It’s hard to ignore Indonesia’s slow but steady growth in economy. With a hike in currency trends and FDI, this Third World country is emerging to become an international power house. Amidst the economy rise and globalisation, it’s becoming obvious that investment in the real estate business will go a long way in the future.
Before the millennium, purchasing houses or similar structures were forbidden to foreigners because the government believed the land was only meant for its people. Thankfully, along with the wave of globalisation, amends were made to such regulations allowing foreigners to lease or rightfully own housing units.
Nowadays, a foreigner is allowed to lease an apartment or a non ground unit for up to seventy years, in return he or she renews the lease every 25 years. If leases seem troublesome, you can indirectly purchase apartment or any other ground units including land via a third party or a Convertible Lease Agreement. This third party refers to an Indonesian citizen who is willing to use his name as the deed owner and the agreement reached between you and your partner will make him the legal owner and you the rightful owner. A Convertible Lease Agreement is somewhat similar to using a third party but instead, you choose to have the housing companies name on the deed. Regardless to which method used, be sure to obtain your Hak Milik certificate, a cert that will prove you owner.
Purchasing homes in populated areas and famous spots will ensure a steady price growth in your investment. Indonesia’s increasing popularity is proof enough that your investments won’t be flops. Anybody will insist that Bali is the number one spot to go property hunting, plan a trip there and see for you. Other wise choices would be DKI Jakarta and Medan, North Sumatra both being modernized cities with a heavy population.
Besides ground houses and apartments, there other properties such as land, hotels, shop lots, office buildings and resorts those are on sale. If you’ve always had the dream of owning your own restaurant, hotel, Indonesia is ideal for you. The real estate industry has always been a beneficial for those that have invested proper. There is a never ending list of Indonesian real estate companies that can help you with your purchasing. Be cautious on where and what you’re doing, who’s involved and why things are the way there and how is the situation overall.