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100 % Legal foreign ownership of
Bali Real Estate Bali, Aug 16 , 2003 Tomorrow marks the 58th. Anniversary of independence for Indonesia. Selemat Hari Kemerdekaan Day to all Indonesian citizens. We are very happy to share this
important milestone with you and to live in this beautiful country. If Indonesia was a person it would have already passed through mid-life and would be fast approaching the golden years as a Senior citizen. One of the major goals of most Senior Citizens is financial independence. Our definition of financial independence is to be able to do what every we want to do in the Golden Years of our lives with out worrying about the costs involved. First and foremost we do not want to rely
on our children, grandchildren, or the government to take care of our retirement needs. We do not want to have to work 40 hours a week to meet our cost of living. We want to enjoy the things that we missed while we were working so hard such as travel, and luxury items. We want to be able to help ours who are less fortunate with charity work. The bottom line is that most of these things cost money and we do not want to dip into our life time nest egg to pay for retirement. So how can we enjoy the good life without worrying about the cost? Simple! Invest our nest egg in a prudent, balanced portfolio of investments that provides yearly income plus capital appreciation. Unfortunately the good old days of high interest rates and successful stock and mutual fund investments are gone, for the near term anyways. So what about real estate? 
Many people are shocked when we advise them that the Bali and Jakarta bombings have had little effect on Bali real estate. "Bali and Jakarta bombings have had little effect on Bali real estate." What really shocks even us is that the day after the recent Jakarta bomb we had a record sales day. Even the Indonesian Rupiah has been increasing since the day after the bomb. We suggest that you consider getting on board the rising market of Bali real state prices now. Otherwise you will probably be
telling your friends years form now “how cheap prices were back in 2003, and how silly you were not to invest”. Many are apprehensive about Bali real state because of the fact that foreigners cannot own Bali real-estate. As we mentioned before there are simple legal methods whereby foreigners can obtain, control and profit from Bali real state investment through Leasehold, Nominee ownership. The safest legal method is to obtain 100 % foreign ownership of a P.M.A Company which can own land and properties.
After discussing P.M.A ownership with a successful Denpasar Notaries this last week we learned that it is actually quite simple to do. To start a P. M.A company the average investment is Rp 500,000,000 (USD $58,000) in paid in capital. You need two foreign share holders. The process can be completed in two to three months and consists of. 1) Making an application for Badan Koordinasi Penananaman Modal B.K.P.M.
2) Obtain a recommendation from the Indonesian Government 3) Complete articles of incorporation by Indonesian Notaries. 4) Secure a tax number and open a corporate Bank Account 5) Deposit Capital of Rp 5000,000,000 6) Receive Legal Authorization. Sounds complicated but this can be handled by one of the many legal consultants in Bali for a small fee. After your P.M.A Company is established you can purchase property that is deeded Hak Guna Bangunan. A P.M.A cannot own Hak Milik title (the normal title for individuals) A P.M.A can sell the property to anyone who can own a Hak Milk certificate. They simply will apply for Hak Milk title at the time of purchase. The other side benefit is that your new PMA can probably sponsor one or more foreigners for a KITAS working permit which can be renewed yearly and provide a visa for many years. So what’s preventing you from owning a piece of “The best Island in the world” (according to Travel and leisure Magazine July 2003)? Probably your concerns over the future of Bali. The answer to Bail’s future is simple. Do you think more tourists and proportionally more potential buyers will come to Bali over the next ten to twenty years? If the answer is yes then prices will increase and can provide you with financial independence in the future. As more, and more foreigners discover that they can enjoy
pleasure, and substantial profit by purchasing or leasing Bali real estate, prices will probably escalate more rapidly in the future. For more information or to contribute to our weekly articles contact Lawrence  Return to Bali-News-9-03 |
