Can Foreigners Buy Cars, Land, or Property in Indonesia?

  • Aug 02, 2025

Can Foreigners Buy Cars, Land, or Property in Indonesia?

(A must-read before you make any purchase)
"Can I, as a foreigner, buy a car, motorcycle, or land in Indonesia on my own name?"

The short and clear answer is: NO.
According to Indonesian law, foreigners are not allowed to own land, property, or vehicles in their own name. Everything you want to buy – whether it’s a house, car, motorcycle, or even land – must be registered under the name of an Indonesian citizen, usually your Indonesian spouse (wife or husband).

But What About Company Owners?

Some foreigners think:
"I have a company in Indonesia, so I can buy property in my company’s name, right?"

Here is the reality:

If you own a legal company (PT PMA – Foreign-Owned Company), you cannot register property under your personal name.

You can register certain business assets (like company vehicles or office space) under the company’s name, but this does not give you personal ownership.

Land ownership is still restricted even for foreign companies. In most cases, you can only lease land (Hak Pakai), not own it permanently.

Important Law You Must Know

According to Undang-Undang Pokok Agraria (Basic Agrarian Law) No. 5 of 1960, land ownership is strictly for Indonesian citizens only.

Foreigners can only lease or use property under specific permits (Hak Pakai), but cannot own it.

If property is under your Indonesian wife’s name and both of you leave Indonesia for a long period, the government has the right to reclaim it.

What About Cars and Motorcycles?

Vehicles also must be registered in the name of an Indonesian citizen.

If you are married to an Indonesian, you can register them in your spouse’s name.

If you are not married, you will need a local Indonesian sponsor or company to register the vehicle legally.

Why These Restrictions?

Indonesia’s laws are made to protect local resources and land from being taken over by foreigners. This is common in many countries. These laws ensure that:

Indonesian citizens remain the legal owners of property.

Foreigners cannot exploit the system by buying large amounts of land.

Long-term stability and fairness are maintained for the local population.

Common Mistakes and Scams

Sadly, many foreigners fall into traps of fake agents who promise:

“We can put the land under your name.”

“Pay extra and you will get ownership rights.”

“Investor visa will allow you to buy property.”

Warning: These are lies. No matter what visa you hold (KITAS, KITAP, Investor Visa), the law is the same: you cannot own property in your name.

Lesson for Foreigners in Indonesia

Always research the law before making big purchases.

Never trust agents who claim they can bypass legal restrictions.

If married, understand the risks of buying property in your spouse’s name  what happens in case of separation or leaving Indonesia?

Consider leasing instead of buying if you need long-term use without breaking the law.

Final Words

Living in Indonesia is a blessing, but respecting its laws is a responsibility. The property you see around you belongs to the people of Indonesia – and that is something we must honor.
Do not waste your money on false promises.
Follow the law, and you will avoid stress, financial loss, and possible deportation.

EasyTrans Team