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Everything you need to know before buying real estate is included in our Indonesia Property Pack
Indonesia's residential property market offers a diverse range of pricing across different regions and property types.
The national average price per square meter ranges from 25-35 million IDR ($1,670-2,510), with significant variations between major cities like Jakarta and Bali. Understanding these price differences is crucial for making informed investment decisions in Indonesia's growing real estate market.
If you want to go deeper, you can check our pack of documents related to the real estate market in Indonesia, based on reliable facts and data, not opinions or rumors.
As of September 2025, Indonesia's property market shows substantial regional variations, with Bali commanding premium prices of $3,389-4,065 per sqm while cities like Yogyakarta offer affordable options at $620-1,236 per sqm.
The market has experienced modest growth nationally, though certain areas like Yogyakarta and Medan have seen exceptional price increases of up to 67.8% year-over-year in some property segments.
| City/Region | Average Price per sqm (IDR) | Average Price per sqm (USD) |
|---|---|---|
| Bali | 55-66 million | $3,389-4,065 |
| Jakarta Centre | 27-35 million | $1,670-2,300 |
| Surabaya | ~30 million | $1,840 |
| Medan | ~22 million | $1,360 |
| Bandung | 15-20 million | $940-1,236 |
| Yogyakarta | 10-20 million | $620-1,236 |
Fact-checked and reviewed by our local expert
Daniel Rouquette 🇫🇷
CEO & Co-Founder at Villa Finder
What's the current average price per square meter in Indonesia?
As of September 2025, the national average price per square meter for residential properties in Indonesia ranges from 25-35 million IDR ($1,670-2,510).
This represents the baseline for the Indonesian residential property market, though prices vary dramatically based on location and property type. Major cities command higher prices, with Jakarta's city center averaging 27-35 million IDR per sqm ($1,670-2,300).
Bali stands out as the premium market, with prices reaching 55-66 million IDR per sqm ($3,389-4,065), reflecting its status as Indonesia's primary tourist destination and international investment hub. Secondary cities like Surabaya maintain moderate pricing around 30 million IDR per sqm ($1,840), while more affordable markets like Yogyakarta and Bandung offer entry points from 10-20 million IDR per sqm ($620-1,236).
These figures represent current market conditions and provide a foundation for understanding Indonesia's diverse property landscape.
How do prices differ between property types like apartments, houses, and villas?
Property type significantly impacts pricing across Indonesia's residential market, with villas commanding the highest premiums and apartments offering more accessible entry points.
| Property Type | Location Example | Price Range (IDR/sqm) | Price Range (USD/sqm) |
|---|---|---|---|
| Apartments | Jakarta | 25-35 million | $1,670-2,300 |
| Houses | Jakarta | 18-40 million | $1,200-2,700 |
| Villas | Bali | 55-90 million | $3,389-5,550 |
| Condominiums | Bandung | 10-17 million | $620-1,080 |
| Luxury Villas | Bali Premium Areas | 90+ million | $5,550+ |
Villas in Bali and other tourist-driven regions dominate the high-end market, with entry-level villas starting from $140,000 (2 billion IDR) and luxury properties exceeding $1 million (15+ billion IDR). Houses and apartments provide more affordable options, particularly in secondary cities where market entry becomes accessible for a broader range of buyers.
What are the average prices in major cities and which areas are most expensive, affordable, and fastest-growing?
Indonesia's property market shows distinct regional patterns, with Bali leading premium pricing and secondary cities offering affordable alternatives.
**Most Expensive Areas:** Bali dominates the premium segment, particularly in Nusa Dua, Canggu, Seminyak, and Berawa, where coastal proximity and international appeal drive prices to $3,389-4,065 per sqm. These areas cater to luxury tourism and international investment, creating sustained demand pressure.
**Most Affordable Areas:** Yogyakarta, Bandung, and certain parts of Ubud offer the most accessible pricing, with properties available from $60,000 and price per sqm below $1,000. Small apartments in these markets provide entry-level investment opportunities without sacrificing potential for appreciation.
**Fastest-Growing Areas:** Yogyakarta leads with 8.9% annual growth, while Bali's premium and luxury segments show 10-12% annual increases. Medan has experienced exceptional growth, with some property segments rising 67.8% year-over-year in 2025, making it a notable emerging market.
Current hotspots include Berawa, Canggu, Pererenan, and Ubud in Bali, where development and tourism infrastructure continue expanding. It's something we develop in our Indonesia property pack.
How have property prices changed over the past five years and in the past year?
Indonesia's property market has experienced modest but steady growth over the past five years, with notable acceleration in specific regions during 2025.
**Five-Year Trends:** Property prices have risen approximately 6-8% cumulatively over the past five years, which represents slow but steady growth compared to regional standards. Premium areas in Bali and Yogyakarta have significantly outperformed this average, with top locations seeing increases of 10-51% during this period.
**2025 Performance:** The national average growth has moderated to approximately 1% year-over-year in 2025, reflecting broader economic conditions and market maturation. However, this national figure masks significant regional variations, with premium Bali properties maintaining 7-10% annual growth and Yogyakarta approaching 9% year-over-year increases.
Exceptional performers in 2025 include Medan, Surabaya, and Yogyakarta, with Medan experiencing extraordinary growth in certain property segments. House prices in Medan have surged 67.8% year-over-year, representing one of the most dramatic regional price movements in Indonesia's recent property history.
These trends indicate a market where location and property type create vastly different investment outcomes, with premium and emerging markets significantly outperforming the national average.
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What's the forecast for property prices over the next one, five, and ten years?
Indonesia's property market outlook shows cautious optimism with regional variations expected to continue driving differentiated performance across timeframes.
**One-Year Forecast:** National property prices are expected to maintain steady, low single-digit growth of 0.5-2% through 2026. Premium areas in Bali, Yogyakarta, and Medan are projected to significantly outpace this average with 5-10% annual increases, driven by continued tourism recovery and urban development initiatives.
**Five-Year Outlook:** The Indonesian residential market is projected to achieve a compound annual growth rate (CAGR) of 5-6% nationally through 2030. Bali's luxury segment and emerging urban hotspots are expected to deliver 8-12% CAGR, supported by infrastructure development and international investment flows.
**Ten-Year Projection:** Indonesia's property market is positioned for substantial expansion, with the overall real estate sector targeting $81 billion by 2028. This growth will be driven by urban development initiatives, subsidized housing programs, and continued economic expansion. Premium coastal areas and major urban centers are expected to maintain their performance advantages throughout this period.
Long-term growth drivers include Indonesia's demographic trends, urbanization, and infrastructure development, which should support sustained demand across multiple market segments.
How does Indonesia's average price per sqm compare with other cities in the region and globally?
Indonesia occupies a mid-tier position in regional property pricing, offering attractive value compared to developed markets while commanding premiums over emerging neighbors.
| City/Country | Average Price per sqm (USD, 2025) | Market Position |
|---|---|---|
| Singapore | $15,000+ | Premium Regional Hub |
| Sydney, Australia | $12,000-16,000 | Developed Market |
| Bali, Indonesia | $3,389-4,065 | Premium Tourist Destination |
| Bangkok, Thailand | $2,000-2,500 | Regional Center |
| Jakarta, Indonesia | $1,670-2,510 | Emerging Market Capital |
| Kuala Lumpur, Malaysia | ~$700 | Affordable Regional Option |
Indonesia's positioning shows significant internal variation, with Bali approaching developed market pricing while Jakarta remains competitive with regional capitals. This creates opportunities for different investment strategies, from premium luxury positioning in Bali to value-oriented approaches in secondary Indonesian cities.
The country's pricing advantage over Singapore and Sydney makes it attractive for international buyers seeking regional exposure, while its premium over Kuala Lumpur reflects Indonesia's larger economy and tourism appeal.
What are concrete examples of purchase prices for different property types and sizes?
Understanding actual purchase prices across different property types and locations provides practical insight for potential buyers and investors.
**Jakarta Market Examples:** A 100-square-meter apartment in Jakarta's city center typically costs 2.7-3.5 billion IDR ($180,000-230,000), representing the capital's standard residential pricing. This pricing reflects Jakarta's position as Indonesia's business and financial hub.
**Bali Premium Properties:** A 150-square-meter villa in Bali ranges from 8-12 billion IDR ($560,000-840,000), though smaller villas are available from $100,000-200,000 depending on location and amenities. Luxury properties in prime coastal areas can significantly exceed these ranges.
**Secondary City Options:** Yogyakarta offers exceptional value with 100-square-meter houses priced at 1.1-2.2 billion IDR ($77,000-154,000), making it highly accessible for first-time buyers and value-oriented investors. Bandung condominiums provide urban living options, with 50-square-meter units available for 500 million-1 billion IDR ($35,000-70,000).
**Compact Urban Living:** Ubud apartments demonstrate affordable entry points, with 35-square-meter units available around $70,000, combining Bali's appeal with budget-conscious pricing.
It's something we develop in our Indonesia property pack.
What's the breakdown of total costs including purchase price, fees, taxes, and ongoing expenses?
Understanding the complete cost structure beyond purchase price is essential for accurate investment planning and budgeting in Indonesia's property market.
**Initial Acquisition Costs:** The purchase price represents the base cost, but additional expenses significantly impact total investment. Acquisition duty (BPHTB) adds 5% of the property value, while sellers typically pay 2.5% income tax, though this may affect negotiated purchase prices.
**Transaction Fees:** Legal and notary fees range from 1-2% of the transaction value, ensuring proper documentation and legal compliance. Real estate agent fees typically add 2-3% to the total cost, though these may be negotiable based on property value and market conditions.
**Ongoing Annual Expenses:** Property tax ranges from 0.1-0.3% of assessed value annually, providing relatively low holding costs compared to many international markets. Management and maintenance for villas and apartments typically cost 10-20% of rental income or property value, depending on property type and service levels required.
**Additional Considerations:** Insurance costs vary by location and property type, while furnishing represents an additional expense for investment properties. Foreign buyers may face additional legal structuring costs if establishing PT PMA entities for property ownership.
Total additional costs typically add 8-12% to the base purchase price, making accurate budgeting crucial for investment returns.
What are typical mortgage options and how do financing terms impact affordability?
Indonesia's mortgage market offers several financing options, though terms and availability vary significantly based on borrower status and property type.
**Conventional Mortgages:** Standard bank mortgages offer 5-7% interest rates with terms up to 30 years, providing the most common financing route for eligible borrowers. Down payment requirements typically range from 20-40% of property value, creating substantial upfront capital requirements.
**Alternative Financing:** Sharia-compliant financing provides non-interest margin-based options for religious or preference-based considerations. Developer financing offers flexible terms with shorter durations of 1-5 years, often facilitating easier approval processes but requiring faster repayment schedules.
**Foreign Buyer Considerations:** Foreign nationals can access mortgages but face stricter requirements and higher interest rates of 7-12%. Permanent residency status often facilitates bank loan approval, while others may need to purchase through PT PMA corporate structures with different financing implications.
**Affordability Impact:** Financing terms substantially affect affordability, with Indonesia's interest rates generally higher than Western averages. However, rental properties may yield 5-15% annually, particularly in Bali's premium locations, potentially offsetting financing costs and creating positive cash flow scenarios.
Careful analysis of financing options versus expected returns is essential for investment viability.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Indonesia versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.
What are the smartest choices for different investment strategies: live, short-term rental, long-term rental, or resale?
Different investment strategies require distinct approaches based on location, property type, and market conditions in Indonesia's diverse real estate landscape.
**Buy to Live Strategy:** Focus on secure freehold or long-term leasehold properties in affordable or emerging cities like Yogyakarta, Bandung, or Jakarta's outskirts. Prioritize areas with improving infrastructure and transportation connections for long-term livability and appreciation potential.
**Short-Term Rental Investment:** Bali villas and Jakarta city center condominiums offer the strongest short-term rental potential, with tourist demand driving higher yields. Medan apartments are emerging as alternative options, with some areas showing exceptional rental yield potential of 7-16% annually in Bali's premium locations.
**Long-Term Rental Focus:** Secondary cities including Bandung, Yogyakarta, and Surabaya provide stable pricing and consistent rental demand for traditional long-term tenants. These markets offer lower entry costs with reliable rental income streams and moderate appreciation potential.
**Resale Investment Strategy:** Identify growth hotspots including Yogyakarta's expanding market, Bali's premium areas, and Medan's recent price surge areas. Urban redevelopment projects and infrastructure improvements typically drive the strongest resale appreciation.
Bali and Jakarta work best for Airbnb and short-term strategies, while Yogyakarta, Bandung, and Medan serve traditional long-term rental markets effectively.
Which areas are considered premium, budget-friendly, and upcoming hotspots worth considering?
Indonesia's property market offers distinct tiers catering to different investment budgets and strategies, from luxury premium areas to emerging growth markets.
**Premium Markets:** Bali leads Indonesia's luxury segment, particularly in Seminyak, Canggu, and Nusa Dua, where international tourism and expatriate demand drive premium pricing. Jakarta's Central Business District and Surabaya's prime areas also command premium pricing, while Berawa Beach represents Bali's ultra-luxury coastal market.
**Budget-Friendly Options:** Yogyakarta offers Indonesia's most accessible property market, with apartments and secondary housing providing entry points for first-time buyers and value investors. Bandung maintains moderate pricing with urban amenities, while certain areas of Ubud provide budget access to Bali's market appeal.
**Emerging Hotspots:** Medan demonstrates exceptional recent price growth, making it a key emerging market for speculative investment. Canggu, Berawa, and Pererenan in Bali show continued expansion potential as tourism infrastructure develops. New satellite towns around Jakarta offer growth potential as the capital's urban sprawl continues.
**Strategic Considerations:** Premium areas offer stability and international appeal, budget markets provide accessibility and growth potential, while hotspots deliver the highest risk-reward profiles for active investors.
Location selection should align with investment timeframe, risk tolerance, and specific return objectives. It's something we develop in our Indonesia property pack.
Based on all this, what are the most strategic and financially sound options right now for buyers?
Current market conditions create distinct opportunities for different buyer profiles, with strategic positioning essential for optimal returns in Indonesia's diverse property landscape.
**Premium Buyer Strategy:** Bali luxury villas offer compelling combinations of 10-20% rental yields and strong appreciation potential, while Jakarta CBD apartments provide both resale and rental income opportunities. These markets offer stability and international liquidity for higher-budget investors.
**Mid-Market Investment Approach:** Yogyakarta and Bandung properties deliver exceptional value propositions with high growth potential and lower entry costs. These markets combine affordability with emerging market dynamics, suitable for growth-oriented investors with moderate budgets.
**Rental Income Focus:** Bali properties excel for short-term rental strategies, while Batam offers strong long-term rental yields and Medan provides speculative gains combined with rental income potential. Each market offers different risk-return profiles for income-focused investors.
**Best Resale Potential:** Bali's top tourist areas maintain the strongest resale markets, while Yogyakarta's emerging status and Medan's apartment segments show exceptional appreciation potential. Infrastructure development and tourism growth drive these markets' resale prospects.
**Affordability-Focused Options:** Government-backed or subsidized projects often include VAT exemptions and liquidity support, providing enhanced value for budget-conscious buyers.
Strategic success requires matching location, property type, and total cost analysis with specific investment objectives rather than focusing solely on purchase price considerations.
Conclusion
This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.
Indonesia's property market presents significant opportunities across diverse price points and investment strategies.
Success requires careful location selection, understanding total costs beyond purchase price, and aligning property choice with specific investment objectives, whether for residence, rental income, or capital appreciation.
Sources
- Global Property Guide - Indonesia Price History
- Juwai Asia - Indonesia Property Prices
- BambooRoutes - Average House Prices Indonesia
- Centrarium - Indonesia Property Price Growth
- Bali Villa Realty - Property Costs Bali
- Trading Economics - Indonesia House Price Index
- CEIC Data - Indonesia House Price Growth
- BambooRoutes - Medan Price Forecasts
- Trading Economics - Indonesia Housing Index
- BambooRoutes - Indonesia Real Estate Forecasts