Land For Sale in Bali
Bali offers two main land ownership options: leasehold and freehold. Leasehold allows foreigners to lease land for 25 to 30 years, often with extension options. Freehold offers full ownership but is generally reserved for Indonesian citizens.
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Bali Land Sale FAQs
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No, foreign individuals cannot directly own land in Bali under Freehold (Hak Milik) title. However, they can legally invest through long-term Leasehold agreements or by setting up an Indonesian legal entity (PT PMA) for certain property types.
Getting a mortgage in Bali as a foreigner is challenging, as most Indonesian banks only offer property loans to Indonesian citizens. Some international or private lenders may provide financing options, but they often require a legal entity (like a PT PMA) and come with stricter terms. Most foreign buyers purchase property in Bali using cash.
Freehold (Hak Milik) gives permanent ownership rights but is only available to Indonesian citizens. Leasehold allows foreigners to lease property for a fixed term—usually 20 to 30 years—with the option to extend. Leasehold provides legal usage rights and is the most common method for foreign ownership.
Yes, it’s legal and safe when done correctly. Foreigners commonly buy through Leasehold agreements or by setting up a PT PMA (foreign-owned company) to hold certain property types. Working with a trusted agent, legal advisor, and notary is essential to ensure the process is compliant and secure.
In addition to the property price, buyers should budget for notary fees, legal due diligence, taxes (such as the 1% buyer tax on Leasehold).
Yes, many foreigners lease villas as investment properties and earn rental income. To operate legally, you’ll need the correct zoning (Tourism) and licenses, especially for short-term or Airbnb-style rentals. Your agent can help ensure the property is compliant with local regulations.