What is 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.
Last updated · Buying & ownership glossary
About Hak pakai
Hak pakai is the main way an individual foreigner can hold a registered title to a house in Indonesia in their own name. Minimum price thresholds for foreign buyers apply and differ by province.
- Also called
- right to use (Indonesia)
- Where it applies
- Indonesia
This is general information, not legal advice. Confirm with a licensed local attorney before you buy.
Related terms
- 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.
- 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.
- 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.