FAQ

1. Can foreigners buy land in Sumbawa, Indonesia?

• Foreigners cannot directly own land in Indonesia but can acquire usage rights (Hak Pakai) or lease land through a local entity or nominee arrangement.

2. What types of land certificates should I look for when buying land?

• Look for Hak Milik (Freehold Title) or SHM, which indicates full ownership rights for locals, or Hak Pakai if you are a foreigner.

3. What is the process for transferring land ownership in Indonesia?

• The process includes verifying land titles, drafting a sales agreement, signing the deed at a notary, and registering the transaction with the National Land Agency (BPN).

4. What are the costs involved in buying land in Sumbawa?

• Costs may include the land price, notary fees, taxes (Buyer’s Acquisition Duty/Bea Perolehan Hak atas Tanah dan Bangunan - BPHTB), and registration fees.

5. Are there restrictions on building or developing land in Sumbawa?

• Yes, restrictions may include zoning regulations, environmental impact assessments, and obtaining permits such as the IMB (Building Permit).

6. What should I check before buying land in Sumbawa?

• Verify the land’s certificate, check zoning restrictions, confirm the boundaries, and ensure the land is free from disputes or debts.

7. What is the average cost of land in Sumbawa?

• Prices vary depending on location, with beachfront and surf-proximity plots typically commanding higher prices, ranging from 30–100 million IDR per are or more.

8. What are the legal risks of buying land in Indonesia?

• Risks include invalid or fraudulent land titles, disputes over boundaries, unclear ownership history, or issues with zoning and permits.

9. Can I use the land for commercial purposes, like building a resort?

• Yes, but you’ll need to ensure the land is zoned for commercial use and acquire the necessary business and construction permits.

10. How long does the land purchase process take?

• The process can take several weeks to months, depending on the complexity of the transaction, title verification, and local bureaucracy.