Taxation Need to be Paid in Buying Bali Villa

Bali Real Estate Tax

In this article, we will help you to Understand Bali Real Estate taxation before buying villa in Bali. Tax is a mandatory contribution of every citizen to the country. Either individually or as a coercive entity based on the law. Tax payments do not receive direct compensation and are used for the purposes of the […]

Nominee Agreement For Land Ownership in Bali

Nominee agreement practice

Nominee agreement for land ownership are prohibited if the basis is to transfer restricted land rights to foreign parties. For foreigners, you are only entitled to land under a right to use (Hak Pakai) or leasehold. More specifically, the Agrarian Law number 5 of 1960 has expressly stated that freehold land can only be owned […]

Indonesia Launches Second Home Visa

Second home visa

In response to the volatile global economic condition, as well as to minimize the economic impact of the COVID-19 pandemic, the Indonesian government has issued Circular No. IMI-0746.GR.01.01 of 2022 on the granting of a second-home visa and temporary stay permit on Tuesday, October 25, 2022.  Announced less than a month before the scheduled upcoming […]

Your Complete Guide To Pondok Wisata in Bali

Spacious Modern Luxury Villa

Plan to invest in Bali? After reading our last article regarding leasehold or freehold, you may start to do your research. Beside the location wise, the question probably will be: “how and when you can start put your villa in the market?” If you do your general research already, you probably heard about “Pondok Wisata”. […]

What Is An IMB?

IMB in Bali property

Do you know why you need IMB in Bali property? If you ask some agency or property management to market your villa, they will ask you if you have IMB. An IMB is essentially the building permit or “permit to establish a building”. It also serves as a registration document for the building, also specifies […]

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Type of property ownership dedicated for local investors or foreigners under legal cooperation in Indonesia. The freeholder of a property owns it outright, including the land it is built on. If you buy freehold, you’re responsible for maintaining your property and land, so you’ll need to budget for these costs and taxes.


Surat Hak Milik (SHM) / Surat Hak Guna Bangunan (SHGB)


Lifetime, or until it’s sold to a new owner

owner status

Indonesian individual only or foreigner who has a company in Indonesia (PMA) to buy the property under that company’s name



Type of property ownership for foreign investors who are willing to purchase the property as an individual. With leasehold, you own the property (subject to the terms of the leasehold) for the length of your lease agreement with the freeholder. When the lease ends, ownership returns to the freeholder, unless the contract states guaranteed lease extension at future market price.


Akta Sewa / Right to use – Right to rent


Average 20-30 years, with possible extension. Maximum 99 years

owner status

All people including Indonesian and foreigner with KITAS-Visa status