harryopal wrote
We are living in Jimbaran and our 5 year lease is about to expire and owner wants to renovate. In renting another house what documents should we ask for to ensure that it is a legitimate transaction?
One interesting property has just 1300 watts. We have a TV. Refrigerator, bathroom hot water, maybe 2 wall mounted air cons and plug in laptop. Will 1300 watts be adequate? Thanks in anticipation of responses.
Here is my 10c to take or leave as you please now I have been deemed worthy.
1 I would check the ownership documents (ideally original) right back to the Hak Milik.
1.1 I'd check to see if the property is mortgaged - and decide on your risk tolerance - if it's reposessed, the bank will want to sell it on and that's gonna motivate them to see you gone. I assume your rental money will be gone too by then. That said they can get a mortgage on their land at any time anyway.
1.2 Check the little plan (back page) and stated dimensions to see if the property is actually on the land in the certificate and the dimensions line up. Your bathroom or septic tank might be on the neighbours empty land :) or your 3 are building buit on 1 are of land.
1.3 I'd check if the property tax is paid up to date more as a kind of character reference but this might be too severe a filter - again your risk tolerance
1.4 A quick visit to the land office might prove very informative - they have access to the certs, imb, plans plans and zoning online and might share if you explain your reasoning.
1.5 Part of the IMB really but check the land zoning - near our last place my partner struck up a convo with a German chap we had never met before and learned he had leased land long term. His smile dropped through the floor when my partner explained all this land, his included, was green zone and building was entirely unlawful.
2 If you are sub-letting I'd still do 1 but also check the authenticity of the master let - does it allow sub-letting, for how long does it still run - and maybe cheeky but prroof it has been paid up already. The old lease paid yearly, year paid 1 upfront then sublet to gullable for 5 years and then forget to pay further installments has been seen in these parts. You can guess who gets the short end of that stick!
2,1 I dont know if its practical but if subletting I'd involve the original owner as Hak Sewa does not exist in the land ofice. The paper work exists only the filing cabinets of the involved persons and the notaris.
2 I'd check there is an IMB in place as of course no IMB means no legitimite building to let so might well invalidate any rental contract you sign up to. On this one though you may have to decide your level of risk aversion as ... this is Bali. I'd suggest seeing the IMB document and not accepting the tin plate at face value. Realty may differ wildly from the paperwork.
3 To be legal any contract MUST be in Indonesian so you are disadvantaged unless you have native levels of language skill.
3.1 You also need the assurance of the little 10k stamp without which things are not legitimate for who knows what reason
4 Check out your contract and that of any lessee above you for onurous clauses ie:
You might be responsible for all maintainence including major work
You might be responsible for paying their annual land tax
You might be responsible for paying their income tax
There are often wishy washy bad-behavior clauses that allow for the lease to be terminated for any trivial infraction at your loss
etc
I think youll struggle with what you propose and a 1.3kW supply but youll need to inspect the stickers on the appliances to be sure - maybe you have some super efficient machines.
Typically, an electric kettle, hair dryer and air-con units will need a kW or so each so I'd say you want to upgrade to 2, 3 or 5 assuming the wiring can take it!
Hope this helps.
Best wishes for 2023
