Second-hand homes emerge as alternative amid soaring housing prices

Amid rising new housing prices, the second-hand property and auction market is gaining attention as an affordable alternative for homebuyers. PT Bank Tabungan Negara (BTN) has responded by preparing 10,000 second-hand properties through its 2026 Grand Auction programme, with assets claimed to be competitively priced, up to 40% below market value. Senior Executive Vice President of Assets Management at BTN, Benjamen Sihombing, noted increasing public interest in second-hand homes and auction assets due to their established locations, infrastructure access, and comprehensive public facilities. ‘Through the 2026 Grand Auction, we aim to broaden public access to competitively priced homes while strengthening a healthier, transparent, and accessible second-hand property transaction ecosystem in Indonesia,’ he said, citing Antara on Monday (25 May). BTN’s auction assets include landed houses, apartments, shophouses, and other commercial properties, spread across Jabodetabek, various regions in Java, and beyond. To facilitate public access, BTN has launched the Bale Lelang BTN platform via website Balelelang.btn.co.id and mobile app Bale by BTN, offering asset catalogues, transaction processes, and home loan (KPR) financing support. BTN also offers the KPR BTN Maju scheme with a fixed 5% interest rate for five years, down payment from 1%, and tenure up to 30 years, aimed at expanding home ownership access, supporting property investment, and advancing the 3 Million Homes Programme. Sihombing added that second-hand homes are no longer merely investment instruments but solutions for homeownership amid rising new property prices. ‘Strengthening the second-hand home ecosystem is expected to expand home ownership access, support the 3 Million Homes Programme, and create a healthier property market with more competitive pricing,’ he stated. BTN targets a 35% auction success rate for 2026, having achieved a record 34.4% in 2025 among Himbara banks. Property analyst Panangian Simanungkalit said the influx of large-scale auction properties could drive property sector growth in the next two years. ‘Don’t miss this opportunity, especially as auction processes are becoming easier. The second-hand housing market has significant growth potential due to limited new housing supply compared to rising annual demand,’ he said. He added that the secondary market can address the national housing backlog. ‘With competitive pricing, strategic locations, established infrastructure, and single-digit interest KPR facilities, second-hand homes present an attractive option for homebuyers,’ Simanungkalit said. Second-hand housing properties dominate listings on the proptech platform Rumah123, with over 2 million units available.