Jakarta is an Indonesian metropolis that attracts investors and entrepreneurs worldwide, thanks to its strategic location and booming economy. The property sector continues to strongly support the country’s economy. Buying land in Jakarta can be a lucrative investment opportunity, but it requires careful research and planning. In this article, we will explore the land prices in Jakarta and how much it costs to purchase land in Jakarta.
What is the average land price in Jakarta?
The average land price in Jakarta can vary greatly depending on location, size, and zoning regulations. In general, land prices in Jakarta are among the highest in Indonesia, reflecting the city’s status as the country’s economic and political hub.
The average buying price of land is IDR 4 billion ($244,000), pegged at IDR 12.5 million ($763) per square meter. The median rent price is IDR 438 million ($26,718), with an annual growth of 16.6%. On a positive note, if you find a property worth less than IDR 2 billion ($122,000), you are exempted from paying Land and Building Tax or Pajak Bumi dan Bangunan (PBB) in Indonesian.
South Jakarta
South Jakarta is an affluent city with its upscale neighborhood and shopping centers. It’s a central commercial district with several multinational corporations, banks, and business centers.
Real estate costs and prices in South Jakarta
| Average buy price | Average price/sqm | Average rent price | |
|---|---|---|---|
| Land | IDR 4.29 billion ($261,690) | IDR 16.9 million ($1,031) | IDR 218 million ($13,298) |
West Jakarta
West Jakarta is a diverse and densely populated area of the city, known for its bustling markets, shopping districts, and historical landmarks. It’s home to some of Jakarta’s most iconic tourist destinations, such as the Old Town (Kota Tua) and the National Museum of Indonesia. In addition, West Jakarta is a hub for trade and commerce, with several industrial parks, warehouses, and logistics centers in the area.
Real estate costs and prices in West Jakarta
| Average buy price | Average price/sqm | Average rent price | |
|---|---|---|---|
| Land | IDR 4 billion ($244,000) | IDR 14.8 million ($903) | – |
North Jakarta
North Jakarta is a coastal area of the city known for its rich maritime history, bustling ports, and vibrant nightlife. It’s home to some of Jakarta’s most essential and busiest ports, including Tanjung Priok, which is Indonesia’s busiest port. In addition, North Jakarta is a popular destination for entertainment and leisure, with several shopping malls, amusement parks, and nightclubs.
Real estate costs and prices in North Jakarta
| Average buy price | Average price/sqm | Average rent price | |
|---|---|---|---|
| Land | IDR 4 billion ($244,000) | IDR 12.6 million ($769) | IDR 470 million ($28,670) |
Central Jakarta
Central Jakarta is the heart of the city, known for its iconic landmarks, cultural institutions, and government offices. It’s home to several of Jakarta’s most recognizable landmarks, such as the National Monument (Monas) and the Istiqlal Mosque, as well as the Presidential Palace and the National Museum of Indonesia.
Real estate costs and prices in Central Jakarta
| Average buy price | Average price/sqm | Average rent price | |
|---|---|---|---|
| Land | IDR 4 billion ($244,000) | IDR 24.6 million ($1,501) | – |
East Jakarta
East Jakarta is a rapidly developing area of the city known for its industrial parks, housing complexes, and shopping centers. It’s home to several central commercial and business districts, such as Cawang and Kuningan, as well as several universities and research institutions.
Real estate costs and prices in East Jakarta
| Average buy price | Average price/sqm | Average rent price | |
|---|---|---|---|
| Land | IDR 2.4 billion ($146,400) | IDR 9 million ($549) | IDR 219 million ($13,359) |
How can foreigners buy land in Jakarta?
Foreigners face specific restrictions when purchasing land in Jakarta. One method is through a PT PMA (foreign-owned company), which allows the company to hold land titles such as Hak Guna Bangunan (HGB) for business purposes. These titles permit land use for extended periods, typically 30 years, with possible extensions.
Another option for foreigners is leasing land in Jakarta. Leasehold agreements can extend to 80 years, providing long-term land use without direct ownership. This method is simpler and avoids the complexities of setting up a company, though it does not confer ownership rights. Each method has distinct legal requirements, and it is crucial to comply with Indonesian laws to ensure a secure investment.
Calculate the land costs in Jakarta
Proper planning and research make it possible to estimate Jakarta’s land costs. Some key factors to consider include the land’s location and size. By breaking down each cost element and creating a budget, you can better understand the total cost of buying a piece of land in Jakarta. To help with this process, our online calculator can assist in estimating the costs of buying land in Jakarta.
Need help buying land in Jakarta?
Looking to buy land in Jakarta? Leave your name and email below, and our expert team will guide you through every step, from understanding legal requirements to finding the perfect lot. Get personalized support for a smooth and successful land purchase. You can also email us at hello@ownpropertyabroad.com. Start your property journey in Jakarta today!
Frequently Asked Questions (FAQs)
How to find land for sale in Jakarta?
To find land for sale in Jakarta, you can start by browsing online property listings on websites such as Own Property Abroad, Rumah, Dotproperty, or OLX. You can also work with a licensed real estate agent who has access to exclusive listings and can assist you in finding the right property for your needs.
Is Jakarta good for real estate?
Yes, Jakarta is a good place for real estate investment, mainly because of the return of economic activity and the government’s effort to entice foreign investment.
Is the property in Jakarta expensive?
Property in Jakarta can be expensive, especially in prime locations such as Central and South Jakarta. However, prices vary depending on location, size, and amenities.
