Plan your build

Building or investing in Bali: the process, step by step

The seven stages a foreign buyer goes through to build or invest in property in Bali, who does each step, and the rules that shape it.

Read 9 sources on 2 sites

This is information, not legal advice. Each rule cites the regulation it comes from, read on 2026-10-22. The order below is the usual one; in practice stages 2 and 3 overlap.

  1. Decide and find land

    Start with what a foreigner may hold. Freehold (Hak Milik) is for Indonesian citizens only (UU 5/1960 Article 21). A foreigner resident in Indonesia may hold a right of use (Hak Pakai) or rent land for a building (Hak Sewa) (Articles 42 and 45); a company formed under Indonesian law may hold a right to build (Hak Guna Bangunan) (Article 36). Decide the route before choosing a plot.

    The rules in full

    Then find and price the land. Check what may be built on it: in Bali most buildings may rise no more than 15 metres above ground (Bali Provincial Regulation 2/2023, Article 100).

    Read: can a foreigner own land in Bali

    Choose firms for this stage5

    In our default order. Open a profile to see the sources behind each fact.

  2. Design and permits

    Have the building designed and approved. The technical plan (architecture, then structure, mechanical, electrical and plumbing) goes to the regency or city to obtain a building approval, the PBG, before construction (PP 16/2021 Articles 253 and 255). For most buildings the technical review is set at no more than five sessions within 28 working days (Article 254(8)).

    Read: building permits: PBG and SLF

    Choose firms for this stage42

    In our default order. Open a profile to see the sources behind each fact.

  3. Build

    Appoint a builder and someone to watch the build for you. Construction businesses need a business certificate, the SBU (UU 2/2017 Article 30(1)). Each stage of the works is supervised, notified to the regency through SIMBG, and inspected before the next starts (PP 16/2021 Article 59).

    Read: how to hire a builder in Bali

    Estimate your build budget

    This multiplies your floor area by the building rates that firms publish on their own websites. It is not a quote and not an estimate of any one project. What a rate includes differs from firm to firm, so read the note under each one. Information, not financial advice.

    At IDR 4,500,000 and IDR 20,000,000+ per m²
    Floor areaAt the lowest rateAt the highest rate
    100 m²IDR 450,000,000IDR 2,000,000,000+
    200 m²IDR 900,000,000IDR 4,000,000,000+
    300 m²IDR 1,350,000,000IDR 6,000,000,000+
    400 m²IDR 1,800,000,000IDR 8,000,000,000+
    At USD 600 and USD 2,500+ per m²
    Floor areaAt the lowest rateAt the highest rate
    100 m²USD 60,000USD 250,000+
    200 m²USD 120,000USD 500,000+
    300 m²USD 180,000USD 750,000+
    400 m²USD 240,000USD 1,000,000+
    Choose firms for this stage52

    In our default order. Open a profile to see the sources behind each fact.

  4. Fit-out

    Interiors, gardens, pools and energy systems, often by specialist firms working alongside or after the main builder. Include them in the build programme so they do not hold up the certificate of fitness for use, the SLF, which a building needs before it is used (PP 16/2021 Article 1).

    Read: building permits: PBG and SLF

    Choose firms for this stage35

    In our default order. Open a profile to see the sources behind each fact.

  5. Operate

    Run the property, yourself or through a manager. Renting a villa to guests brings it under the regional hotel tax (PBJT), which covers villas and private homes used as hotels at a rate of at most 10% set by each regency or city (UU 1/2022 Articles 53 and 58). The SLF is renewed after an inspection, on a cycle set by building type (PP 16/2021 Article 297).

    Read: villa management fees explained

    Choose firms for this stage37

    In our default order. Open a profile to see the sources behind each fact.

  6. Live and stay

    If you will live in the house, your right to own it depends on your immigration status: a foreigner who owns a home must hold immigration documents under Indonesian law (PP 18/2021 Article 69(1)).

    Read: can a foreigner own land in Bali

    Choose firms for this stage12

    In our default order. Open a profile to see the sources behind each fact.