How to Buy Property in Bali as a Foreigner: Step-by-Step Guide by Investland Bali

Kristjan Ploompuu

The journey to purchase property in Bali is both exhilarating and daunting. Bali's lush landscapes and vibrant culture offer unique opportunities for investors and homebuyers. However, the process is not a piece of cake. Fortunately, we have clarified the process for ourselves and stay up-to-date with all laws, protocols, and regulations—all to make our clients' lives easier.

After visiting Bali, I knew I wanted to move here and develop real estate," said Kristjan Ploompuu, a real estate developer and co-founder of Investland Bali. Along with his business partner Oliver Heliste, he is building luxury villas on the Indonesian island, offering Estonian retail investors an annual return of 15-50%. You can invest without leaving home. (

Today, we’re giving you a closer look at the investment process.

Can foreigners buy real estate in Bali?

Yes, foreigners can invest in Bali’s real estate market. While there are certain restrictions on land ownership, we offer expert guidance on legal structures such as leasehold and freehold arrangements that allow non-citizens to invest and own properties in compliance with Indonesian regulations.

The following article provides a clear overview of the local real estate market, aimed at simplifying the purchase process. Our dedicated team at Investland Bali is committed to making your property-buying journey as smooth and enjoyable as possible.

But wait—I hate long texts... What's the easiest way for a foreigner to buy property in Bali?

Okay, here’s a short brief of what buying property from Investland Bali looks like. If you already have many responsibilities, trust in us, and your main goal is to earn a high ROI or just secure your dream future paradise home, then the process is quite easy, indeed.

Step 1: Once you've agreed on the price and terms, our legal team will draft the Preliminary Leasehold Agreement (PLA) for you to sign digitally, typically through DocuSign Some of our new clients prefer to conduct due diligence (DD) before signing to review all details thoroughly. We are committed to making the DD process smooth and easy for you, so please don't hesitate to reach out with any questions or concerns.

Step 2: After digitally signing the PLA, you'll make a deposit payment for the property.

Step 3: Next, you make payments according to the payment plan.

Step 4: A) Your designated representative, with Power of Attorney (PoA), will sign the lease agreement in the presence of a notary.

B) Alternatively, you could combine work and leisure by flying out here to Bali to sign the documents in person.

C) Obtain an apostille from your local notary’s office and send it to us.

Step 5: After the lease agreement is signed, you'll need to make the final payment as per your agreement.

Step 6: Once the final payment is settled, the lease agreement will be transferred to you, officially making you the new owner of a leasehold property in Bali.

Ok, that’s it. You are now an official owner of Bali real estate! Easy, right? And now—here’s an overview of the whole process for someone who appreciates understanding the entire process.

Establishing Your Investment Structure

Deciding between leasehold and freehold properties in Bali depends on your business plan and budget. As your advisor, we aim to help you make an informed choice.

  1. Preliminary Leasehold Agreement (PLA) 

Leaseholding is simpler for foreigners, avoiding the need to register a company or obtain a residence permit. Popular among foreign investors, leaseholds offer good returns, typically lasting 25-30 years with extension options.

  1. Establishing a PT PMA (Foreign-Owned Limited Liability Company)

 Registering a PT PMA costs around €2,000 and takes 1-2 weeks. An Investor KITAS, costing about €1,000, is also required. PT PMA allows for freehold and leasehold purchases, offering long-term stability. Understanding tax differences between freehold and leasehold is crucial.

Leasehold (Hak Sewa) vs. Freehold (Hak Pakai)

'Hak Sewa' offers a leasehold title for 25-30 years with extension options. Investors can choose from off-plan developments, new villas, resale properties, and leasehold apartments.

'Hak Pakai' allows foreigners with a residence permit to own property for up to 80 years, offering stability similar to freehold ownership. 

Leasehold ownership, preferred in 2024 for its affordability, has some restrictions but is a top choice among our clients. With our expertise, your investment will be secure and profitable.

Selecting the Right Property

Read our guide "5 Important Things You Need to Know Before Buying Property in Bali" for specialised insights on different property types. Various locations and property types offer differing investment returns. Conduct a background check on property zoning as understanding zoning laws is crucial for informed decisions and compliance.

  • Yellow Zone: Ideal for residential purposes with potential for limited commercial activities.
  • Green Zone: Suited for agriculture and conservation, with restrictions on most constructions.
  • Red Zone: Perfect for tourism and commercial activities.

Fortunately, Investland Bali proudly presents Amari Villas and Maya Residence—our flagship projects that offer luxury and strategic locations. Our deep local knowledge and extensive network ensure that our properties meet your expectations and promise optimal investment returns. 

Conducting Thorough Due Diligence

This is one of the crucial parts of purchasing real estate in Bali to be sure everything goes according to plan and you won’t need to deal with any surprises in the future. 

Fortunately for you, when you decide to purchase a property from us through the PLA agreement, you do not need to worry about these steps! This is the magic of PLA agreements when made with a professional real estate partner. Your life gets easy!

The due diligence process verifies property titles, checks legal compliances, and assesses physical and financial conditions. Key questions include:

  • Who legally owns the property?
  • Are there any encumbrances or disputes?
  • What are the specific zoning laws?
  • What taxes are applicable and how might they impact your investment?

Financing and Regulatory Compliance

Investland Bali guides you through financing options and navigates foreign exchange regulations and property-related taxes. 

Closing the Deal

We offer the best terms, manage all contractual preparations, and ensure that legal provisions protect your interests. We guarantee transparency and legal soundness throughout the sale. Remember, the choice of your contact and agent can make a significant difference in the deal you are about to close. Investland Bali promises you some of the best deals on the current market.

Amari Villas: Enjoy an intimate collection of 12 modern tropical villas in Padonan, each featuring 130 m² of living space, a private 50 m² rooftop, a garden, and a pool. These semi-furnished two-bedroom sanctuaries are just 12 minutes from Berawa Beach and Canggu's vibrant centres. Find peace and convenience in a quiet, developed neighbourhood. Prices start at $180,000.

Sign the Preliminary Lease Agreement (or Sales Purchase) and Make the First Payment (usually 50%) 

Before finalizing the purchase, a Preliminary Sales Purchase Agreement (PLA) must be signed (online through DocuSign) and the first payment of 50% is made. 

Final Payments and Change of Ownership

Continue making payments according to the payment plan. Once your new real estate is nearly completed and most payments are made, we’ll finalize the deal!

Complete the Deed of Sale and Buy (or let us buy) in front of a public notary by signing the final documents. The notary officially transfers ownership and registers the transfer at the National Land Agency (BPN). You will receive the property freehold or leasehold certificate, including all licences and certificates.

  • A) Your designated representative, with Power of Attorney (PoA) , will sign the lease agreement in he presence of a notary.
  • B) Alternatively, you could combine work and leisure by flying out here to Bali to sign the documents in person.
  • C) Obtain an apostille from your local notary’s office and send it to us.

And, done! Now you can officially enjoy your new exotic Bali real estate! 


With over 10 years of experience, Investland Bali is your premier real estate partner. Our commitment to excellence has satisfied over 100 partners and investors. Let us guide you through each step of your property investment journey for a successful and secure acquisition.

Remember, patience and the right professional support are key to successful property acquisition in Bali. Contact us at or on Whatsapp +372 5683 2434 - we are always at your service.

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