will Rogers (actor, writer and real life cowboy) said it best: "do not wait to buy land. Buy land and wait. "It is true to him at the end of the 20th century and it is certainly true today, even in Indonesia.
I can see some people nodding as they sip their coffee, knowing that Mr. Rogers is logical because they recognize the property is the safest investment there, but there is a voice in the back of the kitchen and he wants to be heard. "Not in Indonesia, buddy. expats can not "own" land here. "
M .. Skeptical McSmirky is right, of course. Expats can not own land as an Indonesian box, or perhaps not like you can at home. No amount of complaining about how the system will change the Indonesian constitution. Trust me on that one. McSmirky but overlooks the fact that you can have as an expatriate as long as you follow the procedures.
There are specific foreign ownership rules and regulations were updated in December 2015, which make it more easy for foreigners to own land and property under Hak Pakai (right to use) and Hak Sewa (Leasehold) for residential properties and Hak Guna Bangunan (right to build) for commercial titles. If someone tells you different or suggest using a nominee for a Freehold or Hak Milik title, do not turn and walk away, run as fast as you can! Unfortunately, the loophole of the candidates was in progress in some areas for many years now and I dare say that it still is, but note :. It is wrong and should be avoided
Imagine how you would feel if you were led to believe you actually had a clear title and it turns out that you do not do it because the agreement that the called candidates was evidence of intent to defraud the government on property taxes. Initially, there is shock and disbelief, and McSmirky is fueling the fire of regret. "You say!" There is a legal battle you'll never win because the foundation of your case is built on illegality. You do not follow the rules. You end up losing everything; the land, the house, the lot. It is not a pretty picture, but it happens. Do not let it happen to you.
Some people are uncomfortable with either Hak Pakai or Hak Sewa and should consider the establishment of a foreign company called LDCs. (The process which has also been simplified.) The PMA can legally have a right to build (HGB) certificate. You are the owner of the company and the company owns the property. Simple. Simple. And most importantly, legal!
A simple understanding of these regulations helps tremendously in your home-buying journey. Why? Because research becomes more focused, allowing you to focus on the most important question: what do you want and why
seems quite obvious I know, but you'd surprised how many people gift? 'T really know what they want. Whether you are buying for lifestyle or investment. Know why. Knowing the pitfalls. Know how much land you need. Know a range of realistic prices. Know that you are going to need a real estate agent and be ready to listen. You will need to talk to people.
Some tips: create a folder for recording images, colors, textures and ideas and start a "Board of Inspiration '. Fill it with things that inspire you. The more you think about every aspect of what you want the more you will be able to focus and this will allow you to share this knowledge and get to know people who can help you better.
There is always an inherent danger associated with online research and too much information can be as bad as none at all, be focused and aware. Use social media more. LinkedIn is so much more than a means of finding a job, it is an excellent resource for specialists in real estate activity. You can find comments on trends and market initiatives, sharing ideas on how they run their business and what is important to them. Find positive people. Remember a property purchase is inherently emotional and tap into that energy can have very positive effects in the long term, that go beyond the purchase.
The good news is the good companies are in line with this and call the customer experience (CX). Basically, they are trying to improve the way you feel about them rather than sell you something. Sure, they make their money on commissions, so a sale is important, but the priority is experience. The logic is that you are more likely to make a purchase if you feel good about the company and the people you are dealing with.
At least that's the theory.
An easy way to test the water is to send this very important first inquiry email to as many agents that tickles your fancy. How long you get an answer you? Is generic and automated? How do you feel? Quick response and customized speaks to people on the other side of the keyboard. It's simple; if an agent can not be bothered to respond to your request by email correctly, they are not bothered about you as a person.
The first contact is so important. We must reassure, empathize and fill you with confidence. Remember that you are a buyer. You want to buy, of course you do, but you also need to connect. When it happens, you'll know you've found your tutor agent.
Your tutor agent must listen and reassure. She does not try to bamboozle you with how the IMB and licenses are still ongoing. She does not try to tie you into a "Nominee structure". She tells you about the fee and maintenance costs. She is honest, and knowledgeable about the latest government initiatives to make the whole process of home-owning easier for expatriates. She welcomed the latest economic stimulus plan, now eleventh. She expects half that things change and flip and flop but it is positive for the direction things are going. His enthusiasm is contagious and you feel comfortable with his orientation. It seems truly and honestly interested you are in your investment and what your dreams are.
She will also suggest you take a third legal advice. Take it. It will give you choices and you should opt for the one you feel most comfortable with. There should be no pressure to go with one person or another.
So, yes, it is OK for foreigners to buy land in Indonesia. Take the advice of Will Rogers and invest in real estate, but remember to follow the rules when you do. It will make your life easier.
To avoid unnecessary heartache and financial crisis to remember these five key aspects to buying property:
- Understanding why you buy and search all aspects (legal, as well as property)
- Follow the rules and regulations that you learn research
- Find an agent who listens - your Guardian agent
- Take third legal advice
- do not take short cuts (see rule 2)
Good luck and enjoy the journey!