Expats to be given property rights<\/p>\n
JAKARTA (JP): Minister of Public Housing Akbar Tandjung said
\nyesterday that his office is now preparing guidelines for
\nproperty ownership by foreigners.<\/p>\n
\"No property transaction by foreigners will be allowed before
\nthe guidelines are issued,\" Akbar told journalists after a
\nhearing with the House of Representatives Commission V for
\nhousing, transportation and tourism.<\/p>\n
\"We will consult the ministries of manpower, justice and
\nfinance for the formulation of the guidelines and we will try to
\ncomplete the formulation as soon as possible,\" he said.<\/p>\n
He said the guidelines will clarify several issues, including
\nthe types of property that can be purchased by foreigners and the
\ngovernment agency that will determine which foreigners are
\neligible to own property in the country.<\/p>\n
\"It's obvious that they cannot buy government-sponsored
\nhouses, so the only chance for them is to buy luxury houses,\"
\nAkbar said.<\/p>\n
The government last month issued a regulation -- No. 411\/1996
\n-- which allows foreigners to own property in Indonesia. The
\nregulation, according to Akbar, defines foreigners as investors
\nor businesspeople who regularly visit Indonesia regardless if
\nthey domicile in the country or abroad.<\/p>\n
\"But who will determine if the foreigners wanting to buy
\nproperty are investors,\" several House members questioned.<\/p>\n
They also questioned the government's consideration to allow
\nforeign ownership.<\/p>\n
\"We recognize that the number of foreign investors living in
\nIndonesia has increased rapidly in line with the increasing
\nparticipation of foreign investment in national development,\"
\nAkbar responded.<\/p>\n
\"This move is in anticipation of a further increase in the
\nnumber of foreigners in Indonesia during the free trade era,\"
\nAkbar added.<\/p>\n
He also agreed that foreign ownership for investment purposes
\nshould not be allowed.<\/p>\n
\"Foreigners should only be allowed to buy one house or
\napartment.\"<\/p>\n
Akbar confirmed that ownership is limited to not more than 25
\nyears for houses or apartments built on land in the \"right to
\nuse\" category, compared with 30 years for those built on land
\nwith the \"right to build\".<\/p>\n
Leases in both categories are renewable for another 20 years.<\/p>\n
Akbar noted that property developers should not change their
\nbusiness orientation just to take advantage of the new
\nregulation. (alo)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/expats-to-be-given-property-rights-1447893297",
"image": ""
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
}