I think I was getting confused when the agent asked me who was doing my due diligence.
So to my way of thinking there are two levels of due diligence the Notaris level and the lawyer level. Would this be a fair assumption
Yes, that would be a fair assumption. A lawyer would be someone who could/should perform due diligence beyond the purely transactional aspects of the deal - which will be performed by the notary but which you could ask the lawyer to verify as well.
Also, in addition to the more obvious due diligence (ownership, access, boundaries, zoning etc), you may wish to meet with the klian banjar (head guy in the village) to introduce yourself and see if they have any issues with you buying/leasing property there. In 90%+ of cases you will be welcomed, but if you're not then take that as a red flag. You would also be wise to ask about any official banjar or desa fees associated with buying/leasing land and building. In more and more banjars in Bali, when a foreigner buys or leases from a non-banjar member, there is a local tax to be paid which can be up to 2.5% of the government declared transaction value. There may also be another tax on building. Water can be an issue, eg, are you allowed to dig a bore or a well and if not, how does the local water distribution system work and how much will it cost you to connect and what are the usage tariffs? Electricity is usually no problem these days, but it would make sense to see where the nearest pole is and if not next to you, plan on paying to bring power to the land.
Lots of issues to consider (my list is not necessary exhaustive but all I can think of off the the top of my head at this moment), so you would be wise to proceed carefully. The key point is to understand as much as you can in advance to minimize your risk so that if something does go wrong (and in Indonesia something always seems to go in a way not planned), it's not too big of a deal. Good luck.