posted by REB Team on October 19, 2015

Buying property or land in Bali, while a very attractive idea can be very daunting and not to mention complicated but it’s not an excuse to take the easy way out. There is a proper way for everything and for something worth having like a home or a land in Bali, you really should be going through the right channels to save yourself a whole load of trouble and stress later on.

There have been many cases where investors enter deals with “middle men” who are not official real estate agents from a registered company, only to find themselves trapped in situations that are just not ideal. One of the more popular reasons for using these “middle men” is of course, the price quoted. You may be delighted with the price that they quote as it will be much cheaper, but you may not know of the risks that you’re taking such as zoning restrictions by the government, which means that the land you’re buying/leasing is not buildable, or there are no road access, or the certificate for the land may be held by the Court or the Land Authority, or the land is in the collateral accounts payable. Other more drastic examples may include that the land may have double or a false certificate, or that the purchase was done without knowledge of or acknowledgement of the landlord of his/her heirs, etc. 

Is that the risk that you would want to take on an investment such as this? So, why not go through the right channels and proper procedure

Many people whom we’ve spoken with all have a few points (or grouses) in common when planning to purchase land or property in Bali. Here a few that we hear the most:

  1. I do not want to pay commission

    Unlike in other countries, here in Bali, Indonesia, the buyer is not required to pay a commission at all. The agent receives a commission from the seller based on the standard rate agreed upon service provided. And this kind of commission does not only apply in Indonesia, it applies everywhere around the world. And it's not merely an empty fee, it's a service that is paid for by the seller. This makes the offer price by the agent more transparent based on owner’s request in contrast to "middle men", who generate profits by marking up prices. And did you know that typically, "middle men" do not actually have direct access to the owner/landlord? They actually need to go through a few more people before they reach the direct land owner. BUT, here is the best part. If you hire an official real estate agent from a registered company, you don’t even have to think about any of this or worry about all the bureaucracy, we will do it all for you. So really, what is a small percentage off the total amount for some peace of mind?

  2. I know the rules

    Unless you work for real estate or related government authorities or the land department, then nobody really know the rules. Not even if you’ve been living here for a few years. So to be completely 100% safe, hire specialists. If you are in need of immediate help, contact us now! Find us here. We are more than happy to hear you out.

  3. Rushing into things

    This is never good, in any situation in the real-world, and especially in the real estate world. Be patient, take the proper road and let your real estate agents do all the hard work for you. Before you know it, you’ll have a nice home, on the land you want, and a proper lease with real certifications, all under your name!

  4. Paying your way out

    We know this is always an option, especially in this part of the world and when a problem arises. But again, why take the risk when you could be putting that cash to good use? Like buying furniture. Or going on a safari. Or the spa. We reiterate that going through the proper channels with real experts is the ONLY stress free and problem-free way with no under-the-table situations involved.

So we hope all of the above points have helped you to make up your mind to choose a proper real estate agent instead of going through your “friend”.

Our team of specialists have a wealth of experience in dealing with real estate here in Bali and Indonesia, with experience since 1998. Why not come in and have a chat with us. We promise you won’t regret it. So contact us now or email us at See you soon!


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