DRAFT — pending review by an Indonesian notary
Title & foreign purchase (summary)
This text is a draft for information. It has not yet been reviewed by an Indonesian notary (PPAT) and is not legal advice.
Public-framework summary for Indonesia. Not legal advice. Always close via a licensed PPAT notary and verify the certificate and FAMS survey before paying.
SHM
SHM / Hak Milik (freehold) is generally available to Indonesian individuals/entities. Foreigners do not hold SHM directly in the common retail path.
PT PMA / HGB
PT PMA (foreign-owned company) can hold HGB (right to build) or related land rights suitable for tourism/residential projects, subject to zoning and capital rules.
Hak Pakai / lease
Hak Pakai (right to use) and long-term lease (often 25–30 years with extension options) are also used for foreign buyers — structure depends on the seller and counsel.
Who can hold what (draft)
| Structure | Who | Note |
|---|---|---|
| SHM / Hak Milik | Indonesian citizens | Foreigners generally cannot hold it directly |
| Hak Pakai | Foreign individuals (with residence status) | Right to use, time-limited; terms to be confirmed by the notary |
| PT PMA + HGB | Foreign-owned Indonesian company | Right to build; capital and zoning rules apply |
| Long lease | Anyone | Often 25–30 years with extension options |
Taxes & fees (indicative)
Typical closing cost topics discussed publicly: BPHTB (buyer land acquisition duty, often cited around 5%), seller income tax on transfer (often cited around 2.5% for certain land sales), notary/PPAT fees (order-of-magnitude ~1%). Exact amounts depend on the deed and current law — confirm with PPAT.
Process
Usual flow: due diligence (title + survey) → booking/deposit under notary escrow practice → deed signing at PPAT → tax payment & registration. Do not transfer large sums outside an agreed notarial process.
FAMS
Digital cadastral reference for this plot: https://share.fams.app/v3/2026-10-06/72ff6d2a-aef0-4bca-9ea7-bedc
Illustrative island context only where noted. Boundaries and title must be verified with FAMS / PPAT before any payment. Capacity figures are orientation, not a building permit.