Bali is a tropical paradise with amazing landscape and wonderful weather, good infrastructure, and many attractions. All these factors making Bali a unique place with a high index of return the investments (ROI). Some villas has high occupancy (up to 90%) and ROI up to 40%. More investors looking to buy land in Bali build a new villa or a hotel and get high ROI.
Buying land in Bali can be easy if you know the law and procedure. But if you new to the market and not prepared the problems can appear.
Here are a several important things that you should know before buying land in Bali:
Study ownership structure
Understanding of Indonesian property law and choosing the right way of owning the land is an important first step. Please check our article about Property laws of Indonesia.
Inspect the land and surroundings
The inspection provides the real sense of surroundings, neighborhood, infrastructure, and potential of the plot. Comparing the price range of land in the area will help to understand the real value of the plot you are going to buy.
Plot security check
Before going for a deal it is very important to check all land documentation:
- Ownership certificate and ID,
- Taxes paid?
- Any loans made?
- If the land is in the green zone?
- Is there any building permits done?
- Are there any known land disputes?
- Is there road access to the plot from the public road?
Going through the deal
When all questions are sort out and decision to buy the land in Bali made, you need to find a trusted notary to finish the deal. The notary will make sure that the property has all necessary certificates and the licenses, accessible, free of any mortgage and debts. To secure the sale-purchase process notary has right to accept the payment for the land to his bank account. Notary fee is 1% from the real contract price.
To save your time and avoid any misunderstandings, future problems and not to miss a thing better trust all the procedures of searching and preparing to buy land to the professionals.