Your Bali Property Blogspot

Renting a property is a viable option for foreigners intending to reside in Indonesia for months or even years – for working, business endeavors, or as a digital nomad. However, as a tenant, you must understand leasing regulations in Indonesia. So, what are the tenant rights and responsibilities in Indonesia?   You can find more information about tenant rights and responsibilities in Indonesia in this article. Let's take a closer look!   Tenant Rights and Responsibilities in Indonesia Here is a comprehensive explanation of tenant rights and responsibilities in Indonesia.   1. Tenant Rights in Indonesia As a resident in the rented property, you possess certain entitlements. The rights may vary between properties and landlords. Also, it’s essential to ensure that these rights are explicitly outlined in the agreement contract before displaying your signage.   The following are examples of tenant rights in Indonesia:   - Obtain optimal amenities, comfort, and safety within your property. - Lodge complaints if your peace and comfort are disrupted because of noise from your neighbor, malfunctioning facilities, and other unfavorable conditions. - Check the amenities conditions with the landlord before finalizing the property arrangement. - Reach out to the landlord or the legal property owner at a reasonable time. - Receive the return of your deposit when your renting time is over, provided no circumstances warrant the use of your deposit. - Enjoy protection from unjust rent practices. - Propose an extension of the rental period to the landlord. - Your landlord can only enter your property if they have obtained your permission. - Suggest an adjustment if the duration of repairs extends over a considerable period.   2. Tenant Responsibilities in Indonesia You also have obligations that you must fulfill as a tenant. Same as your rights, your responsibilities may differ based on the properties and landlords. Also, they must be attached to the agreement contract.   The example of tenant responsibilities in Indonesia include:   - Pay the rent price on time. - Use the leased property as stated in the rental agreement. - Protecting the functionality of the leased property amenities. - Granting the landlord access for maintenance, inspection, and repairs. - Get to know the landlord if there is any problem in the property (uncomfortable situation or malfunctioning amenities). - Use the property for good purposes. - Tenants are responsible for any damage to the property during the contract.   Stay Informed About Your Rights and Responsibilities Choosing to rent a property like villa or apartment is a common preference for digital nomads, foreign workers, and even foreign business individuals with PT PMA. If you are considering renting a property in Indonesia, it is crucial to be aware of the tenant rights and responsibilities in Indonesia to ensure a comfortable rental period.    Carefully review the agreement contract before putting your signage. If you find the contract confusing, do not hesitate to seek clarification from the landlord. Lastly, if you require additional rights and responsibilities, make sure to communicate with the landlord.

Bali stands out as one of the most beloved tourist destinations on Earth, often described as a piece of paradise. With its stunning landscapes, unique cultures, delectable cuisine, and abundant sunshine, Bali offers a complete package. Considering these aspects, investors consistently contemplate engaging in Bali property investment.   Additionally, Bali presents many apartments and villas, making it an attractive prospect for foreigners looking to initiate investments in Indonesia.   Bali Property Investment: Is It Profitable? Numerous claims suggest that Bali presents a lucrative potential for property investment, promising a high return on investment (ROI). Is this claim accurate, or is it merely a notion?   To address this question, we can examine various factors that show indications of whether a region is conducive to property investment. Instead of focusing solely in Bali, we can also address Indonesia’s overall potential, given that Bali is situated within Indonesia.   Indonesia is recognized as a nation with a solid economic growth. According to the World Bank, Indonesia’s economic growth respectively was 3.7% and 5.3% in 2021 and 2022. Private consumption is the primary driver of the growth.   Furthermore, Indonesia’s economic growth remains on a positive track with a growth rate of 5% in Q3 of 2023. Remember 2023 is a tough year for many countries, and global economic growth slows to 2.9%.   Also, Bali has several major projects – the development of a new international airport, the establishment of an F1 circuit, a new port for cruise ships, and the largest theme park in Southeast Asia.   The implementation of these major projects, coupled with a positive trend in Indonesia’s economic growth, is poised to contribute to enhancing tourist visits to the island and render Bali property investment profitable.   Bali Property Investment: The Key Points After understanding the potential of Bali property investment, it’s good to know the key points of it to make your property investment seamless.   Here are several things you should know so that you are well-advised and well-prepared:   - Property rights (Hak Milik, HGB, HP, and Hak Sewa), and their regulations in Bali. - Permits (PBG, SLF, KITAP, KITAS, NPWP, Pondok Wisata, Hotel Melati, etc). - Property due diligence - Property risks, maintenance, insurance - PT PMA. - Conduct thorough research before acquiring property rights – seek assistance from a trustworthy property agency in Bali.   Property for Investment in Bali The predominant choice for foreign investors in Bali involves acquiring villas through either HGB or leasehold titles for holiday rental business purposes.   Villas in Bali are designed with diverse designs, encompassing unique concepts – Mediterranean, modern, Balinese (traditional), and tropical styles. Depending on the villa’s size, amenities may include a small garden, pool, dining area, and terrace.   While still relatively uncommon, real estate investment in Bali is gradually showing a positive trend in apartments and off-plan projects. Apartments in Bali typically feature one-bedroom or studio layouts.   Of this trend, Bali property investment has a fascinating potential and tempted investors to plant their money on the island.   As a trustworthy property agent in Bali, BVR Property presents you with numerous luxury villas in strategic areas on the island. The locations include Canggu, Sanur, Seminyak, Nusa Dua, Uluwatu, Kuta, Legian, and many more.   Our team is dedicated to assisting you in acquiring your dream property in Bali, whether for business or personal use.   Successfully navigating each step of Bali property investment is feasible, as long as you follow and obey the rules applied in Indonesia. Additionally, vigilance against property scams is crucial to ensure a smooth investment journey.   Pros and Cons of Bali Property Investment To arrive at a more objective decision before embarking on property investment in Bali, let’s examine the pros and cons of Bali property investment.   1. Pros of Bali Property Investment The following are the pros of property investment on the island, such as:   - The most favorite tourist destination. - Prospective economic growth. - Good returns with a stable property market. - Affordable property value. - The Indonesian Government supports investment programs.   2. Cons of Bali Property Investment On the other side, there are cons of property investment in Bali, such as:   - If you are a non-Indonesian citizen, you cannot be the legal owner of property in Indonesia. You only can have the property through leasehold title or HGB if you have PT PMA. - Construction of properties exceeding four floors is not permitted. - Building villas or apartments close to temples or religious pilgrimage areas is restricted.   Seize Opportunities in Bali Property Investment! Bali presents numerous compelling reasons to be considered as a promising destination for property investment. Additionally, The Center of Reform on Economics (CORE) predicts a growth in Indonesia’s economic growth ranging from 4.9% to 5% in 2024.   Before initiating Bali property investment, it’s crucial to carefully consider various aspects. By understanding those aspects and seeking assistance from a professional property agency in Bali, your property investment on the island can proceed smoothly.

Engaging in property investments in Indonesia, including Bali, inevitably involves certain risks. One of the risks in property or real estate investment is property scams or property fraud. Many scam activities occur during property transactions. Therefore, as an investor, you should exercise extra vigilance to mitigate potential risks.   This article will provide anything you need for tackling scams in real estate – types, indications, and how to avoid property scams.   What is Property Scams? Real estate or property scams are occurrences conducted by scammers to get advantages over someone who is involved in property transactions. Meanwhile, those engaged in property transactions end up experiencing losses.   If you have decided to start a property investment journey in Indonesia, you must be aware of this issue since everyone who is involved in property investment can be the victim.   The most general way how scammers carry out their actions is by creating fake listings and impersonating a company or real estate agent. They target you with unrealistic and too-good-to-be-true offers or prices.   After the scammers get money from the victim, they disappear and cannot be contacted.   6 Property Scams You Must Avoid Here are six property scams you must avoid, such as:   1. Property Flipping Property flipping is a first example of scams in real estate. This is a strategy where someone buys a property intending to re-sell it for a much higher price without any renovation or improvement.   Property flipping is not inherently illegal in Indonesia unless the property owner misrepresents the true value and condition of the property.   Scammers typically focus on individuals interested in investing in Indonesia property, but are unfamiliar with Indonesian property market and laws. This tactic encourages buyers to invest in properties without conducting thorough due diligence.   2. Wire Fraud Wire fraud is a practice in which scammers pose as a property agency, aiming to deceive you into transferring funds intended for their closing costs to the scammers’ accounts.   This type of property scam can occur in mortgage wire fraud to escrow wire fraud.   You must be extra careful with wire fraud because it’s very challenging to detect. Scammers frequently use software that replicates a property agency’s phone number and email address.   Once you have transferred your funds to them, retrieving the money is nearly impossible.   3. Property Ownership Scam This scheme entails scammers assuming the identity of legal property owners and attempting to sell or rent it to the target tenants or buyers.   They often assert ownership using forged land titles, deeds, and certificates. To expedite their action, they target abandoned, unoccupied, or properties that have been owned by foreigners. The scammers deceive buyers and tenants into making payments for a property they do not possess legal rights to.   When the legal property owner comes, the buyers may face eviction and become embroiled in legal conflicts. Consequently, the buyers face a heightened risk of experiencing financial losses and encountering legal complications.   4. Deed or Title Scam Deed or title scam is a serious scam since the property owners would spend a lot of money to solve this scam. In the worst case, lose their property.   This property fraud works by transferring the property ownership to another individual or using the property as collateral for borrowing money without the legal property owner’s knowledge.   5. Rental Scam One category of property scams that requires caution is the rental scam. Most buyers like you search property listings on the internet. Knowing this fact, scammers could take a chance by creating fake property listings online to trick you.   These scammers often present fake properties for rent and request a high deposit from you. When they already get it, they will disappear – leaving you without the property and money.   6. Zoning Fraud The last type of property scams is zoning fraud. In this scheme, scammers alter the zoning status of a piece of land illegally to permit a development project that would otherwise be prohibited under its actual land zoning status in Indonesia.   Zoning fraud can manifest in various forms – misrepresenting the land’s zoning status, suborn local government officials, or document falsification. Engaging in such practice poses a significant risk, resulting in a decline in both property and neighborhood values.   5 Indications of Property Scams Before you learn how to avoid scams in real estate, you should learn the indications of them. Understanding these signs is highly recommended for those who are first-time property buyers. Here are five indications of property scams, such as:   1. Pressure to Take Immediate Action The first sign or indication of property scams is there pressure to take immediate action. Scammers tend to pressure property buyers with a sense of urgency or scarcity to make them take action.   2. Too Good to Be True If someone claiming to be the property owner provides you with a property with extremely below market value or other unrealistic attractive offers, do not be happy – you must be careful.   Those too-good-to-be-true offers are a strong indication that the transaction you are involved in is a scam. Resist the temptation to pursue those offers.   3. Lack of Documentation Real estate or property transactions in Bali always involve a lot of documents – certificates, deeds, etc.   If you are looking for a property to rent or buy for HGB title, ensure that the proper documents from the property owner are prepared well. This action you must take before transferring your money, even for a dollar or rupiah.   If someone claiming to be the property owner cannot prepare the documents property, that is a huge red flag.   4. Requests to Wire Money The fourth sign of property scams is the solicitation for property buyers to directly wire money to an individual who claims to be the property owner, under the pretext that the money is intended for a deposit or down payment.   5. The Details Do Not Add Up Since property is highly regulated in Indonesia, the details must be attached to the agreement document. If you find an incomplete, contradictive, or vague document, never give a deal. This sign is a strong signal of property scams.   How to Avoid Property Scams? Nobody wants to be the victim of property fraud. After you understand the types and the indications of property scams, the question is, how to avoid them?   The following are the ways of avoiding scams in real estate, such as:   1. Exercise Caution with Money Transfers Do not proceed with money transfers unless the details of the property are transparent. Ensure that the documentation is complete, the offers are realistic, and you have engaged in face-to-face negotiations with the property owner.   For high-value property transactions, consider involving professional and trustworthy third parties.   2. Research Research is the foremost and first step you must take before conducting any property transaction. Check the market trends in the area you aim for and the average price of the type of property you want to have.   The Internet is a great place to start. You can check real property listings on professional property agency websites.   Also, do not forget to be critical. You can check the property owner’s background and seek help from a legal professional to make your property transaction seamless.   3. Do not be Tempted by Unrealistic Offers Everyone loves benefits, including you. However, in a property transaction that involves a lot of money, being realistic is a must.   Do not be tempted by offers that sound too good to be true. If you receive an unrealistic but good option, it’s a sign of property scams. Ask yourself, and follow your instincts.   Stay Informed and Guarding Against Property Scams Investing in property can be a lucrative choice. But, it’s important to be cautious, as there are irresponsible people who want to profit at the expense of others.    To safeguard yourself from potential scams, it’s crucial to familiarize yourself with the definition, various types, indications, and preventive measures associated with property scams before venturing into property investment.  

The construction of a building holds significant importance in property investment. Therefore, investors won’t miss the building construction process. However, those intending to construct a building in Indonesia must obtain building approval (PBG), formerly known as IMB. In addition to PBG, they’re also required to possess Sertifikat Laik Fungsi (SLF).   This article provides a comprehensive explanation for you to master PBG in Indonesia – the definition of building approval, the difference between PBG and IMB, the SLF, the required documents, and the steps for obtaining PBG.   What is Building Approval (PBG)? Building approval, known Persetujuan Bangunan Gedung (PBG), is a permit issued by the Indonesian government – granting permission to the building owner to start building construction.   The granting of building approval involves the inclusion of technical requirements. These technical requirements remain effective until the permit expires. Additionally, PBG approves building construction meets safety and government standards for use.   This permit is formerly known as Building Permit or Izin Mendirikan Bangunan (IMB). However, in February 2021, the Indonesian government replaced IMB with PBG through Peraturan Pemerintah No. 16 Tahun 2021 (PP No. 16 Tahun 2021).   This update is vital for those who want to construct a building in Indonesia – whether for commercial or residential purposes. Therefore, those who want to obtain this permit must adhere to the all criteria of constructing the building process – from planning to utilizing the building.   According to PP No. 16 Tahun 2021 Pasal 5, we can summarize the functions of building approval, including: - Residential functions – as a living place. - Religious functions – for religious activities (such as mosque, church, temple, and others). - Business functions – for business operations. - Social and cultural functions. - Special functions – has special functions determined by the Minister.   PBG vs IMB – What are the Differences? As mentioned previously, the Indonesian government instituted PBG as a substitute for IMB in 2021. There are differences between PBG and IMB that we can find.   The distinction between IMB and PBG lies in their application formats and the process of seeking permission before constructing a building.   IMB is a permit that you must obtain before or when constructing a building. As a building owner, you must attach the building technical when applying a permission for IMB.   Meanwhile, building approval or PBG regulates how buildings are built. You aren’t required to obtain this permit before constructing a building.   The differences between PBG and IMB also lie in what must be reported, the prerequisites, and sanctions.   IMB requires the building owners to report the function of the buildings, whereas PBG reporting both the function and aligning the construction with the existing spatial layout.   IMB requires you to prepare prerequisites – land rights status, utilization permits, and building ownership status. On the other hand, building approval only mandates compliance with building planning and designing based on the building layout, reliability, and prototype design.   Regarding sanctions, there are no sanctions in IMB if the building owners don’t report changes to the function of the building. In contrast, PBG applies sanctions.   What is Sertifikat Laik Fungsi (SLF)? As we mentioned earlier, there’s a certificate that is needed to apply for building approval – it’s Sertifikat Laik Fungsi (SLF).   According to Peraturan Pemerintah No. 16 Tahun 2021, Sertifikat Laik Fungsi is a document verifying the designated and reliability function of a building, whether for residential or commercial use. This permit is called a Certificate of Permitted Use in English.   The SLF is released by the Regional Government and remains effective for 20 years for residential purposes and 5 years for commercial purposes. In pasal 274 of this PP, the building owners must have SLF before they utilize their buildings.   The SLF isn’t only significant for building owners, this certificate is also important for property developers for releasing Akta Jual Beli (AJB) and selling and constructing a building as a commercial property.   Building Approval Required Documents The documents you need to prepare for applying for building approval may vary depending on the construction project. However, there are several common documents, such as:   - Structural design. - Land ownership documents. - Land certificates. - Architectural drawings of the building. - Land use permits. - Any other documents that are requested by local authorities.   How to Obtain Building Approval (PBG)? If you're the property owner, you can register for PBG easily online. According to Sistem Informasi Manajemen Bangunan Gedung (SIMBG), you need to make an account before registering for building approval. Here are the steps:   1. Click “Daftar” on the SIMBG page or the top menu of the page. 2. Select “Daftar Sebagai Pemohon”, and register the email address, password, and security code on the registration form. Then, click “Kirim”. 3. You’ll receive successful registration information. 4. Open your email for the verification process. Then, click “Verifikasi” in the body of the email. 5. You’ll be redirected to the SIMBG page to complete the applicant’s data. 6. After completing your data, click “Simpan” and your applicant registration process successful.   Now, you already have an account on SIMBG. The following are the steps to register for PBG on the SIMBG website. The steps are quite long and technical. You can read the steps completely by visiting the SIMBG website on “Panduan Permohonan”. On that official guideline, you'll be directed with pictures.

Managing potential issues on your property is one of the most important things you should notice, whether as an owner or lessee. Property upkeep, or property maintenance, is a policy that can help you to keep your property well-maintained. This article will provide a step-by-step guide to building maintenance, including benefits, examples, and a checklist.   What is Property Maintenance? Property maintenance is the practice of ensuring the well-being and proper care of a property. The main goal of this practice is to ensure properties and their utility systems are safe and in working order.   Based on the definition, we can say that property or building maintenance is a preventive and proactive action.   Several works involve property maintenance activity – safety checks, repairs, and cleaning of the building.   In addition, property maintenance is essential for various types of property or real estate, including: - Hotels - Villas - Apartment complex - Condominiums - Homes   Why Property Maintenance is Essential? It’s essential to prioritize maintenance to address critical problems that may arise. Properties that have risks of getting problems are common in Indonesia – plumbing, electricity (blackouts), clogged drains, and malfunctioning equipment.   Providing property in excellent condition can establish trust and enhance its reputation. A positive reputation, in turn, contributes to increased tenant retention.   Example of Property Maintenance Tasks There are several examples of property maintenance tasks, such as:   1. Exterior Maintenance As its name, this type of task refers to the property maintenance that is associated with the property’s outer aspects. Exterior maintenance is also known as grounds maintenance.   Examples of exterior maintenance are the cleaning of a property’s exterior, as well as the maintenance of drains and roof gutters.   2. Interior Maintenance Opposite to exterior management, interior management refers to managing the maintenance of the property’s inner aspect. This category of property maintenance includes electrical, plumbing, and HVAC systems.   3. Pest Management Pest management including rodent and pest control is needed to make the property environment hygienic and safe from the spread of disease.   4. Area Maintenance Area maintenance is vital for those who have multi-unit properties. Examples of this include cleaning and repairing mail rooms, hallways, and stairways.   5. Waste Management In property upkeep, waste management involves removing and categorizing waste according to its types. Waste management is vital for preventing maintenance for pest control as well.   6. Safety Inspections Safety inspections include maintenance and inspection of the property and grounds’ mechanical and electrical systems safety to ensure safety.   Property Maintenance Responsibility When You Lease The responsibility of the tenant in property maintenance varies depending on the terms outlined in the lease agreement. If you are a foreigner who leases a property, you may have to pay for the upkeep costs.   The property real owner mostly takes care of major issues including cracked walls, water supply problems, broken air conditioning, leaky roofs, or broken doors.   You, as a tenant, fixing minor issues like leaking taps could be up to you.   In detail, you can discuss with the real owner of the property and read the lease agreement carefully so that you know your responsibility in the building maintenance.   Benefits of Property Maintenance Conducting property maintenance offers several advantages for you and your property, as follows:   1. Secure Your Property Condition Building maintenance secures the well-being of your property condition and reduces the likelihood of encountering failure. Ensuring to check your property equipment, such as HVAC units, elevators, electricity, and plumbing.   2. Reduce the Probability of Liabilities If your building and its equipment are in well-maintained condition, this will reduce the risk of incidents or accidents occurring.   3. Boost Property Value A property with intact walls, leak-free roofs, and well-functioning plumbing and electrical systems can help maintain its value over time. By this, you can optimize your revenue through property investment.   4. Make Tenants Happy If your property is properly maintained contributes to tenant satisfaction, increasing the likelihood of lease renewals. Satisfied tenants may even engage in word-of-mouth marketing – praising the well-maintained and comfortable living conditions that your property offers.   Hiring Property Maintenance Professionals Property upkeep plays a vital role in safeguarding your property investment, regardless the property size you have. Nevertheless, this task is time-consuming, and you may find yourself overwhelmed with other responsibilities.   To address the challenges associated with building maintenance, opting for assistance from property maintenance professionals is a favorable option.   What property maintenance professionals can offer to your building maintenance management?   - Cost-effective compared to hiring a personal maintenance team. - Time-saving. - Quality of maintenance process – the process is managed by professionals. - Peace of mind knowing your property maintenance process is in the right hands.   Property Maintenance Checklist After we discuss many things about property upkeep, here is the free checklist that you can use when conducting property maintenance.   - Mechanical system inspection (electricity, heating and cooling, and plumbing system). - Wi-Fi or Internet system inspection (router and cable). - Kitchen equipment inspection. - Property cleanliness inspection (ensure all rooms are clean). - Common areas inspection (ensure the common areas are well-maintained). - Roofs and walls inspection. - Pest and waste management inspection. - Fast response to repair requests.   Secure Your Property Condition! Successful property investment needs a lot of resources to ensure smooth operation. One crucial aspect that you need to consider is property maintenance, which plays a vital role in preserving the proper functionality of your property.

If you’re embarking on a property investment journey in Bali, it’s essential to familiarize yourself with various aspects such as property market, associated risks, rights or titles, and taxes. Among the commonly encountered terms related to property is IMB permit or building permit in Bali.   However, there has been a regulation change concerning this permit since February 2021. So, is building permit in Bali still applied?   This article will provide you with the updated information on the building permit (IMB).   What is Building Permit in Bali? Building permit, also known as Izin Mendirikan Bangunan (IMB), is authorization or documentation that grants permission for you to construct, build, expand, or reduce a building on a piece of land. This permit is issued by the Regional Government.   IMB indicates the intended use of a building, typically categorized for either commercial or residential purposes. Obtaining a building permit in Bali is crucial, as every structure situated in Bali must possess this IMB permit. This requirement applies not only in Bali but throughout Indonesia.   If the building doesn’t have an IMB permit then the buildings have a potential to be demolished by the local government.   Updated Information on the Building Permit (IMB) in Bali The updated information about the building permits in Bali is that it has been replaced with Persetujuan Bangunan Gedung (PBG) or building approval, effective since February 2021.   This alteration was initiated by the Indonesian government through Peraturan Pemerintah (PP) No. 16 Tahun 2021. It means someone who wants to construct a building in Bali doesn’t need to obtain IMB anymore – the prerequisite has changed to obtaining PBG.   However, if a building owner already obtained the IMB before Peraturan Pemerintah (PP) No. 16 Tahun 2021 is issued, it is still valid until the expiration date of the license.

Obtaining property in Indonesia is a dream for many investors around the world. However, after obtaining your dream property, there are some property risks you should pay attention to. Property insurance is one aspect that you must consider to make your property secure. This article will cover types of property insurance, benefits, and costs.   Let’s dive in!   Understanding Property Insurance in Indonesia Property insurance is a mechanism that provides financial protection for houses, villas, or other types of real estate against various property risks.   This insurance holds significance as it safeguards against potential property risks that possibly damage your property – flooding, fire, or even criminal activities.   Whether you’re a foreign investor who has a property through HGB or leasehold title, or an Indonesian property owner who has the property through Hak Milik, it’s crucial to be mindful of these risks and take measures to prevent their occurrence.   Additionally, it is capable of restoring the value of damaged property or replacing missing items. In essence, property insurance goes beyond mere risk mitigation, it becomes a vital necessity.   Therefore, if you’re a foreign investor, ensure that the property you have is secured through property insurance. You can confirm this by conducting due diligence.   This insurance scheme is much like other forms of insurance. The insurance company will provide a written agreement to formalize the arrangement with you as the customer. Then, you will pay the periodic premium fees according to the agreement.   There is a service called “all-risk” in this insurance, which offers protection against a range of accidents on your property – fire, theft, flooding, natural disaster, or explosion.   If an accident occurs to your property, the insurance company will conduct a survey and documentation for calculating your losses.   The insurance company will pay compensation for your claim under the previously agreed-upon terms.   Types of Property Insurance In general, there are two types of property insurance in Indonesia – home insurance and business insurance.   1. Home Insurance Home insurance is one type of property insurance that is aimed to cover and protect residential properties.   Commonly, residential properties are usually damaged by several causes like flood, earthquake, fire, and theft.   2. Business Insurance This category of property insurance is specially designed for commercial or business properties. Business insurance addresses similar property risks to home insurance, but it’s tailored to meet the specific needs of companies as well.   Property Insurance Benefits There are several benefits that you can obtain through property insurance, such as:   - Compensate for damage or loss to your property. - Protect your property financially. - Keep your property’s value. - Avoid of unforeseen financial burdens. - Peace of mind.   However, you must pay the periodic premium fees according to the agreement. Your premium funds will be forfeited if the payments fail.   How to Choose Property Insurance? Numerous insurance companies provide property insurance in Indonesia. Each of them offers distinct services for their customers. So, you need to weigh various factors before deciding on the insurance provider that best suits your needs.   Here are the tips on how to choose property insurance in Indonesia, as follows: - Understand the property risks they cover. - Examine the risk coverage extensions provided. - Research about natural disaster risks they provide. - Investigate the categories of items covered by the insurance. - Review the procedures regarding the premium and its payment. - Observe the amount of the compensation money, along with any exceptions. - Get to know how to submit a claim. - Observe the policy terms relating to the policy validity period.   Mastering Property Insurance for Securing Investments! Despite you have taken security measures such as installing CCTV or hiring security personnel, some property risks cannot be fully mitigated through these ways. Moreover, the potential financial loss amount of property damage can be substantial.   Property insurance plays a big role to secure your property financially. It covers many types of property risks including natural disaster, fire, and theft. However, you must consider many factors before deciding property insurance provider you will choose. Let's secure your property financially by obtaining a property insurance.

Every land in Indonesia is categorized under many types based on its purposes. This regulation is what we call as “land zoning”. Nevertheless, it’s possible to build a house or villa on a land for agricultural, for example, by doing land rezoning or IPPT. Understanding this property zoning laws is beneficial for those who want to boost their property value.   What is Land Zoning? Before we discuss about land rezoning, we need to know about land zoning first. Land zoning is a law that regulates and determines how land can be used.   In Indonesia, there are many types of land zoning: - Agricultural land. - Residential land. - Commercial land. - Tourism land. - Commercial & residential land. - Conservation zone.   Every type of land zoning applies in Indonesia has its own functions and purposes. For instance, agricultural land is only allowed for agricultural purposes. However, the function of agricultural land can be changed to other functions by conducting land rezoning.   So, ensure that the land is suit to your property investment goals if you want to lease a land. You can check the land’s status at Bali’s National Land Agency and cooperating with lawyers to help you checking the land’s status through due diligence.   Land Rezoning Definition As we mentioned earlier, lands in Indonesia are categorized into six types of land zoning that makes every land has its function.   However, there’s a chance to change the land’s status through land rezoning. This practice commonly happen on agricultural land to non-agricultural land (residential, commercial, or tourism land).   Land rezoning or Izin Perubahan Penggunaan Tanah Pertanian ke Non-Pertanian (IPPT) in Indonesian, is a permit to change the land’s function from agricultural to non-agricultural function. This property zoning law takes place due to the growing demands for residential, commercial, and tourism land. Additionally, this strategy presents improved and more suitable uses for the land. Hence, the land value will increases.   The process of changing land zoning involves multiple steps. Land rezoning can be time-consuming, costly, and challenging since property zoning laws are meticulously considered to evaluate the optimal land uses.   Each region, whether it be a town, cities, rural area, and country, possesses unique and specific procedures for land zoning. This is why the process of land rezoning requires careful evaluations and considerations.   The three steps of land rezoning in Indonesia will be explained below!   The Land Rezoning Process You can apply for the land rezoning process by at the nearest BPN office where the land is situated. Here are two steps of obtaining IPPT:   1. Prepare the Required Documents The documents needed may be differ in each city and the policy can change based on the policy in each government. In general, there are some documents you need to prepare, such as: - Photocopy of applicant’s ID card (KTP). - Power of attorney, if authorized by the applicant. Complete with ID card and family card (KK). - Photocopy of land right in the form of certificates and letter C. - Applicant’s tax identification number (NPWP). - PBB tax payment. - Land location map. - Draft of land use plan. - Details on the social aspects related to the change plan.   2. Visit BPN Office After you gathered all the documents needed, you can visit BPN office to apply for the land rezoning.   If there’s no any problem regarding your documents, the process will takes time around 12 working days. However, if there’s problem, the duration may be longer.   Land Rezoning Cost The land rezoning cost may be varies. It depends on Nilai Objek Wajib Pajak (NJOP) and the area where the land is situated. However, some regions in Indonesia doesn’t have a specific fee and only entail administrative charges.