Buying Leasehold Property in Bali: A Practical Guide for Foreign Buyers
For foreign buyers in Bali, leasehold is a time-limited contractual right to use a property. HAVN offers a 25-year lease with a 25-year extension, creating a 50-year effective term. The agreement is registered through an Indonesian notary, and buyers should appoint independent legal and tax advisers before signing.
What does leasehold mean for a foreign buyer in Bali?
A leasehold gives the buyer contractual rights to occupy, rent, resell, and transfer the property during the agreed term. It does not create freehold ownership in the buyer's personal name. At HAVN, the lease structure is 25 years plus a 25-year extension, for a 50-year effective term.
The buyer's name appears on the lease certificate. The agreement is registered through an Indonesian notary, known as a PPAT, and does not require the buyer to establish an Indonesian company for this purchase structure.
How does the HAVN buying process work?
The process moves from reservation to independent review, staged construction payments, and registration at handover. It can be completed remotely using DocuSign, although buyers can also arrange an in-person site visit and consultation.
- Pay the A$10,000 reservation deposit, which is credited against the Stage 1 deposit.
- Appoint an independent Indonesian notary or PPAT to review the structure and documents.
- Review and sign the sale and purchase agreement.
- Pay the 30% Stage 1 deposit, less the reservation amount already paid.
- Make the 40% construction payment against milestones defined in the agreement.
- Pay the final 30% at handover, targeted for October 2026.
- Receive the leasehold certificate and complete registration with the Indonesian land office.
What purchase costs should be considered?
The apartment price is only one part of the acquisition budget. HAVN's investor materials identify the following purchase costs. Tax rates and individual treatment can change, so confirm the current position with independent Indonesian and home-country advisers before committing funds.
| Cost | Indicative amount | When it applies |
|---|---|---|
| HAVN residence | A$140,000 to A$160,000 | Purchase price |
| Reservation | A$10,000 | Credited against Stage 1 |
| Land acquisition tax (BPHTB) | 5% | At signing |
| Notary or PPAT | 0.5% to 1% | Document and registration work |
| VAT on a new build | 11% to 12% | Confirm the effective rate |
Can a leasehold residence be rented or resold?
Under the HAVN lease structure, the residence can be rented, resold, or transferred during the remaining lease term. Owners may use HAVN's rental management programme, which handles listings, guest communication, check-in, housekeeping, maintenance, dynamic pricing, and reporting.
The management fee is 18% of gross rental revenue, and Indonesian rental income tax is identified as 10% of gross rental revenue in HAVN's investor materials. A HAVN service charge for the shared facilities is still to be confirmed.
What should you verify before signing?
A clear decision starts with documents, responsibilities, and the exit path. Ask your advisers to review the lease extension mechanism, payment milestones, certificate and land registration, tax treatment, management agreement, service charge, resale process, and what happens if construction timing changes.
HAVN can provide the investor pack, floor plans, indicative investment model, and project documents for review. Your legal and tax advisers should work for you independently of the developer.
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