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Bali Je T'aime Guide
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You are about to buy a land

When choosing whether to buy land freehold or leasehold, you should be aware of the ramifications of each with regards to the potential value of the investment.

Leasehold vs Freehold?

how do you prefer to buy a land?

Land type
Area
Area Land
Min price land
Max price land

Buy a Land

Freehold Nusa Penida Land 2410 Sqm (3)
FREEHOLD NUSA PENIDA LAND 2410 Sqm
€ 129,200 ++ Freehold
2410
m2
,
Nusa Penida
Freehold land in Padonan 8,8 Are (13)
FREEHOLD LAND IN PADONAN 8,8 ARE
€ 340,500 ++ Freehold
8.8
dam2 (are)
,
Padonan
Freehold land 2.278 m2 in Ungasan (2)
FREEHOLD LAND 2.278 M2 IN UNGASAN
€ 610,200 ++ Freehold
2.278
m2
,
Uluwatu
2 Are Land in Semer (5)
STRATEGIC 2 ARE LAND FOR SALE IN SEMER KEROBOKAN
€ 148,900 ++ Freehold
2
dam2 (are)
,
Kerobokan
Freehold land in Lombok (3)
RARE FREEHOLD 4 ARE BEACHFRONT LAND IN LOMBOK
€ 67,900 ++ Freehold
4
dam2 (are)
,
Lombok
Freehold land in Lombok (1)
RARE FREEHOLD 2.5 ARE LAND BEACHFRONT LAND IN LOMBOK
€ 42,400 ++ Freehold
2.5
dam2 (are)
,
Lombok
Rare Freehold 12 Are Beachfront land in Lombok (13)
RARE FREEHOLD 12 ARE BEACHFRONT LAND IN LOMBOK
€ 132,200 ++ Freehold
12
dam2 (are)
,
Lombok
5 Are Land in Kaba-kaba (1)
FANTASTIC 5 ARE LAND IN KABA KABA
€ 25,300 ++ Leasehold
5
dam2 (are)
,
Tabanan
7 Are Land Yellow zone in Canggu (1)
FANTASTIC 7 ARE LAND YELLOW ZONE IN KAYU TULANG
€ 263,800 ++ Leasehold
7
dam2 (are)
,
Canggu
Land 513 Sqm in semer (4)
VERSTILE 513 SQM LAND IN SEMER FOR LEASEHOLD
€ 6,100 ++ Leasehold
513
m2
,
Kerobokan
Strategic land with GWK View for freehold 39 Are in Jimbaran (1)
STRATEGIC LAND WITH GWK VIEW FOR FREEHOLD 39 ARE IN JIMBARAN
€ 1,000,000 ++ Freehold
39
dam2 (are)
,
Jimbaran
WhatsApp Image 2023-04-04 at 11.35.04 (1)
15 ARA LAND IN JALAN NELAYAN
€ 1,000,000 ++ Leasehold
15
dam2 (are)
,
Canggu

TESTIMONIALS

The villa is located in a perfect spot. In between Potato Head and the W. It is just a short stroll to all the great restaurants that Jalan Petitenget has to offer, and is easy to either walk or a quick cab to Eat Street in Seminyak. The villa itself is well maintained, very clean and has perfectly proportioned rooms - and enough room for everyone to have their own space. Security is on hand while you are out and about. Definitely worth it Heath, Australia
HeathFebruary 2016
Our stay was outstanding and thanks to you and your team, a massive thank you and we definitely highly recommend your place. Your message was extremely kind and thank you very much. I hope all is well and thank you again for letting us stay at your great place, my apology for the late reply. I will try my best to recommend and let my connections know about you and your places. Again thank you from Ralph and jasmine, we will be back again soon. Ralph, Switzerland
Ralph, SwitzerlandApril 2016
Super vacation! Honestly nothing wrong: great villa, great staff (very available, reactive, smiling and helping). The area is very pleasant (I do not know Canggu before). Food very well and scooter service 'at home' was perfect. Not to mention your availability and hospitality. I would not hesitate in recommending your service to our friends!
Chloe19-21 Feb 2016
The villa is splendid, the area is perfect, close to the beach. Our house keeper is very helpful. BALI JE T AIME TEAM is very professional ISABELLE RAYMOND
Stephane14-19 June 2015
the staff is excellent and very helpfull. the villa is beautiful, the sun appear in the garden and the pool only during the morning . we miss some light in the living room
Mr HABIB CONGOJuly 2015
wonderful stay, greatly facilitates by efficiency. The staff, Yuni is very kind. Stephane, French
Stephane14-19 June 2015
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About

Bali Je t’aime is a real estate agency for renting villas in Bali. Created in 2006 by Grégory Eloy, it has stood out from the start to finally come out on top against its competitors. This is due to the coordination of its efficient, professional and dynamic staff.
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Contact

Jalan Pantai Berawa No. 69
Tibubeneng – Canggu
Bali – Indonesia.

09.30 – 17.30 mon-fri
09.30 – 12.30 saturday

Phone: +62 361 907-7090
Fax: +62 361 3705237
Email: info@balijetaime.com

©2022 Bali Je T’aime. All rights reserved
Guide
EUR
0 villa

Leasehold vs Freehold

When choosing whether to buy land freehold or leasehold, you should be aware of the
ramifications of each with regards to the potential value of the investment.

Bali Freehold

Purchasing land freehold allows you to enjoy over time, land value appreciation, which has been
fairly dramatic in Bali in past years. With freehold, any appreciation in the value of the property,
either through improvements you have made to it, or through the rise in land prices, you gain the
benefit of any increase in value.

Hak Milik or Freehold is the most complete and strongest form of land title ownership in
Indonesia. Only individuals of Indonesian Nationality are entitled to own land under a Hak Milik
title.  Consequently, neither limited liability companies (PT/Perusahaan Terbatas) nor foreign
individuals may obtain land with a Hak Milik title. Subject to zoning restrictions, the Hak Milik title
owner can use the land for any purpose, although it does not entitle the owner to exploit the
natural resources found on or under the land. The title has no limit and may be sold, gifted,
exchanged and bequeathed and may also be used in the form of a mortgage.
Foreigners may, however, acquire land under a Hak Milik title in another form of entitlement
called Hak Pakai or Right of use.

Bali Leasehold

Leasehold, on the other hand, means that after a certain period of time, the property and
whatever improvements the leaseholder may have made, revert to the owner.
In very simple terms, as time passes, your investment in leasehold property depreciates in value,
because as the term of the lease gets shorter, the lease is less attractive to a buyer, should you
want to sell the remainder of your lease.

The terms and conditions of any extension to a lease, are usually built into the original
agreement. Most lease agreements have some sort of extension option, although you should be
careful to fully understand the means by which the extension may be activated. Sometimes the
extension can only be activated by mutual agreement, which means that the time at which
extension discussions can begin, it must also be agreed upon mutually by the landowner and the
leaseholder. This can lead to problems if the landowner does not agree to give an extension at
the time the leaseholder requires it.

Leasehold still has some advantages (and in some areas these days such as Canggu, freehold
is difficult to obtain), the main advantage being that it is a more affordable option.
For example, if there were two identical villas side by side, one leasehold over a 40 year period
and the other freehold, the leasehold villa would generally be about 2/3rds of the price of the
freehold option.

Leasing Property in Bali

If you decide to buy leasehold, the drafting of any leasehold agreement should be carried out
with the assistance of a third party legal advisor, since guaranteeing renewals and limiting rent
increases is the key to a cost-effective leasehold structure.

A lease agreement/contract must be documented at a notary public (PPAT) and the notary will
do a full due diligence on the property, so that the agreement and all property documentation
meets the legal requirements for the transaction to progress.

This is a long-term lease contract. Although the land title is not under the foreigner’s name and
remains under the ownership of the original owner, the land can be rented for an initial period of
around 25 years and can then be extended up to a period of 70 years. After the lease begins, the
owner’s title of Hak Milik (Right to Own) will be legally transferred to the foreigner under the Hak
Sewa title (Right to Lease).

If the leasehold is not renewed once it expires, all rights go back to the original owner and it
becomes a freehold Hak Milik property again. 

Frequently Asked Questions regarding Leasehold Properties in Bali

  1. Do I have the right to sell my lease?
    Yes, you have full control of the leasehold title if you do not wish to continue leasing it,
    but the less years left on the lease, the less the property value.
  2. Do I have restrictions on selling, if I can in fact sell the lease?
    As far as our understanding, you are entitled to sell the lease agreement at anytime, but
    if the leaseholder departs from Indonesia permanently, the property must be sold or
    transferred within one year after departure. If the foreigner or his family does not use the
    property for more than 12 consecutive years, then the foreigner forfeits the “being
    domiciled” status, for the purpose of owning residential property.
  3. Can I pass the lease to my family member?
    Yes, you can pass the lease title to your family & ‘will’ it to a family member, as you own
    the rights of the lease for the duration that you paid for.  The landowner cannot break the
    lease agreement with you and must fulfil the terms and conditions of the lease
    agreement.
  4. Can I sublease the property or rent it out?
    Yes, you can rent / sublease the property when you are not staying in it, so it can also be
    a very lucrative investment.  However, if you do decide to rent out the property as a
    short-term/holiday rental, you must first acquire a  Pondok Wisata (rental license) .

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