Don't Be Tempted by Cheap Prices: A Guide to Buying Second-Hand Homes
The lower price of second-hand homes compared to new ones is often tempting. However, buyers must carefully check legal status, land history, and neighbourhood conditions to avoid future disputes or losses.
DPP REI Vice Chairman Bambang Ekajaya said buying a second-hand home requires extra vigilance due to varying building conditions and ownership histories. “Second-hand homes demand greater attention to the physical structure. Unlike second-hand cars where service records can be checked with ATPM (Official Single Agent) workshops, home maintenance is handled directly by owners,” he told Kompas.com on Friday, 29 May 2026.
Bambang stated that the most crucial step before purchasing is verifying land ownership legality. Buyers must also ensure Property Tax (PBB) is paid in full and the Sale and Purchase Deed (AJB) process is completed. Building legality should be confirmed by checking the Building Construction Permit (IMB) or Building Approval (PBG) matches the current structure.
“Check the land history. Typically, a notary will verify this and any potential disputes,” Bambang said.
He explained that preliminary checks can be done independently via BPN’s Sentuh Tanahku app. “Personal checks can use BPN’s Sentuh Tanahku app, but the most reliable verification is through a notary or PPAT before the AJB,” he added.
Beyond document legality, Bambang reminded buyers to assess the neighbourhood environment before purchasing. “Key questions include flood history and security or crime issues in the area,” he said.
He also cautioned against being swayed by low prices without thorough checks. “Don’t just be attracted by cheap prices. Be suspicious—why is it cheap? It could involve disputes, inheritance conflicts, forged documents, or structural problems,” he said.
He stressed that second-hand home purchases should be conducted through a notary or PPAT, not privately. “The priority is verifying ownership documents with BPN (National Land Agency) and conducting purchases via a notary or PPAT—never privately,” he concluded.