Buying property in Bali
While promising markets and relaxed regulations are good news for foreigners who are considering buying or leasing a property in Bali Indonesia.There are a few common mistakes buyers need to be aware of before investing, or pointers that will assist you in the venture to become a home owner in Bali
- 1. In Indonesia, land certificates dictate the legal rights to a property. Checking the land certificate thoroughly will help the investor to avoid any sort of discrepancy that arises post-investing.
- 2. Some properties have no road access, which sometimes becomes an expensive affair to build and/or get access to a neighbours land. Having an agreement with the neighbour before the building starts could avoid unnecessary expenses later on.
- 3. There are 2 key terms investors need to familiarize themselves with – Zoning and Land Aspect. Zoning applies to a large area dictating how your land can be used as per the government rulings whereas the Land aspect applies to a single plot of land.
- 4. Checking the lands zoning restrictions is very crucial as it dictates if you can run the intended activities in that zone. For instance, if the land is in a green zone you will not be able to build anything on it.
- 5. Not understanding tax regulations for real estate and stating a lower price on documents can pose legal threats and even denial of transfer of title to the buyer.
- 6. Buying a property without conducting due diligence is a risky business. It is always suggested to conduct due diligence in order to effectively mitigate risk or any issues
- 7. Work with a real estate agent to assist you in the venture. Any accredited real estate agency will have done a document check prior to listing a property and can save investors time and money
- 8. Use a reputable and trustworthy Notary to run a due diligence on the land or villa
- 9. Always conduct an inspection of the villas, for rain damage, quality of building, plumbing and alike
- 10. Sign a formal offer agreement so that both parties are aware of the terms of the purchase and that there are no surprises later on
BVR can assist clients in all aspects of purchasing a villa, Land, Hotel, Complex or Off plan development