How to buy property in Bali as a foreigner: step by step

To buy property in Bali as a foreigner, decide your holding structure before you view anything. Foreigners usually buy leasehold, or freehold through a PT PMA company. The purchase then runs through a preliminary agreement, due diligence, signing at the notary and registration. The order matters, and so does not skipping the checks.

Which tenure should a foreign buyer choose?

Freehold in Bali, known as Hak Milik, is reserved for Indonesian citizens, so a foreigner cannot simply take title in their own name. Foreign buyers usually choose leasehold, Hak Pakai or a PT PMA company. Leasehold gives the right to use the property for a fixed term, often 25 to 30 years and usually extendable. Hak Pakai can be arranged in stages and may offer longer control. Freehold through a PT PMA means a company holds full ownership and you hold the company.

Which route suits you depends on your plan and holding period. It is expensive to reverse later, so settle it early. The leasehold vs freehold guide sets out what each route actually gives you, and what a PT PMA is covers the company route.

What should you decide before looking at properties?

Decide what the property is for: a home, a holiday base, a rental or a development. Then decide how long you intend to hold it. Those two answers point you toward leasehold or freehold, and toward whether you need a company. They also shape the budget, because taxes and running costs differ by tenure.

Set a budget that includes the notary fees, taxes, legal checks and registration costs, not just the headline price. Buyers who plan only for the purchase price feel the gap at completion. If you are still choosing between a finished villa and a site to build on, read villa, land or development site before you start viewings.

How do you find a property and secure it?

Filter by tenure, zone and location rather than looking at everything. The properties we currently list include 66 land plots, 24 villas and 16 hotels or resorts. Across them, 62 are freehold and 15 are leasehold. We hold stock in Ubud, Canggu, Jimbaran, Cemagi, Nusa Dua, Uluwatu, Seminyak and Kintamani. See land and development sites and villas for the current view.

When you find a property, agree the price and the main terms, then sign a preliminary agreement and pay a deposit to reserve it. The agreement should state plainly that the deposit is returnable if the due diligence checks do not pass. If it does not say so, you are paying for the right to discover a problem. Our negotiating guide covers how much room there is to move.

What does due diligence cover?

Due diligence is the stage that protects you. It confirms the certificate is genuine and that the seller is the person named on it. It checks for disputes, charges and mortgages over the land. It verifies that the zoning permits your intended use, and it confirms boundaries and legal access. Where a building exists, it establishes that the building permit matches what was built.

A notary, known in Indonesia as a PPAT, leads most of this work. Do not skip it, do not compress it to fit a seller’s deadline, and do not release the balance until it is finished. Zoning is the check that decides whether a property can be let at all, so it matters. The full due diligence sequence sets out the order.

How does signing and registration work?

The transaction completes before the notary, who prepares the deed. For freehold, this is a sale deed transferring title. For leasehold, it is a lease agreement, and the term and renewal conditions inside it are the asset you are buying, so read them carefully. Taxes and fees are settled at this stage.

Registration is the part that finishes the job. A signed but unregistered deed has not completed the transfer. Only when the deed is signed and registered is the purchase complete. If you are buying from abroad, which is common, buying Bali property remotely sets out what to insist on seeing.

What changes after completion?

Keep the registered documents safe and arrange the handover of keys, utilities and any service agreements. If you set up a PT PMA to hold the asset, its reporting obligations start immediately and continue after the purchase.

If you plan to let the property, confirm the licensing before taking a booking, not after. The villa compliance and running cost guide explains what the operating side costs. That number decides whether a quoted yield was realistic. Keep records of income and expenses in order from the first year, especially if the property is let. Patience at due diligence is the habit that prevents most problems, and a clean purchase is built there.

Common questions

Can a foreigner buy freehold land in Bali?

No, not in their own name. Freehold, known as Hak Milik, is reserved for Indonesian citizens. A foreigner can hold it through a PT PMA company or use leasehold instead.

What is a PT PMA?

A PT PMA is an Indonesian company that foreign investors can use to hold assets, including property. It involves incorporation and ongoing reporting, so it suits longer-term plans. What a PT PMA is explains the structure.

Do I need to be in Bali to sign?

No, remote purchases are common. Your notary can prepare the deed for signature abroad, but registration still has to be completed in Indonesia. Ask the notary exactly what they need before making travel plans.

What taxes and fees should I budget for?

Taxes and notary fees add a meaningful amount to the headline price. The exact rates depend on the tenure, the structure and the property itself. Ask your notary or tax adviser for a schedule before you commit to a budget.

Can I rent out a property I buy in Bali?

You can, but the zoning and licensing must allow it. A property in the wrong zone cannot be let, however attractive the price. Confirm this during due diligence, before signing.

This is general information, not legal or tax advice. Take professional advice on your own situation.

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