Thread: Thinking of buying a resort in Bali

My wife, daughter and i are thinking that we would love to buy/rent a resort n Bali, and have seen some corkers.
This forum has been invaluable in giving me lots of info, and now i would like to ask about finance and so on.
Is it possible to get loans/mortgages in Bali for this sort of venture? Obviosuly with deposit.
What is the quickest, easiest way to own property in Bali?
How can i get there faster!!!

You've got to be kidding. NO WAY! Interest rates here are than five times the prime rate in the US right now, and the GODS forbid you want to use your land as collateral in ANY loan with any Indonesian financial institution. A long term lease deal is viable, BUT you've got to get the "seller" to come around completely to your point of view, (which should be to protect your ass) and accept installments, on the lease, which "smells like, looks like, but isn't" a mortgage. Huha, I've seen so many burned by this it's getting to read like Steven King horror stories! HATI HATI...you are entering the "twilight zone."

Dear Sir/Madam,

I read your questions and the comments that followed. I have been working in the hospitality industry for around 14 years and was looking for a job in order to relocate to Bali myself. I must say that allthough it didn't sound very serious it was some good and sound advice.

Please be carefull with respect to the economics, marketing and such. I was in Thailand when the first Iraqi-Kuwait war broke out and it affected the industry a lot. Previous sound businesses closed, were sold, taken over, a huge mess.

If this is a long term commitment on your side, and you can afford it, on the other hand this also might be a good time to invest in an area where business is slow. Due time it will come back to its full potential.

I'm not informed as to the current situation in Bali, so these comments are hypothetical. However, do check the available resources. Chamber of Commerce, Bert, and others that are there on the ground.

If I'm there I don't mind giving you some more advise as to how to set things up with respect to operations, marketing, and controlling. However, please be aware and don't burn any ships behind you. A Dutch saying that refers to keeping a way out in case your plans don't work out as expected. So don't sell your house, etc. Not until you are making a good return on your investement and you know it is definately going to be long term. Then there is also the fact that living and working there might be different then expected. It's no longer vacation, or short trips. And after a couple of months/years, you or yours might long to go back. Especially with children, youngsters, teenagers, or young adults. They might regret their/your decission after some time. So, please keep a door open in order to go back.

I have seen a lot of unhappy faces of friends/expats. Don't think lightly about a huge undertaking like that. It is easily done, but not easily fixed.

Good luck, Kris

veen@ehotelier.com