Investment – ROI
Investment Scenario
€235,000 Villa
This investment model assumes:
- Purchase price: €235,000
- Starting rental price: €180/night
- Occupancy rate: 60% (219 nights/year)
- Annual rental price increase: 10%
- Annual property value appreciation: 15%
- Operating costs: 30% of annual rental income
5-Year ROI Table with 30% Operating Costs:
Summary After 5 Years (Net):
- Total gross rental income: €240,664
- Total operating costs: €72,199
- Total net rental income: €168,465
- Property appreciation: €175,017
- Total net return (rental + appreciation): €343,482
- ROI over 5 years (net): approx. 146%
Why More Investors Are Turning Away from Europe
Why is confidence in Europe declining?
- High taxes, energy costs, and regulations
- Bureaucratic environment limiting entrepreneurship
- Geopolitical tensions (Ukraine, Russia, migration crisis)
- Decreasing GDP in many countries and aging populations
Where is capital going and why?
- Southeast Asia (Indonesia, Thailand, Vietnam)
- Africa, Central America, Gulf countries
- Higher economic growth (5–7% annually)
- Young, dynamic populations and low operational costs
Indonesia and BRICS as a strategic choice
- BRICS membership from 2024 = geopolitical independence and strong eastern alliances
- Strengthening currency (IDR), stable economy, and openness to investors
- Strengthening currency (IDR), stable economy, and openness to investors Real estate and tourism as a safe asset
- Property prices growing 10–15% per year in key locations
- Increasing demand for sustainable, luxury accommodations away from mass tourism
- Projects like Ecco Village Bali – combining tranquility, design, and high returns
Conclusion
- Investing outside of Europe is not just a trend but a smart strategy for diversification and capital protection.
- Bali, with projects like Ecco Village, offers an exceptional blend of safety, appeal, and long-term value.