Home Blog 7 Steps to Property Ownership in Bali for Foreign Investors Bali | Company Registration | Land Property Ownership 7 Steps to Property Ownership in Bali for Foreign Investors InCorp Editorial Team 20 July 2023 3 minutes reading time Table of Contents Steps to Acquire Property in Bali: How InCorp Indonesia Can Assist Property ownership in Bali is a lucrative venture that has been steadily attracting an increasing number of foreign investors. If you find yourself among those interested in acquiring a beautiful house in Bali, understanding the process of property ownership on this enchanting island is crucial. Steps to Acquire Property in Bali: This article provides a step-by-step guide to help first-time homeowners and rookie investors confidently navigate the property market. 1. Initiate the Purchase Process To kickstart your journey toward property ownership in Bali, the first step is to sign and submit an Offer-to-Purchase Document. This formal document notifies the seller or agent of your intention to make an offer and proceed with the property acquisition. 2. Engage a Notary As a foreign buyer, you can select a notary of your choice. Notary fees typically range from 1% to 2.5% of the property’s selling price. The chosen notary will prepare the purchase and sale agreement in Indonesian and English, ensuring the Indonesian version holds legal validity. 3. Secure the Purchase with a Deposit Upon agreeing to the terms, making a deposit ranging from 10% to 25% of the property’s selling price is customary. It is essential to deposit this amount into the notary’s escrow account rather than directly with the seller to ensure the property is secured and removed from the market. 4. Sign Legal Agreements All parties involved in the property acquisition, including the buyer, seller, and notary, will sign several crucial legal agreements. These include a preliminary agreement, a purchase-and-sale agreement, and a leasehold right agreement. Engaging a legal consultant to ensure that the agreed-upon terms are accurately reflected in these agreements is advisable. 5. Conduct Due Diligence Before finalizing the transaction, it is imperative to conduct thorough due diligence on the property with the assistance of a legal expert. This ensures that all terms and conditions stipulated in the agreement are met and executed as agreed. 6. Formalize the Transaction The property acquisition process culminates with the formalization of the transaction through a leasehold deed or sale-and-purchase deed involving all parties. The notary will retain the deeds and land certificates in escrow until the buyer has fulfilled all the agreed terms and conditions. 7. Transfer of Property Ownership Upon receiving full payment from the buyer and settling all relevant taxes, the seller will transfer the property title to the buyer, completing the ownership transfer. Subsequently, the notary will release the deeds to all parties involved. How InCorp Indonesia Can Assist InCorp Indonesia is a reputable business and legal consulting firm offering expert assistance and legal advice for property acquisition in Bali. Our expertise and client-centric approach have earned us a strong reputation. In addition to property legal consultancy, we provide a wide range of services, including company registration, licensing, visa applications, and more. Rest assured that InCorp Indonesia will safeguard your property investment in Bali. Our knowledgeable team is available to support you with property purchase and sale, drafting legal agreements, resolving contract disputes, and establishing your real estate and property business. Contact us today for more information on Bali property ownership by foreigners by filling out the form below. Read Full Bio Verified by David Susandi Branch Manager – Bali Office at InCorp Indonesia Holding 11 years of experience in various roles, including project manager, operational manager, and corporate strategist, David Susandi is a prominent figure for many entrepreneurial organizations expanding in Indonesia. Frequently Asked Questions Can an individual or a business organization be a shareholder in a PMA company, and is there a minimum number required? A limited liability corporation is required by Indonesian company law to have two or more shareholders, who may be either a legal entity or an individual. The foreign investor must find a second shareholder to own shares in the PMA firm for investments that are 100% open, which could be an affiliated party. Can you provide pricing examples for company registration services? To provide you with accurate pricing information for our product registration services, we consider the complexities of your inquiries and the dynamic nature of regulations in Indonesia. As a result, the pricing for the service may vary accordingly. For detailed information, don’t hesitate to contact our consultants. How do investors choose a holding jurisdiction for a PMA firm in Indonesia? Investors considering investments in Indonesia should assess existing International Investment Agreements between Indonesia and other countries. Having a business presence in countries with such agreements may offer incentives like stronger investment protection and higher foreign shareholding in Indonesia. Will the government check the minimum paid-up capital for doing business in Indonesia? The government will check the minimum paid-up capital, IDR 10,000,000,000. Fulfilling this requirement is a must. Get in touch with us. Lead Form Notify Full NameEmailPlease provide corporate email where possiblePhone NumberOffice SetupWhich city are you planning to expand into?JakartaSemarang/Central JavaBali/LombokBatam/SumateraSurabaya/East JavaOther ProvincesType of Service- Please Select -[SPECIAL PACKAGE] Company Registration + Office Package (20% OFF)[SPECIAL PACKAGE] Product Registration + License Holder (20% OFF)Business SetupAccounting and TaxHR & Payroll servicesImmigration ServicesProduct Registration and ImportCompliance and Secretarial ServicesBusiness AdvisoryMore ServicesType of Service- Please Select -[SPECIAL PACKAGE] Company Registration + Office Service (20% OFF)[SPECIAL PACKAGE] Comprehensive Industrial Package (15% OFF)Business SetupAccounting and TaxHR & Payroll servicesImmigration ServicesProduct Registration and ImportCompliance and Secretarial ServicesBusiness AdvisoryMore ServicesType of Service- Please Select -[SPECIAL PACKAGE] Company Registration + Office Service (20% OFF)[SPECIAL PACKAGE] Comprehensive Industrial Package (15% OFF)Business SetupAccounting and TaxHR & Payroll servicesImmigration ServicesProduct Registration and ImportCompliance and Secretarial ServicesBusiness AdvisoryMore ServicesType of Service- Please Select -[SPECIAL PACKAGE] Company Registration (25% OFF) + Office Space (Private Office 30% OFF)[SPECIAL PACKAGE] Company Registration + Investor KITAS (25% OFF)[SPECIAL PACKAGE] Accounting + Tax Services+ Annual Fintax Report (20% OFF)[SPECIAL PACKAGE] Payroll Services for Executive Role (20% OFF)Business SetupAccounting and TaxHR & Payroll servicesImmigration ServicesProduct Registration and ImportCompliance and Secretarial ServicesBusiness AdvisoryMore ServicesType of Service- Please Select -[SPECIAL PACKAGE] Company Registration (20% OFF) + Office Service (25% OFF)[SPECIAL PACKAGE] Company Registration + Micro Finance Services (25% OFF)[SPECIAL PACKAGE] Property Assistance: Due Diligence + AJB Purchase/Lease Agreement (25% OFF)Business SetupAccounting and TaxHR & Payroll servicesImmigration ServicesProduct Registration and ImportCompliance and Secretarial ServicesBusiness AdvisoryMore ServicesType of Service- Please Select -Business SetupAccounting and TaxHR & Payroll servicesImmigration ServicesProduct Registration and ImportCompliance and Secretarial ServicesBusiness AdvisoryMore ServicesServices Company Registration Renting Virtual and Serviced Office Business and Import Licenses Corporate Recovery and Insolvency Closing of Company (Dissolution) Land and Property Ownership Shelf Company Local NomineeServices Accounting and Tax Reporting Audit and Review Transfer Pricing Compliance Tax RefundHuman Resource Sub Services Payroll Outsourcing Employer of Record Recruitment and HR Establishment Employment ServiceServices Business Visa Work Permit and KITAS Dependent Visa (Spouse and Family) OtherBusiness Visa Subservices Business Visa Visit Visa Visa ExtensionServices Medical Device Beauty (Skincare and Cosmetic) Food and Beverage Health Supplement Household Product Halal Certification TrademarkServices Legal Consultation Legal Agreement Service Due Diligence and Background Check Company Documents RevisionBusiness Advisory Business Advisory Services ESG Reporting & Advisory Internal Audit Risk ManagementMore Services Market Research and Analysis Local Distributor and Partner Bank AccountMessageSubmit What you’ll get A prompt response to your inquiry Knowledge for doing business from local experts Ongoing support for your business Disclaimer The information is provided by PT. Cekindo Business International (“InCorp Indonesia/ we”) for general purpose only and we make no representations or warranties of any kind. We do not act as an authorized government or non-government provider for official documents and services, which is issued by the Government of the Republic of Indonesia or its appointed officials. We do not promote any official government document or services of the Government of the Republic of Indonesia, including but not limited to, business identifiers, health and welfare assistance programs and benefits, unclaimed tax rebate, electronic travel visa and authorization, passports in this website. More on Bali 10 Strategic Locations for Buying Property in Bali Read more Are You an Eligible Candidate to Get a Retirement Visa in Bali? Read more Navigating Indonesia’s E-Commerce Wave During the Pandemic (Lessons Learned from SELLinALL) Read more