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Looking to buy land in Bali? Foreigners can buy land in Bali as long as they adhere to the local property laws and regulations. It’s not completely impossible and we at Bali Coconut Living are here to show you how. Being a land owner in Bali is a dream come true, but a word of warning before signing on the dotted line or putting down any deposits: There will be loopholes that will tempt you into taking the easy way out, and shortcuts may present themselves to buy land in Bali but these do not come without risks; the outcome could be devastating and dangerous for those who do not stick to legal and official channels. Having said that, set your worries aside. As your trusted property partner, we’re here to show you how foreigners can legally and safely buy land in Bali. Buy Land In Bali - Understand Indonesia Property Laws & Land Laws Before we proceed, it’s important to understand that foreigners aren’t allowed to own land or property in Bali. Only Indonesians can buy land in Bali, while foreigners can take out a long-term lease which can go anywhere from 2-100 years.   Various certificates indicate the title of land or property ownership that you’re looking to purchase, which is why you must understand basic land/property types. So, what are the regulations for foreigners looking to buy land in Bali? The “freehold” title or “Hak Milik” means that only Indonesian citizens can hold this title. If you’re a foreigner and you’re tempted to hold a freehold land, it will automatically be deemed void, and therefore, the land will automatically belong to the government. A secondary title, known as “Right of Use” or “Hak Pakai” is the best option for a foreigner. With a built-in extension of 25 years, the title comes with renewal after 20 years with only a small tax implication. Restrictions include the size of land and property and you must hold a valid permit to stay in Indonesia such as a KITAP or a KITAS. The third title is a commercial title; “Hak Guna Bangunan”, which means “right to build”. This title is compulsory for both foreign and Indonesian companies buying, selling, or managing villas for commercial purposes. Remember, Indonesian law prohibits foreigners from holding the Hal Milik or freehold certificate, and if someone is telling you that you can, that is a huge red flag. We would strongly recommend that you speak to your lawyers and notary about property tax and other taxation involved when buying land in Bali. The Dangers Of Nominee-Ownership Agreement There have been many cases of foreigners trying to outsmart the Indonesian property law by entering into a nominee-ownership agreement. They buy land in Bali through an Indonesian citizen who will then hold the land or property in their name. This may sound like it’s an easy way out, but it is incredibly risky and not 100% legal. There have been many cases in the past when a foreign buyer or renters tried to purchase or rent a property using a “representative” or a “nominee” – in most of these cases, they have met with unhappy endings or have had to navigate through incredibly stressful situations involving the law and large sums of money. The only ‘trusted’ and legal way to do this is if you were married to an Indonesian citizen and buy land in Bali using his/her name.   Be Smart & Get A Credible Property Business Partner Get yourself a credible and trusted property business partner or property agent who will have your best interest at heart, one with an excellent track record helping foreigners buy land in Bali, with great recommendations on properties that belong to trustworthy owners. A certified property agent can also keep you from getting scammed. There have been cases here in Bali where property “owners” run off with deposits. Some charlatans will copy property advertisements and post them online with their own contact details. Once the thief has received your security deposit from you, he or she then disappears with your money. A property business partner or agent will be extremely helpful to you as buying land in Bali can be a time-consuming and stressful experience. There is a ton of red tape and bureaucracies to maneuver, not to mention the often confusing Indonesian property laws to navigate and the discussions and negotiations you’ll need to make with the property owner, notaries, lawyers, the banjar and other local authorities. Survey The Land You Want To Buy It’s extremely important that you take a look at the physical land and conduct a site visit before agreeing to buy land in Bali. Scour the neighborhood and the surrounding areas, and take note of important things like road access, the closest neighbors, land topography and what’s nearby. Depending on what you want to build on the land, is there water and electricity and other utilities? Is there sea erosion or perhaps a plant or factory nearby?   Secure Your Transaction With A Notary In addition to a property business partner or property agent, you’ll need a notary who knows the ins and outs of property ownership, taxes, and other legally binding agreements to give you absolute peace of mind and help protect you against fraudulent property deals. A property agent can only try their best to filter out shady profiteers but they do not have the authority that a notary does when it comes to legal disputes and lawsuits. So do yourself a favor and hire a notary, even if you’re certain that you’ve met all legal requirements. Buy Land In Bali As A Foreigner With Bali Coconut Living Ready to buy land in Bali? You’ll need a property business partner and a property agent in Bali, so look no further than Bali Coconut Living. We’re experts in the Bali property law and a Seminyak-based villa property agent who is always ready to serve you if you need assistance in buying, selling, and even maintaining a villa for your passive income. We have hundreds of land in Bali for you to peruse through including Land in Jimbaran,  Land in Seminyak and Land in Uluwatu. Land in Nusa Dua, Land in Umalas, and Land in Canggu Feel free to browse all of our properties and if you have any questions or inquiries contact us now, or pick up the phone and call us at +62 361 847 6727.

Want to invest in a Bali vacation rental and enjoy a high return on investments? This is a great move if you’re looking to put your money into something long-term and stable, and enjoy high, consistent returns over the long run. Land and property will always be in demand, especially in a popular tourist destination like Bali. With a Bali vacation rental, you can generate income from anywhere in the world. You can even choose to stay on the property when you’re in town, which means that you’ll have a holiday home waiting for you whenever you wish. Now that borders are opening up and tourists are returning, you can confidently start your search for that perfect plot of land to build your dream Bali villa on. Whether you choose to stay in the villa yourself or rent it out to travellers and feel confident knowing that there are always visitors looking for short-term Bali vacation rentals. So why a vacation rental? A Bali vacation rental is a holiday accommodation that travellers can rent on a short-term basis. These accommodations include villas, holiday homes, guesthouses, apartments and studios. Vacation rentals like villas are popular in Bali as they allow travellers to fully experience tropical island life in complete luxury and privacy. Most villas in Bali come with their own swimming pool, a lush tropical garden, lovely living and dining areas, a kitchen, and sumptuous bedrooms with ensuites. Hotels are great but there is no luxury of space or privacy and facilities would have to be shared with other guests. The fact that villas come with their own private kitchens is also a plus point. It’s easy enough to market your Bali vacation rental or villa here in Bali. Thanks to the internet, you can try marketing it on your own using online booking sites. But remember that this will come with a whole host of challenges. You will also need to hire people to manage the guests and staff and a property manager. This may cause you unnecessary stress especially when you’re not on the island to manage everything yourself. Running a successful vacation rental home can require a lot of effort. Instead, you could always work together with a trusted villa management company like Bali Coconut Living, a leading Seminyak-based villa property agent ready to assist you in buying, selling, and villa maintenance. You can find out more about us here.   Once you’ve decided to go ahead and invest in a Bali property whether land to build your dream Bali villa on, or buy a villa to turn into a vacation rental, the next logical step is to choose a location. The most popular tourist destinations in Bali, and the most profitable would be Seminyak, Petitenget, Umalas, Canggu, Kuta, Legian, Sanur, Jimbaran and Uluwatu, Bingin, Pecatu. Don’t forget about Ubud and Nusa Lembongan! These regions are almost never in short supply of visitors.  Once the villa or sale is complete, then you’re ready to start renting! Ready to purchase your own Bali land or villa to turn into a vacation rental? Contact Bali Coconut Living now, and feel free to browse through our listings of freehold or leasehold apartments, available for sale and for rent in all of the most popular areas including Seminyak, Umalas, Uluwatu, Jimbaran and Canggu.

Researching potential business locations and gathering your financial resources is only half the battle. If you’re a foreigner, Indonesia’s stringent regulations on property ownership require you to scrutinize all the fine print. Sometimes the fine print isn’t even there! To avoid trapping yourself in fraudulent deals, we offer you some basic guidance.   1. Understand basic property laws in Indonesia   It’s a no-brainer, but many foreigners surprisingly skimp on this crucial first step. You don’t have to take a night course in law, but it’s good to have very basic knowledge of the various certificates that exist for property ownership, and which ones you can and cannot have. Hak Milik is a freeholder’s certificate, and Indonesia’s Agrarian Law prevents foreigners (even with a temporary or permanent residential permit) to own land -- with the exception of those who are married to an Indonesian citizen. However, you are eligible to apply for Hak Pakai, a right to use and capitalize property on land that is not yours.   2. Do not be tempted to arrange a nominee-ownership agreement   A foreigner who is not married to an Indonesian citizen cannot be granted a freeholder’s certificate, so many foreigners have found a semi-legal loophole by naming the property to a trusted Indonesian citizen, and then arranging the agreement through a notary to secure the investment. We say it’s semi-legal because the intent is illegal (and quite frankly insecure), but the means of obtaining the control of property is legal. We don’t advise you do this, unless that nominee is your spouse -- in which case you would obtain Hak Milik in the most legitimate way possible.   3. Choose a property agent early on   Find trustworthy agents who have your best interest at heart. They know your particular needs as a foreigner and can make excellent recommendations on properties that belong to trustworthy owners. The last thing you want is a landlord who even thinks about scamming you, to make false claims against you. Cases like these are rare, but the risk is still there. Choose a property agent who is backed by a solid property management brand. These are the people who help prevent you from dealing with difficult landlords, and who will actually help you get good deals.   4. Hunt for properties!   Hunting for properties involves getting out there on the road and doing the survey yourself. Again, it’s a no-brainer, but, quite surprisingly, many people don’t do this. This is especially common with people who buy from property developers, who sell you promises for down payments. While not all property developers are less than honest about the investment prospects of the land and location, it’s a good idea to survey again the surrounding points of interest and potential troubles (even if you’ve done your market research), like water and electricity shortages, or sea erosions.   5. Back yourself up with a notary   A notary who knows the ins and outs of property ownership, taxes, and other legally binding agreements is your second line of defense against fraudulent property deals. A property agent can only try their best to filter out shady profiteers. But they do not have authority when it comes to legal disputes and lawsuits. Save yourself the trouble and hire a notary -- even if you’re certain that you’ve met all legal requirements.   If you are looking for a property agent in Bali, look no further than Bali Coconut Living. We specialise in villas and holiday homes from people willing to sell or lease. Just tell us your budget and your prospective location, and we will lead you to our trusty clients on the other side of the table.