Buying property in Lombok as a foreigner is not only possible — thousands of international buyers do so legally and securely every year. But Indonesia’s land laws are specific, and understanding the difference between your ownership options can save you a lot of money and stress.
This guide covers everything: what foreigners can and cannot own, how leasehold and PT PMA work in practice, the real costs, and the five questions we hear most from buyers before they commit.
Can foreigners actually own land in Lombok?
Yes — but not freehold land in your own name.
In Indonesia, Hak Milik (freehold title) is reserved exclusively for Indonesian citizens. Foreign individuals cannot hold Hak Milik directly. This is not unique to Lombok — it applies across all of Indonesia.
However, this does not mean foreigners are locked out. There are three well-established legal structures that give foreign buyers genuine, enforceable control over property in Lombok:
- Leasehold (Hak Sewa) — the most common path for individual buyers
- PT PMA with HGB — the most secure structure for investors and developers
- Hak Pakai — limited use rights, available in specific circumstances
Each works differently. Choosing the right one depends on what you’re buying, how long you plan to hold it, and whether you intend to generate income from it.
Can you buy land in Lombok as a foreigner?
Yes, through two main routes.
Route 1: Leasehold (Hak Sewa)
A leasehold gives you the contractual right to use a piece of land for a fixed term — typically 25 to 30 years for the initial period, with extensions negotiated upfront that can bring the total to 50–80 years.
What you actually get:
- Full right to build, rent out, and use the land during the lease term
- The ability to sell or transfer the lease to another buyer
- No company setup required — you sign as an individual
What to check carefully:
Whether the notary is independent of the seller
Total lease duration, including all extension periods
Extension rights must be written into the original contract — verbal agreements offer no protection
Who controls the renewal terms, and at what price
Leasehold is the most common ownership structure in the South Lombok market — Selong Belanak, Kuta, Are Guling, Serangan. It works well when the contract is properly drafted and notarised.
Route 2: PT PMA with Hak Guna Bangunan (HGB)
A PT-PMA is a foreign-owned Indonesian company. Once registered, the company can acquire land under HGB title — the right to build and operate commercially on land.
HGB under PT-PMA:
- Initial term: 30 years
- Extendable: up to 50 years immediately
- Renewable: for a further 30 years — total up to 80 years
- The land title is registered at BPN (National Land Office) in your company’s name
- Offers stronger legal protection than a personal leasehold in disputes
This route is best suited for investors buying multiple properties, running a rental business, building a resort, or anyone who wants the strongest possible legal position.
Setup costs are higher (company registration, legal fees, annual compliance reporting), but for a serious investment, the structure is worth it.
Is it illegal for foreigners to own land in Indonesia?
No — but owning freehold land directly in your own name as a foreigner is not permitted under Indonesian law.
What is common and legal:
- Long-term leasehold agreements registered with a notary
- Land ownership through a PT PMA company with HGB title
- Hak Pakai for qualifying residential use
What is not legal and should be avoided:
- Nominee structures — buying land in an Indonesian citizen’s name under a side agreement. These have no legal protection. If the relationship breaks down, you have no enforceable claim. Indonesian courts do not recognize nominee arrangements for property.
- Any structure that a lawyer cannot fully explain and document
The legal routes above are widely used, well understood by local notaries, and recognized by Indonesian courts. The risk comes from trying to shortcut the process.
Can foreigners live in Lombok?
Yes. Many foreign nationals live in Lombok full-time or spend extended periods each year.
The most common visa options for property owners:
KITAS (Temporary Stay Permit) Available for investors, retirees, and those with business interests in Indonesia. A PT PMA investor can apply for a KITAS tied to their company. Typically issued for 1–2 years, renewable.
Retirement Visa For those 55 and older. Requires proof of pension income, health insurance, and no intention to work in Indonesia.
Second Home Visa Introduced in 2022, this allows foreigners with assets of at least USD 130,000 to apply for a 5 or 10-year stay permit. One of the more accessible long-term options for property buyers.
Digital Nomad / Visitor Visa For shorter stays — not a long-term residency solution, but useful while you explore before committing.
Owning property does not automatically give you the right to live in Lombok. Visa status and property ownership are separate. Always sort your visa before assuming residency rights come with a purchase.
Can I buy a villa in Lombok?
Yes — and for many foreign buyers, buying a completed villa is simpler than buying raw land.
A villa purchase combines the property itself with the land it sits on. The ownership structure (leasehold or PT PMA/HGB) still applies, but there are additional layers to check:
For built villas:
- IMB / PBG — the building permit. Must be in order, not expired, and match what was actually built
- Zoning compliance — the land must be zoned for the permitted use
- Operational permits — if renting commercially, separate hospitality permits apply
- Construction quality — independent inspection recommended for off-plan purchases
For off-plan villas:
- Developer track record and financial stability
- Reservation agreement terms — what’s protected if the project delays
- Handover specification and penalty clauses
At Nour Estates, every property we list has been checked for title type, permit status, and zoning before it reaches a buyer. We work with trusted local notaries and can introduce buyers to independent legal counsel for due diligence.
Ownership structures at a glance
| Structure | Who can use it | Term | Best for |
|---|---|---|---|
| Leasehold (Hak Sewa) | Any foreigner | 25–80 years total | Individual buyers, villas, lifestyle purchases |
| PT PMA + HGB | Foreign-owned company | Up to 80 years | Investors, developers, rental businesses |
| Hak Pakai | Qualifying individuals | Up to 70 years | Long-term residents in specific cases |
| Hak Milik (freehold) | Indonesian citizens only | Perpetual | Not available to foreigners |
What does it cost?
Beyond the purchase price, budget for:
| Cost | Amount |
|---|---|
| BPHTB (buyer transfer tax) | 5% of transaction value |
| VAT | 11% — applies to new/off-plan properties only |
| Notary & PPAT fees | 0.5–1% (varies by notary) |
| Legal due diligence | Variable — recommended |
| PT PMA setup (if applicable) | IDR 15–25 million typically |
| Annual PT PMA compliance | IDR 5–15 million / year |
These costs are not negotiable deductions — they are standard Indonesian property transfer costs. Any seller quoting “no taxes” should be approached with caution. You can use our free transaction fee calculator for projections.
What your legal team should check before you sign anything
- Land certificate type — SHM (Hak Milik), HGB, or other. Verify directly at the BPN land office
- Zoning — confirm the land is zoned for your intended use via the local RTRW spatial plan
- Road access — legal access to the plot, not just physical access
- Building permit (PBG) — for existing structures
- Outstanding taxes — PBB (land and building tax) must be clear before transfer
- Lease contract terms — every extension clause, renewal right, and transfer condition in writing
None of these checks is optional. The road can be fixed. The title cannot.
Working with Nour Estates
We are an AREBI-certified agency based in South Lombok. We work exclusively with verified listings from direct landowners across Selong Belanak, Kuta, Are Guling, Serangan, Torok, and Tampah.
Our role in a purchase:
- Introduce you to the right properties for your goals and budget
- Coordinate due diligence with our legal partners
- Guide you through the ownership structure decision
- Manage the process from offer to completed transfer
We do not charge buyers. Our fee comes from the seller’s side of the transaction.
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Last updated: April 2026. This guide reflects current Indonesian property law and Lombok market practice. Legal requirements can change — always verify current regulations with a licensed Indonesian notary before transacting.
