Moving Abroad Guide: Indonesia

Moving Abroad Guide: Indonesia

Some useful guidelines on real estate investments in Indonesia.

Lahore, November 5, 2014: Indonesia, the largest archipelago in the world made up of 13,466 tropical islands, is an oasis of multicultural experiences. It holds the fourth largest population in the world, with 250 million people, and is comprised of over 200 ethnic groups. These amongst many other factors have inspired many expats to pick up their lives and move to Indonesia.

However, moving abroad can be daunting, which is why Pakistan’s biggest property portal, Lamudi, has prepared a guide on the real estate environment in Indonesia, to help you with your upcoming move.

Rent or Buy?

The first decision you will need to make, is whether you want to rent or buy your new home. The Indonesian property market strongly leans towards purchasing properties, instead of renting. Depending on how long you are planning to stay in the country, you should think about the different options you have in the renting versus buying landscape. Although foreigners are not permitted to purchase freehold land in Indonesia, it is possible to purchase a building or part of a building, without buying the land. Renting accommodations on the other hand have very few restrictions and there is plentiful supply across Indonesia. Types of popular accommodations include apartments, town houses, estates, and suburban homes.

Finding the Ideal Property for You

Once you have decided whether you want to rent your house or purchase it, you will need to figure out how to best scan the market. To find the ideal home for your new life in Indonesia, there are several ways that you can go about it. You could either search for your new home online through a property portal, like Lamudi, or you could hire a real estate agent to support you throughout the process. Since there are quite a few rules and regulations surrounding the property market and the procedures for investments, a combination of both may be useful.  A meeting with an agent could provide you with valuable insight into the market and help you understand all the local regulations, prior to signing any long-term contracts.


Indonesia being such a large country has much to offer for anyone interested in relocating there. Two of the most popular destinations in Indonesia are Bali and Jakarta and these two cities could not be more different from one another. If you are looking to move to a more rural and tropical island, then Bali may be the right place for you. Although it is always bustling with tourists, Bali is also known for its beautiful beaches and great weather. Another popular destination in Indonesia is the metropolis of Jakarta. It is both the capital of the country and the economic and financial centre, thereby driving the majority of the economy. The cultural hub is also known for its incredible traffic, due to the sheer amounts of vehicles roaming the streets each day. Of course there are many other cities and islands to discover in Indonesia, with inspiring landscapes and fascinating culture.

Financing and Prices

After choosing the right property, you will need to determine the conditions of either your rental or lease agreements. These negotiations tend to happen directly with the owners of the property. Listings are usually quoted in US dollars and prices, both rental and purchase, will be fixed for the period of the contract. Once the price has been settled, there are specific regulations for expatriates to be aware of. If you are renting your home, you will need to pay the full rental amount upfront, for the entire period of the contract. If the rental period is over one year, the payments will need to be made yearly, meaning you will only need to pay one year at a time in addition to a deposit, which will usually equal one months’ worth of rent. Unless you are looking to live in an upscale villa in Bali, which can cost up to USD 200k, property prices in Indonesia tend to be very reasonable and real estate supply is abundant.

Although moving to a new country may seem like a difficult task at first, good preparation and a curious mind, will ease the journey and will open up entirely new worlds to you.

About Lamudi
Launched in 2013, Lamudi is a global property portal focusing exclusively on emerging markets. The fast-growing platform is currently available in 28 countries in Asia, the Middle East, Africa and Latin America, with more than 600,000 real estate listings across its global network. The leading real estate marketplace offers sellers, buyers, landlords and renters a secure and easy-to-use platform to find or list properties online.

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