Jakarta’s dynamic energy is contagious, and you’ve decided to join the excitement! But with a bustling city like this, finding the perfect second apartment can feel overwhelming. Don’t worry, we’ve got you covered.
This guide unveils 7 key tips to navigate Jakarta’s rental market and land your dream second apartment. From pinpointing your priorities to understanding local contracts, we’ll equip you with the knowledge to find a place that reflects your lifestyle and budget.
1. Define Your Goals
Are you prioritizing rental income or capital appreciation? Rental income requires a unit in a high-demand area with good amenities, while capital appreciation might focus on up-and-coming neighborhoods.
2. Understand Foreign Ownership
Unlike some countries, Indonesia doesn’t allow foreigners to own land outright (Hak Milik). Foreigners can only acquire leasehold rights through various titles.
Hak Pakai (Right to Use): This is the most common option for foreigners, granting you the right to use a property (usually residential) for a set period, typically 25 years, with the possibility of renewal for another 25 years.
Restrictions Apply: There might be minimum property value requirements and land size limitations placed on foreign ownership, especially in prime locations.
Alternative Routes for Foreigners
PT PMA Company: Establishing a foreign investment company (PT PMA) allows you to indirectly own property through the company. This process involves more complex regulations.
Local Partner: Some foreigners choose to partner with a local Indonesian citizen who holds the property title. This approach requires careful legal agreements and a high level of trust between partners.
3. Location is Key
Consider your daily routine. If you’re working in the Central Business District (CBD), look for an apartment with good access to public transportation like the MRT or TransJakarta. This can significantly reduce commute times and frustration.
Think about your daily needs. Is it important to be near grocery stores, restaurants, or entertainment options? Living close to these amenities can save you time and money, especially if you don’t have a car.
4. Choose the Right Amenities That Suits Your Needs
Not all amenities are created equal. Prioritize features that suit your needs and add value, like a gym, swimming pool, or 24-hour security.
Working from home? Good soundproofing and designated co-working areas can be lifesavers. If you have a dedicated workspace at home, these features might not be as crucial.
5. Factor in Maintenance Costs
In Jakarta, most apartments have a monthly “IPL” fee (Iuran Pengelolaan Lingkungan) that covers building maintenance, common area upkeep, and sometimes utilities. Ask about the IPL fee upfront and understand what it covers.
While the IPL covers general maintenance, consider the age and features of the apartment. Older buildings might require more frequent repairs, which could be your responsibility depending on the lease agreement.
6. Work with a Reputable Agent
A good agent will have in-depth knowledge of different neighborhoods, vacancy rates, and current rental trends. They can guide you towards areas that align with your needs and budget.
Lets Move Group as a trusted property platform, is ready to help you in your journey to buy apartments and land in Jakarta, Bali and surrounding areas. Visit the Lets Move Group website to get complete information about second-hand and new apartments, both for investment and comfortable living.
As a smart buyer, you should be careful in choosing a second-hand serviced apartments in Jakarta. Don’t let your dream of owning the best apartment in Jakarta give you an unpleasant experience.
7. Due Diligence is Crucial
Always verify property documents, land titles, and the developer’s reputation. Consider hiring a lawyer to ensure a smooth transaction of accommodation in Jakarta.
Buying New Apartments vs. Second Apartments
Jakarta’s real estate market offers a plethora of options, from gleaming new high-rises to established apartments with character. When considering a second apartment, deciding between a fresh-off-the-press unit or a pre-loved gem becomes a key step.
Pros and Cons of Buying New Apartments
Pros
- Modern Amenities: State-of-the-art features like gyms, swimming pools, and rooftop gardens are often standard in new developments serviced apartments.
- Energy Efficiency: Newer buildings are generally designed with eco-friendly features, potentially leading to lower utility bills.
- Lower Maintenance Costs: New apartments typically require less immediate maintenance compared to older units.
- Potential Incentives: Developers might offer first-time buyer incentives or government grants on new apartments.
- Warranty Coverage: New builds often come with warranties for appliances and structural components, offering peace of mind.
Cons
- Higher Price Tag: New apartments typically carry a premium price tag compared to established properties.
- Potential Delays: Construction delays can be a risk with off-plan purchases, pushing back your move-in date.
- Limited Character: New apartments might lack the unique charm or established community feel of older buildings.
- Uncertainty about Appreciation: Predicting how a new area will appreciate in value can be tricky.
Pros and Cons of Buying Second Apartments
Pros
- More Affordable: Pre-owned apartments are generally more budget-friendly, offering a lower entry point and best for vacation rentals.
- Proven Location: Established neighbourhoods accommodation often boast mature infrastructure, access to amenities, and a sense of community.
- Greater Negotiating Power: You might have more room for negotiation on price with a second-hand apartment in Indonesia.
- Immediately Habitable: Skip the construction wait; you can move in and start enjoying your space right away.
Cons
- Higher Maintenance Costs: Older apartments may require more frequent repairs and upgrades, leading to additional expense, especially in South Jakarta.
- Potential Renovations: Outdated features or layouts might necessitate renovations, adding to initial costs.
- Investigation: Investigate the building’s history for potential structural issues or hidden problems before buying.
- Limited Amenities: Older apartments might lack the range of modern amenities found in newer developments.
- Less Energy Efficient: Older buildings might be less energy-efficient, potentially leading to higher utility bills.
Hunt Your Ideal Second Apartments in Jakarta!
By following these 7 tips, your hunt for the perfect second apartment in Jakarta should be smooth sailing. Remember, prioritize your needs and don’t be afraid to negotiate. With a little patience and perseverance, you’ll find a place that feels like home in this bustling city. Happy hunting!
