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Bali leasehold vs. freehold property

Posted by bPre2024 on February 10, 2017

Bali leasehold vs. freehold

Did you ever consider a safe leasehold agreement for your beloved property on Bali Island?

Freehold properties on Bali Island are still the most requested and purchased properties on Bali Island by foreigners – despite the necessary use of an Indonesian titleholder (nominee) for the land certificate is announced as completely illegal by the Indonesian law & regulations to purchase property in Indonesia by foreigners. With the recently announced tax amnesty and the associated digitization of all properties owned by Indonesian citizen and their legal income, this “illegal practice” becomes now even more worrying.


If a property is not properly declared by your Indonesian nominee (who provides himself as the titleholder for an actual foreign owner) to the amnesty tax office, serious problems may occur sooner or later and the illegal use of an Indonesian titleholder will most likely come to light and thus a lot of troubles. A much safer way is a leasehold contract/agreement (hak pakai) which can now under recently announced new regulations be issued for up to 80 years for foreigners with a KITAS-Visa status. If you like to get more information on this matter, do not hesitate to contact us for more details.

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