Frequently Asked Questions
Our FAQ page is designed to provide you with comprehensive answers to address any queries you may have.
Can foreigners buy property in Lombok?
Foreigners cannot directly own freehold land (Hak Milik) in Indonesia, but there are two legal and secure investment options:
1️⃣ Leasehold (Hak Sewa) – The Most Common Property Investment Option
- ✔ Foreigners can lease land or property for up to 80 years.
- ✔ No need for an Indonesian partner or company.
- ✔ Ideal for villa investments, rental properties, and personal use.
💡 Best for Buying a villa in Kuta, Selong Belanak, or Tampah Hills to rent out on Airbnb.
2️⃣ PT PMA (Foreign-Owned Company) – Own Property & Start a Business
- ✔ Allows foreign investors to legally buy and develop land.
- ✔ Grants a Hak Guna Bangunan (HGB) title, which allows full property control.
- ✔ Can operate a business, such as a boutique hotel or rental management company.
💡 Best for Investors looking to develop larger projects, like hotels, eco-resorts, and commercial properties.
Is Lombok a good place to invest?
Lombok is quickly becoming a popular spot for visitors, offering beautiful scenery and a friendly vibe. Getting involved in investment here means you’re joining in on an opportunity that’s just starting to take off, especially in areas that welcome tourists and support the island’s development.
Top Reasons to Invest in Lombok in 2025:
- ✔ Lower property prices than Bali, with rapid appreciation potential.
- ✔ Growing tourism industry—Mandalika is a priority development zone.
- ✔ 8-12% ROI on rental properties, outperforming many global markets.
- ✔ Government infrastructure projects are boosting land and property values.
- ✔ Foreign investment-friendly—Legal structures make it easy to invest securely.
Want to learn more, read our post on why is Lombok is the best place to invest right now.
How much does it cost to build a house in Lombok?
According to other development projects in Lombok, building a home in Lombok starts at a cost of $600 per square meter. Some other high-end places offer villa constructions at $1300 per square meter.
These costs can vary greatly depending on the build quality and the materials used, such as luxurious wood or marble. Additionally, constructing a house in a well-known tourist area can significantly increase the expenses, sometimes even doubling them.
Is it better to invest in Bali or Lombok?
Lombok is emerging as a more attractive investment option than Bali, mainly due to its more affordable and potentially more profitable property investment opportunities. Bali has been facing challenges with over-tourism and excessive investment since 2020, which has impacted its appeal to new investors.
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