3 Favorite Destinations of Foreign Nationals Buying Properties in Indonesia

Foreign nationals (FNs) show great interest in owning properties in Indonesia. But the question is, where are the locations most favored by them? According to Suyus Windayana, Secretary General of the Ministry of ATR/BPN, there are three main locations preferred by FNs, namely Jakarta, Bali, and Batam. This expression was revealed during the Socialization Event of Regulations on Foreign Ownership of Residences, held at the Sheraton Hotel, South Jakarta, on Thursday (3/8/2023).

“Indonesia has significant potential to attract foreign interest, especially through the wide and appealing property market. Jakarta, Bali, and Batam are the primary destinations continuously favored by FNs, as reflected in our historical data,” he explained.

Based on data from the Ministry of ATR/BPN, this year alone, there were 36 properties in Indonesia owned by FNs. The total accumulation of property ownership by FNs in Indonesia from 2017 until now reached 162 properties.

Properties owned by FNs are spread across 13 provinces, involving North Sumatra, Riau Islands, DKI Jakarta, West Java, Banten, Central Java, Special Region of Yogyakarta, East Java, Bali, East Nusa Tenggara (NTT), Central Kalimantan, North Sulawesi, and North Maluku.

The distribution of properties owned by FNs this year covers several cities and regencies, with Tanjung Pinang, Batam, Tangerang, Denpasar, Gianyar, Tabanan, Badung, Minahasa, Bekasi, and South Jakarta being the notable list.

It is important to note that the government now provides ease for FNs to own residences in Indonesia, even with just a passport. According to Government Regulation No. 18 of 2021 concerning the Right of Management, Land Rights, Apartment Units, and Land Registration, Article 69 stipulates that foreigners who can own houses or residences in Indonesia must have immigration documents in accordance with statutory regulations, such as visas, passports, and residence permits.

Suyus Windayana explained, “Now, with just a passport or visa, foreigners can own property in Indonesia. This is a significant change, as previously, a Limited Stay Permit Card (KITAS) and a Permanent Stay Permit Card (KITAP) were required. However, now, KITAS and KITAP can be issued after FNs purchase property in Indonesia, changing the sequence of the process.