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Thread: New Indonesian Land Law?

  1. #1
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    Default New Indonesian Land Law?

    Hello everyone,

    A friend of mine who is married with an Indonesian lady told me that the land law has been, or is about to be, changed in Indonesia. According to the info given, foreigners can now buy land in Indonesia. Is this true? I would appreciate feedback from anyone who is updated on this.
    Bert, I am looking for a plot up north near Lovina not to far away from the beach. Size around 10 are. Any tips?

  2. #2
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    Default RE: New Indonesian Land Law?

    Hi Tomas,

    I am not sure there is amendment on Indonesian Agrarian law, the applicable law still Agrarian law of 1960 with its Goverment Regulations, which is still forbidden for non Indonesian to have land under Right of ownership.

    regards,
    Voir la vie en rose/ see the bright side of life
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  3. #3
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    Default RE: New Indonesian Land Law?

    Thomas.....some adjustments have been made to the conditions/length of land lease etc, but Smusdar is right, you still cannot actually own land here as a foreigner - only the property you build on it.

  4. #4
    Roy
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    Default RE: New Indonesian Land Law?

    While Smusdar and Colin are totally correct, regarding the laws as they currently stand, discussions within the MPR abound as part of an effort to increase foreign investment in Indonesia.

    Personally, I hope these land ownership laws do not change.

  5. #5
    dug
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    Default RE: New Indonesian Land Law?

    Perhaps limitations on the size of land purchased by foreigners would help to alleviate the loss of land for farming. It seems to me that some foreigners prefer large tracts of land 20+ are for their homes in rice growing areas. This to me seems a waste, as populations multiply ,food sources (growing areas,sawah) are lost.Bali is a very productive region for growing.Societies must maintain their food sources!! At the same time we understand the economic benefit of foreign investors,just limit their consumption of land and maintain green areas.

  6. #6
    Roy
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    Default RE: New Indonesian Land Law?

    Welcome to the forum Dug. In my mind, your first post was fantastic and I, for one, am looking forward to "hearing" from you more in the future.

    This topic is a tough one, and likely to raise emotions to the surface rather quickly. Your insight and understanding of this most sensitive issue is rather remarkable in my view.

  7. #7
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    Default RE: New Indonesian Land Law?

    Maybe you mean Hak Pakai?

    This gives right of use, without the need of a name holder...
    That's It !!

    Bert

    It's five o'clock somewhere, sometime

    BPI Bali - Lovina

  8. #8
    Super Moderator matsaleh's Avatar
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    Default Re: RE: New Indonesian Land Law?

    Quote Originally Posted by Roy
    Personally, I hope these land ownership laws do not change.
    Personally, I tend to agree with you Roy.

    As much as I would dearly love to own a small home in Bali, I also know the consequences of allowing indiscriminate foreign investment.

    In my own city, Sydney, there are no restrictions on who can purchase property. For our much wealthier neighbours within the region, the temptation to snap up prime real estate at reasonable prices, has been too good to resist.

    Because this trend has been increasing for the past 10 to 15 years, the result is overinflated land and housing prices for most of the city. It has now reached the point where young, local couples are no longer able to afford to buy a home anywhere within 50 or 60 kms of the coast.

    I wouldn’t like to see this happen anywhere in Indonesia, and particularly not in Bali.

    Perhaps Australia should consider a similar arrangement to Hak Pakai for foreign investors.
    Madness takes its toll. Please have exact change.
    Puri Dukuh Accommodation


  9. #9
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    Default RE: New Indonesian Land Law?

    Hello again everyone,

    Don't take me wrong. I certainly don't want to spoil any part of Bali by destroying the beautiful and necessary rice fields. Absolutely not! I love Bali as much as any of you.
    I just wanted to find out about the current law regarding land/properties. My reason for asking is not to make any economic profit on investments. My family and me really love Bali and we are hoping to move there, but not for any financial gain. Just want to know as much as possible before we do so....
    Now for the second part of my question. We are looking for a place up north, near Lovina or Singaraja. Size 10 - 15 are. Any tips? I would really appreciate your feedback. I don't want to deal with the "professional" developers.

  10. #10
    Roy
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    Default RE: New Indonesian Land Law?

    I don't want to deal with the "professional" developers.
    Once meeting Bert, you may change your mind about that. In all honesty, if my Balinese wife and I were not so "glued" into the Ubud area....family and all, we would be looking exactly where you are looking, and Bert would be our trusted guide.

    In my opinion, and regardless of what anyone else thinks, I believe North Bali, the Singaraja/Lovina area, is next in line to bust out as THE place in Bali to be.

    If I were you, and I was serious, I would most certainly be in touch with Bert. You can send him a PM, (private message) through this forum to get "the ball rolling." Don't forget what America's greatest citizen, Ben Franklin, once wrote about being "penny wise, but pound foolish." Good luck to you.

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