Even a small investment here will give you a nice return down the road. Here is a list of the titles we, as foreigners can obtain.

Hak Milik – freehold title that can be bought, sold, mortgaged and inherited and is only available for Indonesia nationals and Indonesian corporations. International corporations cannot hold a freehold title.

Hak Guna Bagunan – the right to construct a building on a plot of land by a corporation (both domestic and foreign) or individual for a period of 20-30 years that is subject to renewal by applying to the National Land Agency. The purpose of the purchase must be executed in order for the land title to be secured in that the land may not be left idle.

Hak Sewa Bagunan – the right to rent land for building purposes by a determined amount of time by the two parties. This is an informal agreement in that it is not certified or registered with the land authorities and the legal protection of those engaging in it is therefore unclear. It can be held by a foreigner that is residing in Indonesia or the Indonesian branch of a foreign company. The agreed use of the land must be maintained throughout the lease period.

Hak Pakai – the right to use land for a specific and pre agreed purpose for a defined amount of time. This can be held by an Indonesian national, foreigners domiciled in Indonesia, foreign investment companies (PMA) and representative offices.

Hak Guna Usaha – the right of exploitation, applicable for state owned land to be used for agricultural and aquaculture purposes for a period of up to 35 years with a 25 year extension by applying to the National Land Agency. The land must be used for the purpose that it was leased for and may not be left idle.

Strata Title – the deed or right of use of an apartment can be purchased by a foreigner who resides in or has a regular ‘presence’ in Indonesia, as it is considered to be vertical space as opposed to land.

In my opinion the hak pakai is the the best and most reliable. However, having an Indonesian spouse( and with a pre-nuptial) agreement, the spouse can buy land and property in their name.

The other way is by getting an Indonesian nominee to take all land and property in their name( this is risky for obvious reasons)! But, if you get an efficient notary, then they draw up documents and one of them is a power of attorney that gives the foreiner all rights to sell, rent etc…..

Once you understand the titles and what you want, it's pretty simple, all you need is the cash and the correct paperwork

Regards,

James.

I would love to put some numbers up here, but through fear of reprisals i won't!

If you would like to send me an email, I  would be happy to share.

I am working in Bali, and there has never been a better time to go over and get involved with the investment game. 10-20% growth annually. Great ROI'S to be had.