Frequently Asked Questions

These are the most frequently asked questions we get asked about buying, selling or owning property in Bali and beyond. We hope this helps to answer your questions, but if you don’t see what you’re looking for, get in touch and we’ll get back to you as quickly as we can.

This depends on you. Some property purchases are ROI driven, some are asset driven and some both. Leasehold usually means a cheaper price and therefore higher ROI. But it's an asset that's declining in value. The area is also something to consider. Canggu, for example has very high freehold prices so you might want to consider the cheaper leasehold options available in the area.
By law you need to operate under a company. If you operate privately you breach tax and immigration laws. If you operate under a local you are liable for double taxation. The best and most transparent way is to set up a company.
You don’t need to have staff for the sake of it but it would probably be a good idea in terms of operating and maintenance.
No, unless it is specifically written into an agreement. It's worth remembering the Pondok Wisata is a permit that only Indonesians can hold. Foreigners cannot have a Pondok Wisata. A company however, can hold other types of permits and can operate a villa that's already been issued with a Pondok Wisata permit.
Yes. And this should be clear in any agreement you sign. In general, we recommend people consolidate their ownership of their asset in a PT PMA, then look at management options.
No. This is why your agreements need to be clear and understood by all parties.
Normally no. But this would depend on your agreement. One aspect to be clear about is who is responsible for paying the yearly land and building tax.
In some cases property owners will apply for a Pondok Wisata and more than one owner will operate under a joint license. It's not a huge issue but our recommendation is to have sole control of the operational permit.
If you buy as an individual the law states you need residential status. If you purchase through company then the answer is no.
No, you don't need to be a resident, unless you do want to work here and then you do need a work permit.
It's fairly easy and takes about 30-days to set up a PMA. You do need a commercial address (many companies provide this) and hiring staff depends on your requirements. You are not obliged to hire staff.

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