Can Foreigners Buy Land in Lombok, Indonesia? (2026 Guide)

Yes — foreigners can legally hold and profit from property in Lombok. But not in the same way as Indonesian citizens. Here is what the law actually allows, with no spin.

The three legal paths

1. Leasehold (Hak Sewa)

This is the most common structure for foreign buyers. You sign a long-term lease — typically 25 years — with a renewable clause for another 25 years. You do not own the land title, but you control the asset for up to 50 years, which covers most investment horizons.

Renewal depends on the cooperation of the landowner and is not legally guaranteed. A well-drafted notarial contract with renewal rights clearly stated reduces but does not eliminate this risk. At RumahYa, every leasehold we present has been reviewed for this clause before we show it.

2. PT PMA (Foreign-Owned Company)

A PT PMA is an Indonesian limited liability company that can be 100% foreign-owned in certain sectors, including property development. The company holds the land title (Hak Guna Bangunan — right to build), not you personally.

Setting up a PT PMA in Lombok currently costs around €1,500 in notarial and registration fees. It also requires ongoing compliance: annual reporting, a local director in some cases, and proper bookkeeping. For buyers planning multiple acquisitions or development projects, it is the strongest structure available.

3. Hak Pakai (Right to Use)

Foreigners holding a valid Indonesian residency permit (KITAS or KITAP) can hold property under Hak Pakai — a "right to use" title granted for 30 years, renewable for 20 more. This applies to one property, used as a primary residence. It cannot be used for commercial rental purposes.

If you plan to live in Lombok long-term and already have or intend to get a KITAS, this is a clean, straightforward path.

What is not legal

Nominee structures — where an Indonesian citizen holds the title on your behalf under a private agreement — are illegal under Indonesian law. Contracts structured this way are unenforceable and your investment is unprotected. Some agents still push this model. We do not, and we will tell you directly if you encounter it.

Which structure fits your situation?

It depends on what you want to do with the property:

• Villa for rental income: Leasehold or PT PMA
• Land for development: PT PMA (Hak Guna Bangunan)
• Personal residence with residency permit: Hak Pakai

The honest reality

None of these structures gives you the same security as owning freehold land as an Indonesian citizen would. The leasehold model works — thousands of Europeans have used it successfully in Lombok and Bali — but it requires good legal documentation and a trusted local partner who will still be there in year 24 when renewal comes up.

We do not hide these limits. Understanding them is exactly what allows you to invest safely.