Property prices in Indonesia continue to fluctuate each year, influenced by economic growth, infrastructure development, and demand dynamics. According to the December 2025 Flash Report by Rumah123, several cities recorded notable annual increases in residential property values throughout 2025. Interestingly, the top three fastest-growing markets are located outside the Greater Jakarta (Jabodetabek) area, highlighting shifting investment trends.
Denpasar, Bali, emerged as the strongest performer in 2025. Rumah123 recorded a 3.4% year-on-year increase in property prices, driven mainly by the upper housing segment. The median price of high-end homes reached approximately USD 414,000, marking an 8.3% increase compared to the previous year.
“This pattern shows that the upper segment adjusts prices more quickly, even though its transaction volume is smaller than the middle segment,” said Marisa Jaya, Head of Research at Rumah123 on Thursday (December 18, 2025), as reported by Detik.
The recovery of Bali’s tourism sector after the pandemic has been a major catalyst for Denpasar’s property growth, strengthening local economic activity. Additional momentum came from government policies such as the Second Home Visa, Golden Visa, and relaxed property ownership rules for foreign nationals, which expanded demand, particularly in the upper-middle market. Marisa noted that the most sought-after homes in Denpasar are priced between USD 64,000–191,000 and USD 25,000–64,000 per unit.
Following closely is Yogyakarta, which has consistently recorded annual price growth. Similar to Denpasar, the strongest appreciation occurred in the luxury segment, with the median home price reaching around USD 414,000, reflecting a sharp 18.2% annual increase. However, demand remains strongest in the lower and middle segments, particularly homes priced between USD 25,000–64,000, followed by properties in the USD 64,000–191,000 range.
Yogyakarta’s steady growth has been supported by improved regional connectivity, especially the Solo–Klaten toll road, operational since September 2024, which links the Semarang–Solo corridor to Kulon Progo. Increased tourism activity and intercity mobility have further reinforced housing demand.
The third city on the list is Semarang, where price growth was most visible in large luxury homes exceeding 251 square meters. According to Rumah123, the median price reached approximately USD 376,000, with annual growth of 7.3%. Despite this, demand remains concentrated in the USD 25,000–64,000 segment, followed by properties priced above that range.
“These findings indicate that while price increases are often driven by the upper segment, overall market demand continues to be supported by the middle and lower-middle segments, which tend to be more stable and sustainable,” Marisa explained.
Beyond these three cities, Medan, Bekasi, Tangerang, and Depok also recorded positive annual price growth. Rumah123 noted that Denpasar, Medan, Bekasi, Yogyakarta, and Tangerang posted the highest annual increases in 2025, while Denpasar, Depok, Semarang, Tangerang, and Yogyakarta consistently recorded positive growth throughout the year.
Source: Detik
Photo Credit: ANTARA/HO-TBW
