Bali 2026: three changes to know before you buy.
Written by Nacho Jorrín, partner at Agmakina Group, building and managing villas in Uluwatu since 2019 · Reviewed 4 October 2026
This year brought more headlines about Bali than the previous five, and many exaggerate. Here is what has been confirmed, with its source, what is still unclear, and what to check before you sign.
In 2026 Bali is tightening on three fronts: platforms remove unlicensed rentals from 1 August, a provincial regulation (Perda 4/2026) bans nominee arrangements, and since September 2025 no permits are issued for villas on productive farmland. None of this affects a villa with its licence, its permits and a leasehold registered in your name. It does affect anyone who buys without checking.
1. Licensing: unlicensed holiday rentals are ending
In May 2026 Indonesia's Ministry of Tourism announced it would ask Airbnb, Booking.com, Agoda and Tiket.com to remove around 1,600 unlicensed accommodations from 1 August 2026. What is required is the business registration in the official system (NIB, with its accommodation activity). Source: CNN Indonesia, 29 May 2026.
The ministry itself clarified that the goal is to legalise, not to ban holiday rentals or Airbnb (Kanal Bali, Bisnis.com). For a licensed villa this is good news: less illegal supply competing on price.
2. Nominee: now banned by a Bali regulation too
A nominee arrangement puts land in the name of a "trusted" Indonesian so a foreigner can control it. It was already contrary to Indonesia's Agrarian Law. Since February 2026 Bali also has its own regulation: Peraturan Daerah Provinsi Bali Nomor 4 Tahun 2026, on controlling the conversion of productive land and banning land transfers through nominee arrangements. Sources: Bali Provincial Government and Bisnis Bali, 26 February 2026.
According to published analyses, nominee agreements are treated as void and the sanctions are administrative: closure, revoked permits, demolition and fines. Anyone who bought this way risks losing what they paid.
This does not affect leasehold: it is a right of use registered in your name, with a term and renewal written into the contract. It is the legal route, and the one we use. We explain it in full in our leasehold and freehold guide.
3. Farmland: no new villas on rice fields
In September 2025, after the floods, Bali's governor asked the regencies not to issue permits for hotels, villas or restaurants on productive farmland or water catchment areas. It is an instruction, not a law. Source: Bali Discovery, October 2025.
What is not confirmed is a general island-wide villa moratorium. It has been proposed several times and dropped. A villa already built, or under construction with its permits, on land zoned for building, is not affected by anything published so far.
What to check before signing
- That the land right is registered in your name or your company's, never in a "borrowed" third party's.
- That the villa has an active business registration to rent and its tourism licence.
- That it has building and occupancy permits, and the land is not protected farmland in the zoning plan.
- That the permits carry a verifiable date, before September 2025 if the build is recent.
- That local accommodation tax is paid up and you can see the last 12 months of revenue.
What people ask us most.
Can you still rent a villa nightly in Bali?
Yes, with a licence. What is targeted from 2026 is unlicensed renting: platforms remove those listings from 1 August 2026. The government says the goal is to legalise, not to ban.
What is Bali's Perda 4/2026?
A Bali Provincial Government regulation from February 2026 that controls the conversion of productive land and bans land transfers through nominee arrangements. Nominee agreements are treated as void and the sanctions are administrative.
Is there a villa moratorium in Bali?
No general moratorium has been confirmed. Since September 2025 no permits are issued for villas on productive farmland, on the governor's instruction. A villa with its permits on land zoned for building is not affected.
Is leasehold legal under these rules?
Yes. Leasehold is a right of use registered in the buyer's name, with a term and renewal written into the contract. What the rule bans is nominee: putting land in someone else's name.
The other guides.
Want it with your own numbers?
We show you the villas available, what each one earns today and what would be left for you, with our real figures in front of you. You talk to the developer, not to a salesperson.
Talk to the developer