According to Indonesian law foreigners are not allowed to own freehold property title in Indonesia. However non-Indonesians can legally acquire property and enjoy the full rights of ownership through a number of alternatives, summarized as follows:

1. Freehold (Hak Milik)

Enter into a legal agreement with an Indonesian nominee, either an individual or a company. While they hold the title to the property, they simultaneously enter into a power of attorney, handing over full rights from the Indonesian nominee to the foreign party.

2. Lease

Make a leasehold investment agreement in the foreigner's own name, usually for 20-30 years, which is extendable. This method provides full legal protection to the foreigner for the term of the lease; however, once the lease term has expired the property reverts to the owner; unless extended.

3. Corporate ownership

Form a foreign investment company, which can be solely owned by a foreigner, and the title of the property will be in the company name. However, title in this case will be limited to 30 years, as, by then, the company will have to apply to the Indonesian Government to extend their license.

Indonet is available to assist in the above ownership process, either by recommendation of nominees, advice in the formulation of ownership agreements, or in the actual closure of the sale. However it is important for Indonet clients to have independent legal advice at all times while securing property in Bali.

Remember, much of Indonet's business is built on recommendations from our satisfied clients. We are here to offer our extensive expertise to assist in the successful acquisition of your dream property in Bali.

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