Indonesia, an archipelagic country, has undoubtedly become an investment target worldwide in many aspects, and one interesting investment is real estate.Basically, Indonesian property law restricts property ownership for foreign citizens (WNA), but there are certain schemes that allow foreigners to own property in Indonesia, subject to certain limitations and conditions.As a foreigner, you must first obtain a residence permit in Indonesia, i.e., hold a Limited Stay Permit Card (KITAS), in order to purchase real estate in Indonesia. This measure aims to provide an impetus for foreigners to buy property, not only as an investment but also for residence. Foreigners are only allowed to purchase landed houses and apartments. Landed houses refer to houses built on land of limited area, also known as landed houses with a maximum area of 2,000 square meters, while apartments mean that foreigners can only choose commercial-type properties. The types of land and building ownership rights available to foreigners in Indonesia are limited to Right to Use, Right to Lease, and ownership of apartments or residential units. Foreigners are not permitted to control land with ownership rights, HGU (Hak Guna Usaha), or HGB (Hak Guna Bangunan). If a foreigner obtains these three rights, they must relinquish them within one year, otherwise the rights will be revoked by law and controlled by the state.
The term of use for foreigners' Right to Use: The Right to Use for a single-family house granted on land with a validity period of 30 years has a term that can be extended for 20 years. After the extension ends, the Right to Use can be renewed for another 30 years, making the maximum term 80 years as long as they hold an Indonesian residence permit. The minimum property price limit for foreigners varies depending on the location of the property, as stipulated in the Decree of the Minister of Agrarian Affairs and Spatial Planning/Head of the National Land Agency No. 1241/SK. Based on the above explanation, it can be concluded that not only Indonesian citizens (WNI) but also foreign citizens (WNA) in Indonesia are allowed to purchase property, subject to the applicable terms and conditions stipulated in Indonesian laws and regulations. Regulations on foreign ownership of property in Indonesia frequently change and may vary by region or province, and individual properties may also have different requirements.
Indonesia, an archipelagic country, has undoubtedly become an investment target worldwide in many aspects, and one interesting investment is real estate.Basically, Indonesian property law restricts property ownership for foreign citizens (WNA), but there are certain schemes that allow foreigners to own property in Indonesia, subject to certain limitations and conditions.As a foreigner, you must first obtain a residence permit in Indonesia, i.e., hold a Limited Stay Permit Card (KITAS), in order to purchase real estate in Indonesia. This measure aims to provide an impetus for foreigners to buy property, not only as an investment but also for residence. Foreigners are only allowed to purchase landed houses and apartments. Landed houses refer to houses built on land of limited area, also known as landed houses with a maximum area of 2,000 square meters, while apartments mean that foreigners can only choose commercial-type properties. The types of land and building ownership rights available to foreigners in Indonesia are limited to Right to Use, Right to Lease, and ownership of apartments or residential units. Foreigners are not permitted to control land with ownership rights, HGU (Hak Guna Usaha), or HGB (Hak Guna Bangunan). If a foreigner obtains these three rights, they must relinquish them within one year, otherwise the rights will be revoked by law and controlled by the state.
The term of use for foreigners' Right to Use: The Right to Use for a single-family house granted on land with a validity period of 30 years has a term that can be extended for 20 years. After the extension ends, the Right to Use can be renewed for another 30 years, making the maximum term 80 years as long as they hold an Indonesian residence permit. The minimum property price limit for foreigners varies depending on the location of the property, as stipulated in the Decree of the Minister of Agrarian Affairs and Spatial Planning/Head of the National Land Agency No. 1241/SK. Based on the above explanation, it can be concluded that not only Indonesian citizens (WNI) but also foreign citizens (WNA) in Indonesia are allowed to purchase property, subject to the applicable terms and conditions stipulated in Indonesian laws and regulations. Regulations on foreign ownership of property in Indonesia frequently change and may vary by region or province, and individual properties may also have different requirements.