The villa next door is not better. It is better managed.
Two identical villas, on the same street, bought for the same price, can bill double one against the other. The difference is not in the villa, it is in seven decisions. Here they are, with data from the 200-plus properties we manage in Uluwatu.
The two-tier market
Bali has split in two. Villas that are well built, well managed and in a location guests actually want hold occupancy and rate. Generic villas in saturated areas compete on price, and lose. The good news is that most villas in the generic tier can move up without spending a rupiah on renovation.
| Area | Average occupancy | Average nightly rate | Who books |
|---|---|---|---|
| Berawa and Canggu | 75-85% | $250 to $350 | Digital nomads, creators |
| Seminyak | 70-80% | $220 to $320 | Couples, luxury travellers |
| Uluwatu and the Bukit | 68-78% | $200 to $300 | Surfers, wellness, Australians |
| ↳ Our portfolio in Uluwatu | over 80% | above the average | Same coast, managed differently |
| Ubud | 65-75% | $150 to $230 | Cultural travellers, retreats |
| Sanur and Nusa Dua | 60-70% | $140 to $200 | Families, divers, Asian market |
The seven factors, in order of impact
- 1. Location and positioning. It is not where the villa is, it is who it is advertised to. The same house sold as a surf villa or as a couples retreat pulls different guests and different rates.
- 2. Dynamic pricing. The most expensive mistake is charging the same on a Tuesday in November as on 30 December. In Bingin, between 21 December and 3 January the market lifts 14%. Whoever does not capture that is giving it away.
- 3. Multichannel distribution. Depending on Airbnb alone is depending on one algorithm. We sit on the three main channels at once, synced.
- 4. Direct booking engine. The highest-margin income, because it skips the platform commission. It takes a proper website and work, but it is what lifts the net most.
- 5. Professional management. It looks like a cost and it is the opposite: a well-run villa bills more than it costs to run. The fee comes out of the extra it generates, not out of what was already there.
- 6. Guest experience and reviews. Reviews decide the ranking, and the ranking decides the bookings. Our portfolio sits at 4.93 out of 5.
- 7. High-season capture. Ten weeks a year decide the year. If the calendar and the pricing are not ready in September, by December it is too late.
The cost of doing nothing
The gap between a villa at its area average and a well-managed one is not a point of occupancy: it is 15 or 20 points, plus a higher average rate on top. On a €110,000 villa, that is the difference between paying back in 12 years and paying back in 8.
What it costs and what it includes
Our management fee is 15% of income. It covers dynamic pricing, listing and syncing across the three channels, direct bookings, cleaning, maintenance, guest care and regular statements with the books open. There is no set-up fee and no lock-in.
| What comes off gross income | How much |
|---|---|
| Platforms (real average across Airbnb and Booking) | 15% |
| Agmakina management | 15% |
| Local PHR tax | 10% |
| Operating: maintenance and utilities | 10% |
| What is left for the owner | 50% |
From keys to payouts
Four steps and nothing for you to do: we review and photograph the villa, list it across the three channels with its pricing strategy, run it day to day, and pay out regularly with the detail of what came in and what it cost.
What people ask us most.
What do you charge to manage a villa?
15% of income. It covers dynamic pricing, the three channels, direct bookings, cleaning, maintenance, guest care and statements with the books open.
Do you manage villas you did not build?
Yes, as long as they are in the area we operate in. Outside the Bukit we cannot give the same service and we would rather say so.
Is there a lock-in?
No set-up fee and no lock-in.
How often do I get paid?
Regular statements, with the detail of what came in, what it cost and what is left.
Why does my villa earn less than the one next door?
Almost always one of three things: a flat price all year, a single booking channel, or positioning that does not match the guest that area attracts.
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.