Can Foreigners Buy Property in Bali?

Yes — foreigners can legally control property in Bali, just not through freehold ownership. Indonesian law reserves freehold (Hak Milik) for citizens, so international buyers use one of three legal routes: a leasehold, a Hak Pakai right-to-use title, or a PT PMA foreign-owned company. Each suits a different goal.

• Leasehold (Hak Sewa) — the common route. A contractual right to use the land or villa for a fixed term, usually 25–30 years with agreed extension options. Simple, lower cost, no company required. You don't own the land, and the value reduces as the term runs down.
• Hak Pakai (right to use) — a title you can hold. Available directly to foreigners who hold a KITAS/KITAP residency permit, for a residence. Runs an initial 30 years, extendable up to around 80. Minimum-value thresholds can apply by region.
• PT PMA (foreign-owned company) — for investment & rentals. A company you own holds a Hak Guna Bangunan (right to build). It's the only structure that legally lets a foreigner run a villa-rental or hospitality business. Minimum paid-up capital was cut to about IDR 2.5 billion (~US$150k) under BKPM Reg. 5/2025 (down from IDR 10bn), but it carries annual reporting and tax obligations.
• Nominee arrangements — avoid. Putting freehold in an Indonesian "nominee's" name on your behalf is common talk but legally risky: Indonesian courts don't recognise nominee ownership, so you hold no protected title. We don't recommend it — take independent legal advice.