CLOSE X

Register - if you don't have an account

Yes! Sign me up for Global Property Guide's fortnightly email newsletter.


Login - for registered users

Forgot Password?
Explore destinations
continent map couldn't be loaded Pacific Europe & Russia North America Latin America Asia Africa Middle East Caribbean

 



Investment Property News


My company
Global Property Guide

ON GPG


Indonesia to relax property ownership norms for foreigners

Oct 11, 2017 | 0 Comment(s)


The Indonesian government is planning to amend Indonesia’s land bill to allow foreigners to own apartments under the right-to-build category (HGB), according to Agrarian and Spatial Minister Sofyan Djalil. 
 
In Indonesia, there are three principal property-ownership categories: right of ownership (hak milik), right to build (HGB) and the right to use (hak pakai). 
 
Foreigners are currently barred from directly obtaining properties in Indonesia. In 2015, the Indonesian government allowed foreign investments in apartments that cost at least Rp 5 billion (US$186,000) under the “right-to-use” category, though not under the "right-to-own" or “right-to-build” category, which is reserved to Indonesians.  Then in 2016, the government allowed foreigners who work or live in Indonesia to own a house under the right-of-use title. 
 
The government is now planning to give further relaxation to foreign investors to boost competition in the property market. 
 
“In the land bill, the government proposes several changes, including to allow foreigners to have apartments, whose construction licenses are in the form of HGB,” Agrarian and Spatial Minister Sofyan Djalil said in Jakarta was quoted as saying by local media. 
 
The amendments in the bill will be tabled in the House of Representatives for approval. 
 
HGB title gives the right to construct and own buildings on a plot of land.
 
There had been complaints that foreigners have been buying properties through proxies in large numbers, avoiding paying taxes.  This is an attempt to solve two problems are once.  
 





Market Analysis - Indonesia
Time series for residential property
 
Revised residential property price index, new Houses, new developments, composite 14 cities
Price/Rent Ratio: 12 yrs

Free Newsletter

Fortnightly updates from the global property arena directly to your inbox.


Email Address:





Latest Country Analysis
News & Discussion


PROPERTY RECOMMENDATIONS

 
Download free property reports from international research houses

Our Newsletter

 
Fortnightly updates from the global property arena directly to your inbox.

Manage subscriptions