Property Ownership In Indonesia

Laws relating to property ownership in Indonesia.

The basic Agrarian Law of Indonesia (Law No.5 of 1960) created a uniform, but complex, system of land rights in Indonesia. The following information is a general description of the most important primary and secondary titles.

Based on a Presidential Decree issued in June 1996, non-Indonesian citizens that are domiciled in Indonesia are allowed to own one residence in Indonesia. It‟s important to note that this regulation allows you to own the building and not the land the building is on.

The Indonesian Law UU 5/1960 allows non-Indonesian citizens to obtain Right of use “Hak Pakai” or right of Building lease “Hak Guna Bangunan”

Only Indonesian citizens may own freehold title to land in their ownname. There are however a few legally secure options which non-Indonesians can obtain land in Indonesia.

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The following are commonly used land measuerments in Indonesia.

1ARE = 100mtr2



10HECTARE = 1,000ARE


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