Expatriates looking to buy property in Indonesia may be subject to proposed changes in the process of home-buying.
After the government made a u-turn on its plans to allow expats to own property for 90 years, it has now announced that the term extension process will be simplified.
Expats investing in an Indonesian home currently get to hold it for a total of 70 years – the first term expires after 25 years and foreigners can renew their property rights with the National Land Agency for another 25 years. Once the second term is up, expats can renew their rights once more for 20 years, the Jakarta Globe explained.
Under new regulation plans, expatriates will be able to renew for the extra 25 and 20-year terms at the same time.
"Many foreigners find that the extension process for their property is really unpractical. Therefore, we decided to simplify it," Jamil Ansari of the Ministry of Public Housing told the paper.
The changes are due to be presented to President Susilo Bambang Yudhoyono before the end of May.
Indonesia’s property ownership laws came into force in 1960.
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