A popular strategy to generate passive income in Bali is to own a vacation rental property. Of course, this means that you should only keep the property if your investment is paying off. It’s not a good idea to keep it for too long. Something new comes along every now and again, and you simply feel it’s time to move on. Maybe you no longer get any profit from the villas and the expenses is slowly eating up your budget. Especially in times of pandemic like this, when worldwide travel restriction take place. You might feel the need to put your Bali houses for sale and move on to other investment. However, should you sell the property right here and right now or keep it and hope to rake in future market?
Reconsidering the Pandemic Situation Before Putting Your Bali Houses for Sale
While it would be incorrect to state that the coronavirus pandemic is over, great progress has been made in that area. Even if the new Delta variety has caused case numbers to rise recently. In fact, despite the coronavirus crisis, many individuals are getting out and visiting this summer.
However, many vacationers prefer private vacation houses to hotels, which is unsurprising. These homes not only provide greater space and privacy. They can also be a safer option for families with unvaccinated children.
Predicting the Vacation Season for Your Bali Villas Next Year
If you keep your vacation property, on the other hand, you’ll be able to take advantage of the vacation boom once the pandemic is gone. That alone is plenty of a reason not to sell.
Will You See Vacationers Again in Your Area?
No one can foresee how the epidemic will progress. Or what effect it will have on certain locations in the long run. All kinds of unanticipated occurrences have influenced — and will continue to impact — tourist destinations: sickness, natural catastrophes, terrorism, and political upheaval, to name a few. The ability of sites to attract tourists after these catastrophes is largely determined by whether they have the support of the tourism sector.
Considerations Related to the Future of Tourism Potentials
Here are a few things to think about:
- Is your property located in or near a popular tourist destination?
- Does your house located in area with natural beauty—like beach, desert, lake, mountains, etc—which will always attract visitors?
- Is it in an area where there hasn’t been a major outbreak of COVID-19? Do the local authorities and residents work to properly reopen businesses and attractions to avoid further outbreaks?
If your property is in a location where you don’t live, conduct some research about the town and local companies. To get a sense of how optimistic real estate experts and local company owners are about the area’s ability to recover, talk to them.
Reconsidering the Current Shortages of Homes in the Market
There is a general shortage of available homes on the market right now, and this includes vacation residences. Many investors are yearning to add short-term rental space to their portfolios because mortgage rates are near historic lows. As a result, if you sell today, you’re sure to receive a slew of substantial offers especially when your house is appraised as a good property in Bali to invest in. A lot of investors are now looking for Bali houses on the beach for sale. So if you think you have an asset in prime location and ready to make profit now, it’s time to put it in the market.
More Villa and Property Insights:
Would You Want to Turn the House into A Long-Term Rental?
If there is a demand for long-term rental homes in your area, this option could provide you with a more consistent stream of income than selling your property. If you’re thinking about it, make sure you’re up to date on state and local laws governing tenants’ and landlords’ rights and obligations.
Reconsider the Reason You Bought the Property
Was your property simply intended to be used as a short-term holiday rental, or did you have additional plans? Have you thought about utilizing it as a vacation house for yourself, family, and friends? Was it your intention to make it your primary residence after you retired? If you bought the home for more than just a source of vacation rental income, those extra perks may be enough to convince you to keep it.