Foreigners Can Buy Property in Indonesia, But Will They?

In late-2015 Indonesian President Joko Widodo signed a government regulation (Government Regulation No. 103/2015 on House Ownership of Foreigners Residing in Indonesia) that allows expats who reside (legally) in Indonesia to own landed houses in the country for a period up to 80 years. Earlier in the year, expats had already been allowed to own luxurious apartments. However, foreign ownership of landed houses or apartments falls under the so-called ‘right-of-use’ category, locally known as hak pakai, which is weaker than the ‘right-of-ownership’ category or hak milik that can be acquired by Indonesian citizens.

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