PROGRES.ID – Since the implementation of Government Regulation (PP) No. 18 of 2021 concerning the Management of Rights, Rights over Land, Apartment Units, and Land Registration, as well as the Implementation Guidelines of the Minister of Agrarian and Spatial Planning/Head of the National Land Agency (BPN) Decree No. 1241/SK-HK.02/IX/2022 regarding the Acquisition and Price of Residential Properties for Foreigners, foreign nationals (WNA) have found it easier to purchase residential properties in Indonesia.
The purchasing process only requires immigration documents such as a passport, visa, or residence permit.
The interest of WNA in buying properties in Indonesia has significantly increased. According to Rusmin Lawin, the Deputy General Chairman of the DPP Real Estate Indonesia in charge of Foreign Affairs, many WNA are interested in owning residences in Indonesia.
“I was in Shanghai yesterday, speaking at the Asia Pacific Property Conference, and there were three things that were very appealing to them regarding Indonesia. First is the Nusantara Investment Citizenship (IKN), second is the ownership of properties by foreigners, as they can now buy houses using their passports, especially in Jakarta, Bali, and Batam because they are close to Singapore,” he said as reported by detik.com on Wednesday, October 25, 2023.
Rusmin explained that when he spoke at the Asia Pacific Property Conference, three things were very appealing to WNA regarding Indonesia.
First, WNA are very interested in the Nusantara Investment Citizenship (IKN). Second, they are intrigued by the ease of property ownership by foreigners in Indonesia, which allows them to buy houses using their passports, especially in Jakarta, Bali, and Batam due to their proximity to Singapore.
Various WNA, including Chinese, Hong Kong, Japanese, Korean, Australian, European, and American nationals, have shown interest in purchasing properties in Indonesia. The type of properties in demand varies, with apartments being the preferred choice in Jakarta, while villas are highly sought after in Bali.
“Chinese, Hong Kong, Japanese, Korean, especially Australian nationals. Europeans and Americans,” he said.
Besides personal residences, WNA also buy properties for various purposes, such as investment, vacation homes, or holiday homes, and for business, especially in Jakarta. Some properties are even offered in the form of ‘time sharing,’ where apartments or hotel units are sold to the public with management remaining in the hands of developers.
“There are time-sharing products. For example, apartments or hotel units sold to the public, but their management remains with the developers,” he explained.
Rusmin also noted that investors at the forum showed great interest in the “Whoosh” high-speed train, which is the first high-speed train system outside of China and is operational in Jakarta. They want to experience using this high-speed train, which is made in China, and see it as a tremendous potential driver for tourism in Indonesia.
“The third thing is Whoosh; they are very impressed with Whoosh, the first one outside of China is in Jakarta. And they want to try it because it’s made in China, so they want to try it together. It turns out that Whoosh can also be a catalyst for the rise of tourism; this is truly amazing,” he concluded.
In summary, the ease of access for WNA to purchase properties in Indonesia has attracted interest from various backgrounds, including individuals from countries such as China, Hong Kong, Japan, Korea, Australia, Europe, and the USA. This presents an exciting investment opportunity in the Indonesian real estate sector and the potential to boost the tourism industry through initiatives like the “Whoosh” high-speed train.
