Bali Discovery Tours: Homepage
Bali Hotels, Bali Villas and Bali News from balidiscovery.com
Home Bali Contact Bali Practicalities Bali News Bali Services Bali Transportation Bali Sports Bali Excursions Bali Villas Bali Hotels
Home · News · Bali Property Market in Decline?
Bali Hotels, Bali Villas and Bali News from balidiscovery.com
Bali Hotels
Bali Villas
Special Deals!
Packages
MICE Handling
Bali Excursions
Culinary - Dining
Guided Tour
Bali Spas
Bali Sports
Diving
Golf
Bali Transportation
Car Rental - Selft Drive
Private Jet Charter
Bali News
Bali Services
Bali Practicalities
Bali Contact
Bali Career
Home
 
Bali Update
Subscribe to our free weekly newsletter!
 
PATA header
PATA Gold Award 2007
Bali Update
PATA Gold Award Winner 2007
 
Bali Contact
Bali Discovery Tours
Komplek Pertokoan
Sanur Raya No. 27
Jl. By Pass Ngurah Rai,
Sanur, Bali, Indonesia

Tel:
++62 361 286 283

Fax:
++62 361 286 284

U.S.A. Fax:(toll free)
1-800-506-8633

U.K. Fax:
++44-20-7000-1235

Australian Fax:
++61-2-94750419

24h:
++62 812 3819724

Bali Discovery

SITE PATA ASITA
Bali News

Bali Property Market in Decline?

Downturn in Bali Property Business May be Short Term and Cyclical


Bali News: Bali, Indonesia, Bali Indonesia, KPR, Bali property business, Wayan Sukarja, Loan to Value ratios, Property prospects in Bali
Click Image to Enlarge

(4/20/2014)

The Bali Post reports that the property business in Indonesia as a whole, including Bali, is predicted to decline during 2014.

An observer of the local property market in Bali, I Wayan Sukarja, said on April 15, 2014, the decline will act as a natural filter, determining if new developers will be able to endure and survive.

Sukarja said property transactions are weakening at the current time as part of a natural cycle in the property market now on a downward swing. This is happening after a buying surge over the past few years.

“The decline is as much as 49%, Implementation of Loan to Value parameters are forcing developers not to sell homes on mortgage, leaving them in a difficult situation,” said Sukarja.

At the present time, an application for a homeowner’s loan (KPR) can only be processed by a bank if the construction of the subject home is 70% complete. Moreover, there are some banks now demanding that homes to be purchased on creditmust be 100% finished before a loan can be approved.

Sukarja said this situation means that strong and well-funded developers will survive while financially weak developers are in danger of bankruptcy.

Regarding skyrocketing property values in Bali, Sukarja sees high property prices as having a minimal effect. This is because Bali's land is seen as both unique and of limited supply. At the same time, Bali property remains cheaper than land parcels in other property markets in Asia, such as Singapore. In Sukarja’s view, any downturn in the number of property transactions in Bali is most likely connected to economic policies and domestic politics.

“Property prices in Bali are still affordable in the marketplace. Policies of Loan to Value ratios are presently clogging the process,” he explained.

Sukarja said any weakness in the Bali property market was temporary in nature, He predicts that by the end of 2014 prices will again begin to climb and demand will increase for at least the three coming years. “I am convinced that following the Presidential election the market will grow and become active again. What’s more, consumer demand in Bali is very high and the government must take a role in meeting public housing demand,” he added.


© Bali Discovery Tours. Articles may be quoted and reproduced if attributed to http://www.balidiscovery.com.

       

 
 
Bali News by Bali Update
Subscribe to the Bali Update
Receive the latest news from Bali by email!



Our [Privacy Statement] explains how we handle the data you are providing.

 
Bali News by Bali Update
Explore the Archive of the Bali Update
Find related articles in our news archive!




or try to use Google Search :

Home · Bali Hotels · Bali Villas · Bali Excursions · Bali Sports · Bali News · Site Map · RSS

Bali News: More News
Adding to the Armada
Garuda Adding 18 Aircraft Before the end of 2015 at it Targets a 74% Average Seat Load
(4/19/2015)
Running for Someone Else’s Life
PrimaFit Organizes Major “Stationery Run” to Raise Funds for Disabled Athletes and the Bali Sports Foundation
(4/19/2015)
Call to Arms
Bali Governor Calls on the Island’s Coming Generation to Prepare for a More Openly Competitive World
(4/19/2015)
Uniform Disorder
Army Officers Kill Colleague in Drunken Attack in West Bali
(4/19/2015)
The Card You’re Dealt
Most Bali Toll Road Users Pay in Cash
(4/19/2015)
It Must have been Something they Drank
Minister of Trade Issues Special for Bali in Efforts to Control the Sales of Beer
(4/19/2015)
Luck be a Lady
Bali Police to Commence a Three-Week Anti-Gambling Enforcement Campaign
(4/19/2015)
Please Come to Bali
Atis and the Tradewind Have Bali-inspire Song Adopted by Bali Tourism Board
(4/19/2015)
Development Takes its Toll
State-owned Company Maps out Toll Toad Options to Connect Bali's South-West-North
(4/19/2015)
Before the Fall
Local Guides at Gitgit Waterfall Accused of Extorting Tourist Visitors
(4/19/2015)
Models of Impropriety
15 Models and Crew on Photo Shoot Deported by Bali Immigration
(4/19/2015)
Getting Hounded in Bali
Drug Detection Dogs Intercept Smuggled Drugs Mailed from the U.S.A. to Bali
(4/19/2015)
All [News]!