3 Insights Every Buyer Should Know

Buying property in Bali
Buying property in Bali
Image by Andrea Piacquadio from Pexels.

The models developed by the world’s largest real estate company, Keller Williams, inspire us. They focus on training. It’s a critical aspect of how we do business because good training leads to positive mindsets and better customer experiences.

We continually train our team across a variety of skill sets with the Keller Williams system. One important aspect is to listen to client needs, fears and expectations. We hold regular sessions where we discuss and analyze these to see how we can improve our services and the customer experience.

It’s in everybody’s interest to have a smooth; no surprises transaction process and the things we learn from our customers are invaluable in helping us to make this a reality.

We want to share three of these insights with you.

1. How Liquid Is My Investment?

You need to go into your purchase with both eyes wide open. Buying a property is a long-term investment and you’d be wise to be conservative as to how quickly you can sell should you decide you want to. We mentioned in an earlier blog about Capital Appreciation and ROIs, that the days of quick flips and huge returns have been and gone and the market is more sophisticated now than it was just five years ago.

Global changes can have local knock-on effects, which can and do influence markets. Property is not like holding stocks, which can be liquidated in a matter of minutes. There are process and time factors to consider.

2. Be Specific About Due Diligence

The Notary you choose is an independent adjudicator who conducts your Due Diligence and makes sure everything is legal. Remember there are specific things you can ask them to do for you. Always let your Notary know what your plans are for the land or villa you’re buying and give them specific things to check for you.

For example, the Notary will only check the title of the land unless you explicitly ask them to also check for a legal building permit, called an IMB. You’d be surprised at how many people don’t ask their appointed Notary to clarify specific aspects of their Due Diligence.

If you’re looking to buy beachfront land in Canggu with a view to building a villa, you need to be aware of the setback rules, which vary from area to area. Again your Notary, if asked, will check these details for you.

Zoning is one of the most common oversights that buyers neglect to ask about yet it’s something that has all the potential to turn a dream purchase into a disappointing nightmare. It doesn’t matter what the land certificate says, you should always ask your Notary to check it because zoning may have changed since the certificate was issued. A current ITR (Informasi Tata Ruangan) will let you know the zoning so you can be sure you can do what you want to do with the land or property. The ITR will also clarify how much of the land you can actually and legally build on.

3. Be Aware Of Taxes and Fees

There are always ‘hidden costs’ and you need to factor these in whenever you purchase or sell land or property. There’s a buyer’s tax and seller’s tax as well as a Notary fee and the cost of a lawyer should you chose to use one. And as part of the Due Diligence you should also ask your Notary to make sure any Land Taxes have been paid. Any outstanding payments should be up-to-date at the point of transaction.

In some situations, which involve large plots and considerable sums of money, there may also be a Luxury Tax to pay. This is not so common but it can be a pain if you’re not aware so again, ask your Notary to clarify this for you.

We hope these insights help make your property journey in Indonesia a little easier and less stressful and should you have any specific questions you need answers to that aren’t covered here, please feel free to let us know at hello@sevenstonesindonesia.com


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Andrzej Barski

Director of Seven Stones Indonesia

Andrzej is Co-owner/ Founder and Director of Seven Stones Indonesia. He was born in the UK to Polish parents and has been living in Indonesia for more than 33-years. He is a skilled writer, trainer and marketer with a deep understanding of Indonesia and its many cultures after spending many years travelling across the archipelago from North Sumatra to Irian Jaya.

His experience covers Marketing, Branding, Advertising, Publishing, Real Estate and Training for 5-Star Hotels and Resorts in Bali and Jakarta, which has given him a passion for the customer experience. He’s a published author and a regular contributor to local and regional publications. His interests include conservation, eco-conscious initiatives, spirituality and motorcycles. Andrzej speaks English and Indonesian.

Terje H. Nilsen

Director of Seven Stones Indonesia

Terje is from Norway and has been living in Indonesia for over 20-years. He first came to Indonesia as a child and after earning his degree in Business Administration from the University of Agder in Norway, he moved to Indonesia in 1993, where he has worked in leading positions in education and the fitness/ wellness industries all over Indonesia including Jakarta, Banjarmasin, Medan and Bali.

He was Co-owner and CEO of the Paradise Property Group for 10-years and led the company to great success. He is now Co-owner/ Founder and Director of Seven Stones Indonesia offering market entry services for foreign investors, legal advice, sourcing of investments and in particular real estate investments. He has a soft spot for eco-friendly and socially sustainable projects and investments, while his personal business strengths are in property law, tourism trends, macroeconomics, Indonesian government and regulations. His personal interests are in sport, adventure, history and spiritual experiences.

Terje’s leadership, drive and knowledge are recognised across many industries and his unrivalled network of high level contacts in government and business spans the globe. He believes you do good and do well but always in that order. Terje speaks English, Indonesian and Norwegian.

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Ridwan Jasin Zachrie

CFO of Seven Stones Indonesia, Jakarta

Ridwan is one of Indonesia’s top executives with a long and illustrious career in the financial world. He holds several professional certifications including being a Certified Business Valuer (CBV) issued by the Australian Academy of Finance and Management; Broker-Dealer Representative (WPPE); and The Directorship Certification for Directors and Commissioners, issued by the Indonesian Institute of Commissioners and Directors.

His experience includes being the Managing Director at one of the top investment banking groups in the region, the Recapital Group, the CFO at State-owned enterprises in fishery industry and the CEO at Tanri Abeng & Son Holding. He’s also been an Independent Commissioner in several Financial Service companies and on the Audit and Risk Committee at Bank BTPN Tbk, Berau Coal Energy Tbk, Aetra Air Jakarta as well as working for Citibank, Bank Mandiri and HSBC. His last position was as CFO at PT Citra Putra Mandiri – OSO Group.

Ridwan has won a number of prestigious awards including the Best CFO Awards 2019 (Institute of Certified Management Accountant Australia-Indonesia); Asia Pacific Young Business Leader awarded by Asia 21 Network New York USA (Tokyo 2008); UK Alumni Business Awards 2008 awarded by the British Council; and The Most Inspiring Human Resources Practitioners’ version of Human Capital Magazine 2010.

He’s a member of the Board of Trustees of the Alumni Association of the Faculty of Law, Trisakti University, Co-Founder of the Paramadina Public Policy Institute and actively writes books, publications and articles in the mass media. He co-authored “Korupsi Mengorupsi Indonesia” in 2009, which helps those with an interest in understanding governance in Indonesia and the critical issue of corruption. Ridwan speaks Indonesian and English.

Per Fredrik Ecker

Managing Director of Seven Stones Indonesia, Jakarta

Per is the Managing Director of the Seven Stones Indonesia (SSI) Jakarta office and has more than 25-years’ experience in Indonesia, China, and Western Europe. He previously worked in senior management positions with Q-Free ASA, Siemens AG, and other companies in the telecom sector. Over the last six years, he has been the Chairman of the Indonesia-Norway Business Council (INBC) and recently become elected to be on the board of EuroCham Indonesia.

His most recent experience is within Intelligent Transport Solutions (ITS), Telecom, and other sectors within the Indonesian market. He is today through his position in SSI and by representing Norway Connect, promoting Nordic and European companies that would like to explore business opportunities in the Indonesian market. He’s also playing an active role to help create the Nordic House concept in Jakarta that will provide an excellent platform for Nordic companies entering Indonesia, where they’ll find a community that can offer support with trusted information and affordable services to enter this market.