appealing 5 to 10 years from now, not just today

At BaliBooked, we believe ROI is design-driven but always grounded in the right location. By marrying smart site selection with tailored villa design, you can maximize both daily rental income and long-term property value.