What is hak milik?
Hak milik is freehold ownership of land in Indonesia, the strongest land title there, and it is reserved for Indonesian citizens. Foreigners cannot hold it, and arrangements that put a foreigner's land in an Indonesian nominee's name are not legally protected.
Last updated · Buying & ownership glossary
About Hak milik
Foreign buyers in Bali, Lombok, Sumbawa or the Mentawais therefore use other titles: hak pakai (right to use) for a home, a company holding hak guna bangunan (right to build), or a long lease.
- Also called
- Indonesian freehold
- Where it applies
- Indonesia
This is general information, not legal advice. Confirm with a licensed local attorney before you buy.
Related terms
- Hak pakai
- Hak pakai (right to use) is an Indonesian land title that a foreigner holding a residence permit can use for a home. It is granted for a fixed initial term that can be extended and renewed.
- Hak guna bangunan (HGB)
- Hak guna bangunan (HGB, right to build) is an Indonesian title to construct and own buildings on land for a fixed, extendable term. Indonesian companies, including foreign-owned PT PMA companies, can hold it.
- PT PMA
- A PT PMA is an Indonesian limited-liability company with foreign shareholders. It can hold land under a right-to-build (HGB) title for its business, such as a surf camp or villa rental.
- Leasehold
- Leasehold is the right to use land or a building for a fixed number of years under a lease, after which it returns to the owner. Where foreigners cannot own land — Indonesia, the Philippines — a long registered lease is a common way to secure a villa or surf-camp site.
