Land & Property Ownership
Land in Indonesia has been declared off-limits to foreigners for quite some time. Therefore, it would have been illegal to buy property (as a foreigner).
Land & Property Ownership
Land and Property Ownership for Foreigners
Land in Indonesia has been declared off-limits to foreigners for quite some time. Therefore, it would have been illegal to buy property (as a foreigner). New legislation in the late 1990s made it possible for foreigners to own flats and commercial space in Indonesia, but only in buildings with a strata title. It allows the non-citizen to own the building but not the land it is on.
By 2020, non-citizens will be able to lease flats for 30 years with options to extend for 20 more, while leased landed properties will be available for purchase but not ownership. Foreign long-term leases are more difficult to finance via bank mortgages because they lack the same insurance as Indonesian leases.
Minimum Price Thresholds of Purchasing Property for Foreigners in Indonesia
According to the rules, non-Indonesians can only purchase landed homes in Jakarta that cost at least IDR 10 billion and flats or apartments in the city that cost at least IDR 5 billion.
For all other areas, the most you may spend on a landed home is between IDR 1 billion and IDR 5 billion, and on an apartment is between IDR 750 million and IDR 2 billion. Although the rule has the best intentions, it will not increase the foreign nationality property market due to other barriers.
Why Choose Us as Partner
Contact Us For Consultation
Due to the difficulty of the task at hand, it is wise to think about getting assistance from a reliable source. Elmar Consultant has over ten years of experience and an extensive network in the industry; they provide comprehensive consultations before you purchase land or property and continue to assist you through the entire document process.
