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Text your say: Foreigners can own apartments
The towers: Vehicles travel along and underneath overpasses near Tomang intersection in West Jakarta while condominium towers overhead nearby
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The towers: Vehicles travel along and underneath overpasses near Tomang intersection in West Jakarta while condominium towers overhead nearby. The government plans to begin allowing foreigners to own apartments.(JP/Ricky Yudhistira) (JP/Ricky Yudhistira)
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span class="inline inline-center">The towers: Vehicles travel along and underneath overpasses near Tomang intersection in West Jakarta while condominium towers overhead nearby. The government plans to begin allowing foreigners to own apartments.(JP/Ricky Yudhistira)
Your comments in a bid to boost investment and capital inflow, the government will, in an unprecedented move, allow foreigners to own apartments in Indonesia. The government plans, however, to limit the assets to those valued at a minimum of Rp 5 billion (US$375,000).
I agree with the government's intention to allow foreigners to own apartments.
However, limitations must be applied, such as a minimum value of the apartment, payment by cash or within one year, resale only after five years of ownership and not being applicable for land or houses. Hopefully it will boost capital inflow without jeopardizing the rights of our own people.
Soebagjo Soetadji
Jakarta
Investing in property is good. Historically, the property market never crashes. Look at Singapore and Hong Kong, where property prices are extremely high, yet the prices continue go up.
Zui Jia Dea
The ones with money who want to come and reside are few and far between. These property laws are populist rubbish that achieves less investment and a satisfied but stupid public.
Nate
It is yet again another blunt policy. Just consider how apartments selling for more than Rp 5 billion can only be found in Jakarta. That rules out property ownership everywhere else in Indonesia.
In Jakarta, there are a maximum of 20,000 working expats (probably far fewer). Let's say 10 percent want to live in a very expensive apartment ' most would prefer to rent a landed house obviously, and most expats are only in Indonesia on a temporary basis.
That leaves only 2,000 expats. Of this number, what percentage would actually want to purchase a Rp 5 billion apartment given that they would have a short 25-year lease ' meaning property rights are extremely weak? I'd say 10 percent max.
This leaves you with a potential market of 200 apartments maximum ' and that's probably a huge over-estimate.
T.Podulu
How would a foreign investor buy Indonesian residential property now? The national government is flaky and President Joko 'Jokowi' Widodo instructions are routinely ignored.
There is nothing to stop an overzealous local housing official from sticking his hand out for cash when the property is bought and sold.
And the government, via banks, will enforce currency exchange controls on overseas transfers out.
Bruce
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