Introduction:
Purchasing real estate in Bali can be an attractive investment, given the growing tourism sector and the beautiful natural environment. However, it is essential to understand the legal aspects of buying real estate in Indonesia. Here are some key legal considerations to keep in mind.
Foreign Ownership:
According to Indonesian law, foreigners cannot own freehold land (Hak Milik). However, there are other forms of ownership available to foreigners, such as Hak Pakai (right of use) or Hak Guna Bangunan (right to build). These rights can be obtained through a long-term lease agreement, typically for a period of 25 to 30 years, with the possibility of extension. At DreamVilla, however, we have found a way to offer freehold properties to our clients, allowing you to enjoy full ownership rights.
Due Diligence:
It is crucial to conduct thorough due diligence before buying real estate in Bali. This includes checking the property rights, verifying the building permits, and ensuring there are no disputes or legal issues related to the property. At DreamVilla, we take this task off your hands and ensure everything is in order before you invest.
Notary:
In Indonesia, the transfer of real estate must be conducted by a licensed notary. The notary will draft the sales agreement and ensure all legal requirements are complied with. At DreamVilla, we work with reliable and experienced notaries to assist you in this transaction.
Taxes:
There are several taxes applicable when purchasing real estate in Indonesia, including the tax on the transfer of property (BPHTB) and income tax. It’s important to include these taxes in your budget and ensure you fully comply with Indonesian tax laws. At DreamVilla, we assist you in navigating these tax obligations to ensure you are fully compliant with the law.
Conclusion:
Buying real estate in Bali can be a rewarding investment, but it’s essential to understand the legal aspects of this transaction. At DreamVilla, we take all the worries off your hands and ensure your real estate investment in Bali goes smoothly and successfully. With our unique approach and dedication to service, you can invest in the beautiful island of Bali with confidence.