How to find a good housing property

 Finding a good housing property can be a daunting task, especially if you are a first-time buyer or looking for a new place to rent. With so many options available, it's essential to know what to look for and how to go about your search. In this article, we'll share some tips on how to find a good housing property that meets your needs and budget. :

STEP 1: Determine Your Budget

Before you start looking for a property, it's crucial to determine your budget. Knowing how much you can afford will help you narrow down your search and save time. If you're planning to buy a property, make sure you have a pre-approved mortgage in place to avoid disappointment later. For rentals, consider your monthly income and other expenses to determine what you can afford.

STEP 2: Decide on the Location

Location is an essential factor when it comes to finding a good housing property. Consider the proximity to your workplace, schools, and other amenities. Think about your lifestyle and what kind of neighborhood would suit you best. Do you prefer a quiet residential area or a busy commercial hub? Keep in mind that the location can affect the property's price, so be prepared to compromise if necessary.

STEP 3 : Research the Property Market

Once you have a budget and a location in mind, it's time to start researching the property market. Look online and visit local estate agents to get a feel for the market and the prices. Check out property listings to see what's available in your preferred location and budget.

STEP 4 : Get a Home Inspection

Whether you're buying or renting, it's essential to get a home inspection done before signing any contract. A home inspection can identify any potential issues with the property, such as structural damage, plumbing or electrical issues, and pest infestations. It's better to identify these problems early on to avoid expensive repairs later.

STEP 5 : Check the Property's Amenities

When looking for a good housing property, it's essential to consider the amenities it offers. Check if the property has parking, laundry facilities, a garden, or a pool, depending on your preferences. Consider the security features, such as CCTV cameras or security guards, especially if you're renting.

STEP 6 : Read the Contract Carefully

Finally, whether you're buying or renting, it's essential to read the contract carefully before signing it. Pay attention to the terms and conditions, the payment schedule, and any penalties for late payment or breach of contract. If you're unsure about any aspect of the contract, seek legal advice before signing.

In conclusion, finding a good housing property requires careful planning, research, and attention to detail. Determine your budget, choose the location carefully, research the property market, get a home inspection, check the amenities, and read the contract carefully. By following these tips, you'll be able to find a property that meets your needs and budget, and enjoy your new home or rental property.

Asia Pacific Trends in Real Estate In 2023

With the exception of China, most Asia Pacific (APAC) markets started to recover from the effects of regional COVID restrictions in 2022. However, as investors look ahead to 2023, they are now faced with a new set of threats that are no less dangerous: high inflation, rising interest rates, unmanageable levels of public and private sector debt, and an impending global recession.

The goal of this 17th edition of Emerging Trends in Real Estate, a collaborative project of PwC and the Urban Land Institute (ULI), is to throw light on trends in real estate investment and development as well as other concerns in APAC.

Singapore came out on top in this year's rankings for both investment prospects and city development prospects.also moved upward.

Key Points found :

Achieving Net Zero

Many regional investment strategies now include it as a key component of their plans to achieve net zero carbon emissions. The 2021 Sustainable Financial Disclosure Regulation (SFDR) of the European Union, in particular, emphasizes the need for compliance with international reporting requirements. Regionally, real estate carbon efficiency standards continue to be low, with Australia and Singapore far and out ahead of the pack.

Real estate transactions in Asia are declining, with the third quarter of 2022 seeing the lowest third-quarter total in the Asia Pacific since a decade.

The number of deals and buyers also decreased dramatically, and because the value of terminated deals during the quarter was roughly 20% of total transactions, there is little reason to believe that this trend will soon reverse. The only significant market to defy the decreasing trend was Singapore, where investment volumes soared 47% YOY to US$9.1 billion.

Inflation raises the risk of development

One local developer in Singapore reported an increase in construction expenses of "easily 15%" in 2022, primarily due to higher material costs. Also, the lack of workers brought on by stricter labor restrictions has led to building delays and greater prices because of higher compensation.

Is Buying Property in Indonesia Expensive and Difficult ?

Buying property in Indonesia can be tricky.But if you play by the rules its a no worry.

How difficult is the property purchase process in Indonesia?
Individual foreigners can buy condominiums in Indonesia, though the formal law is slightly knotty. Foreigners can also buy control of landed property, though the legal difficulties are larger, and the degree of peace of mind attainable is correspondingly smaller.


Condominiums
Indonesia luxury vacation house
The basis for foreign ownership of strata-title residential property, i.e. condominiums, is Government Regulation No 41 of June 1996. Regulation 41/1996 is however unclear, and no foreigner has actually received a strata title as a certificate of ownership. In practice, foreigners sign a Convertible Lease Agreement by which the title is held in the name of the developer, while a lease is held for a definite period. The Convertible Lease Agreement states that, if and when prevailing laws and regulations permit ownership of strata titles by foreigners, both the lessor and the lessee will be obligated to sign a deed of sale and purchase, transferring title to the foreign owner.
 
Land



Foreigners are not allowed to own freehold land. Nevertheless, they can acquire rights to the use of land but not ownership rights.

There are three options open to foreigners for buying in Indonesia:
1. Through an Indonesian representative
It is common practice to have an Indonesian representative acquire land for the foreign buyer. Ownership of land must be transferred from the previous owner to the Indonesian representative. For the foreign buyer’s security, three agreements must be entered into with the Indonesian representative.

• Loan Agreement – this states that the foreign buyer lent the purchase price to the Indonesian representative.
• Irrevocable Power of Attorney – this gives the foreign buyer full authority to sell, lease, mortgage, etc. the land.
• Permanent Right of Use Agreement – this gives the foreign buyer full rights to the use and occupancy of the land.

2. Through a Penanaman Model Asing (PMA) Company
PMA is a “status of doing business” in Indonesia. A PMA company has 30 years to operate after formation. It can be granted additional 30 years, and another 30 years, if it expands its project through additional investment. This can be 100% controlled by a foreigner.

The Right to Build (Hak Guna Bangunan – HGB) is available to PMA companies. The right to build or construct on land is valid for 30 years. This can be extended for an additional 20 years, and even for another 30 years after that.

To set up a PMA company you will be required to:

•     Submit a detailed business plan.
•     Operate in a business environment that adds value to Indonesia in terms of foreign skills, employment and environmental benefit.
•     Make an appropriate cash deposit in an Indonesian based bank. (The amount varies and is calculated from the capital employed in the business).
•     Show the property investment as an asset of the company.

The process takes approximately 3 to 4 months and once completed the company can apply for work permits for the foreign directors, 3 permits in the first year of operation. The cost of setting up is around US$5,000.

3. Through a Leasehold Title
Indonesia luxury condominiums

This can be granted to qualified foreigners who are domiciled in Indonesia with a KITAS working visa. The lease runs for 25 years, and can be renewed for another 25 years.

It is important to hire the services of an Indonesian lawyer to assist with the transaction, especially with the monetary exchange. All land transactions must take place at the Indonesian Notary’s local office, Pejabat Pembuat Akta Tanah (PPAT), where the land is located.

While it may be natural to give a deposit, it is not advisable. There is no code of conduct for real estate firms in Indonesia; they do not have any legal obligation to protect the buyer’s interests and guarantee the title.

There are registered and unregistered lands in Indonesia. The Basic Agrarian Law of 1960 governs certified land, which is registered at the local land office. Unregistered land, Adat land, is community-owned. An examination of the land certificate being bought is important.

The whole process of registering property involves six procedures and takes around 22 days to complete.

Footnotes to Transaction Costs Table

Transfer Tax:Transfer tax is levied on the sale of real property in Indonesia at a flat rate of 5%. The base is the transfer value of the property.

Sale and Purchase of Land DeedThe execution of the sale and purchase of Land Deed is made before Land Officials, namely a notary public appointed by the Head of the National Land Office (PPAT) or a local Head of a District (Camat PPAT). The cost is 1% of the property value.

Legal Fee:Legal fees are negotiable. Processing fees for legal documents are at around 0.5% to 1.5% of the property value.

Registration Fee:The registration fees are around 0.20% of the property value. Registration fees include administrative fees and stamp duty of IDR6,000 (US$0.45) per document.

Land and Building Transfer Duty (BPHTB)The land and building transfer duty is levied at a flat rate of 5%, and is charged to the seller. The tax base is the transfer value of the property. There is a non-taxable amount which varies per region, and the non-taxable amount is IDR80 million (US$5,944) in Jakarta. This tax is different from the transfer tax.

TAX ON ACQUISITION OF LAND AND BUILDING (BPHTB)
Property Value     IDR     2,300,000,000
Less:     Tax-Exempt Amount     IDR     80,000,000
=     Taxable Value     IDR     2,220,000,000
Tax on Acquisition of Land and Building     5%     111,000,000.00

Real Estate Agent´s Fee
Real estate agent´s fee is around 5% of the property value. The fee is paid by either the buyer or the seller, but not both.


Original Article :
Buying costs are very high in Indonesia

Why Indonesian Property is looking good in 2017

The president has signed the Government Rule (Peraturan Pemerintah - PP) number 64 of Year 2016 regarding the development of housing for the low income.

The goal is to expedite and accelerate the process of providing housing for the low income citizens.

What the rule says : reduce the days of applying accordingly to regulations from 900 to 40 days. Reduce which use to be 33 legal documents as a requirement to only 11.

And lastly give authority to the municipal government on each city and kaybuwpayten (help me with the English translation of kabupaten) to issue the documents.

So that's it folks.

Indonesia's Property prospect for 2016

Property prospect for 2016 in Indonesia is the one of the highest valuable information that people are finding out. The trend of the rupiah against the dollar shows that a steady increase is going on.

Before 2016, the property cycle occurs and moving and the hardships of 2014 and 2015 will pay off in 2016.

Accurate reference of what will happen in 2016 is shown by what this feller Ali T said. He is the Indonesia Property Watch director.
"Property market is in a waiting position and is entering an acceleration in 2016. It is not true that the property market is experiencing crash. What is true is that the property market is in a take off position"

Housing market development has grew significantly high 120% (indicated by housing credit/KPR) just by 2010 to 2012. And slowly went down in 2013 to 2015.


Case Study 

This peace of property down here in this place called Bandung, is making headlines because PEOPLE ARE JUST WAITING IN LINE to GET THE PEACE OF THIS PROPERTY.

So what so special about this peace of property, For beginners after just a friend of mine invested for a year for 500 million rupiahs in December 2014 for a 31 m2 type room, it went 630 million just for a year, That's 20% return on investment just holding the property.

Turned out it will have a high class Mall, a Water-boom facility and all these only minutes away from the toll road in the prestigious Pasteur Area. Near approximately every where, easy for travelers heading back to Jakarta.  As mentioned on Tips in Buying an Apartment, you will see that it is a good choice.

Gateway Pasteur, Just Awesome

Turned out also that the Bandung jet-set society bought a peace of property here. So actually you are buying a membership of society. There will be around 2100 rooms, and some townhouses in the area. An irresistible property to have,  and a guaranteed great investment.

So property in Indonesia is confirm will boom in 2016. So take your action immediately.


Tresna
Property Analyst