Property Development

Tepi Hutan Villas

Tepi Hutan Villas is a boutique gated development of just 5 villas, ready for you and your family to move in and start living from day one. Designed with real family needs in mind, each villa offers enclosed living spaces for comfort, safety, and everyday ease, while still embracing Bali’s tropical lifestyle through natural light, airflow, and a seamless connection to private gardens and pools. The architecture reflects an upgraded take on traditional design, creating a home that feels warm, functional, and deeply connected to its natural surroundings.

Located in the east area of Ubud and surrounded by multiple international schools, Tepi Hutan offers both convenience and peace of mind for families. With only a limited number of villas available, this is a rare opportunity to secure a ready home in one of Bali’s most desirable living environments. Discover the full concept, layouts, and details by downloading the Tepi Hutan Brochure, or book a private appointment with our team to experience it firsthand. Click to Connect with us or schedule your private viewing, your home in Bali is ready.

Foreigners typically find the leasehold system (Hak Pakai – right to use) more accessible and popular when investing in Bali’s property market. This ownership method, which essentially functions as prepaid rent, dominates approximately 70% of real estate transactions on the island.

When purchasing a leasehold property, buyers can register it under their own name or through a PT PMA (foreign-owned business), securing full usage rights for the duration of the lease—generally spanning 25-30 years.

The financial structure usually requires upfront payment for the entire lease term, with provisions often included for future extensions. This straightforward approach has become the standard pathway for international investors seeking to establish a property foothold in Bali.

A common misconception is that buying a leasehold property in a personal name is more advantageous than purchasing through a PT PMA. In reality, the difference in taxation can be substantial. Holding the property personally can have a major impact on your return on investment and how the income is taxed in your home country.

For example, non-resident income tax is generally 20%, whereas income through a PT PMA is typically taxed at 10%.

In Indonesia, freehold ownership (Hak Milik) is the strongest land title, granting full rights to the owner—including the ability to build. However, foreigners cannot directly own freehold land under current laws.

To legally secure freehold property, foreigners can set up a PT PMA (Foreign-Owned Company). While this structure involves more setup, higher costs, and ongoing compliance, it provides a legitimate path to long-term ownership and business operations.

If you’re considering this route, it’s essential to work with qualified legal and business professionals. Our Year in Bali partners with trusted agencies to guide you through the entire investment process with confidence.

Securing professional legal oversight is essential when finalizing any property transaction in Bali, whether freehold or leasehold.

A qualified notary plays a critical role in conducting comprehensive due diligence, which should include thorough verification of the property title, confirmation of proper zoning classifications, identification of any unpaid tax liabilities, and validation of building permits.

For example, if you’re planning to list your Bali property on short-term rental platforms like Airbnb, it’s essential to verify that the property is located within a designated “Pink Zone.” This zoning designation specifically permits tourist accommodation and short-term rental activities.

This verification process is particularly important in Bali, where unique local conditions can significantly impact property value and usability. Land access represents one of the most crucial considerations—many properties may appear attractive but have complicated or restricted entry routes.

Prospective buyers should specifically investigate accessibility issues and ensure these rights are explicitly documented and negotiated as part of the purchase agreement. Overlooking these due diligence steps can lead to costly complications that might undermine your investment’s security and value.

Foreign investors in Bali are losing real money — not from bad luck, but from avoidable legal mistakes. Here are five that come up again and again.

Nominee Ownership Putting land in a local’s name leaves you with no legal claim. Indonesian courts don’t recognise the arrangement. Fix: Structure ownership through a correctly coded PT PMA instead.

Building Without the Right Permits Illegal construction on protected land gets shut down or demolished — no compensation, no recourse. Fix: Verify zoning, PBG and SLF permits independently before any deal.

Wrong Business Licence Villas operating under the wrong KBLI code face delisting from major booking platforms and become audit targets overnight. Fix: Register the correct NIB and KBLI codes through OSS before the first booking goes live.

Developer Fraud Funds get collected, construction never starts, and by the time complaints are filed the money is gone. Fix: Only transact with developers who have completed projects, verifiable track records and escrow-backed payments.

Forged Land Certificates Physical-only titles are easy to fake and hard to challenge after the fact. Fix: Verify every certificate digitally through the ATR/BPN registry using your own independent notary — never the seller’s.

The same principle runs through all five: independent legal due diligence before anything is signed or paid.

Smarter Property Investment with REID

To make informed decisions in Bali’s evolving property market, we recommend using Real Estate Intelligence Data (REID). This platform offers valuable insights on property trends, rental yields, upcoming developments, and regional performance, helping investors identify the best opportunities and avoid potential risks like market oversupply.

REID also enables micro-location analysis, helping you understand how factors like amenities and proximity impact performance. While Bali’s data landscape is still growing, combining REID’s analytics with local insights can give you a strategic edge—especially in emerging areas.