What is the average rent in Jakarta?

Authored by the expert who managed and guided the team behind the Indonesia Property Pack

Yes, the analysis of Jakarta's property market is included in our pack

Who is the author of this content?

BAMBOOROUTES

A team specialized in real estate investing in APAC countries (Japan, Thailand, Indonesia, Australia, etc.).

We are a team of financial experts, legal professionals, developers, and local real estate specialists dedicated to helping people like you avoid mistakes when investing in real estate in a foreign place, particularly in Jakarta. If you'd like to learn more about us, you can check our presentation page.

How this content was created 🔎📝

At BambooRoutes, we explore the Indonesian real estate market every day. Our team doesn't just analyze data from a distance—we're actively engaging with local realtors, investors, and property managers in cities like Jakarta, Surabaya, and Bandung. This hands-on approach allows us to gain a deep understanding of the market from the inside out.

These observations are originally based on what we've learned through these conversations and our observations. But it was not enough. To back them up, we also needed to rely on trusted resources

We prioritize accuracy and authority. Trends lacking solid data or expert validation were excluded.

Trustworthiness is central to our work. Every source and citation is clearly listed, ensuring transparency. A writing AI-powered tool was used solely to refine readability and engagement.

To make the information accessible, our team designed custom infographics that clarify key points. We hope you will like them! All illustrations and media were created in-house and added manually.

What's the current average rent in Jakarta across the main districts?

Jakarta's rental market shows significant variation across districts, with the Central Business District commanding the highest rents at IDR 18.8 million monthly for a 3-bedroom apartment.

The CBD leads the market with apartments averaging IDR 469,332 per square meter monthly, reflecting its prime location and business infrastructure. South Jakarta follows as the second most expensive area, with typical 3-bedroom rents ranging from IDR 15-17 million monthly and per-square-meter rates around IDR 407,701.

Non-prime areas outside the city center offer more affordable options, with 3-bedroom apartments averaging IDR 11 million monthly. These districts include North Jakarta, West Jakarta, and emerging satellite areas where rental rates per square meter typically range from IDR 350,000 to IDR 400,000.

As of September 2025, rental growth has been modest across all districts, with prime areas seeing 1-3% annual increases while outer districts remain relatively stable. The CBD maintains its premium due to corporate demand and proximity to major business centers.

How do rental prices break down between apartments, houses, villas, and serviced residences?

Serviced residences command the highest rents in Jakarta, typically exceeding IDR 20 million monthly for premium units with full amenities and services.

Standard apartments dominate the rental market, with 3-bedroom units in the city center averaging IDR 18.8 million monthly compared to IDR 11 million in outer areas. These properties offer the best balance of yield and demand for investors.

Houses represent a smaller segment of the Jakarta rental market, with 60-square-meter properties in North Jakarta showing median prices that top other areas, though rental yields typically lag behind apartments. Landed houses appeal primarily to local families seeking more space and privacy.

Villas are scarce within Jakarta proper, with most premium villa rentals concentrated in nearby Bogor or Bali. Within Jakarta, villa-style properties command approximately IDR 20 million or more monthly, targeting high-net-worth expats and executives.

Serviced apartments specifically target expat and corporate clients, offering all-inclusive packages that are typically 20-30% higher than standard apartments but include utilities, housekeeping, and concierge services.

What's the difference in average rent per square meter depending on the property type and location?

Location	Property Type	Rent per sqm/month
CBD	Premium Apartments	IDR 469,332
South Jakarta	Standard Apartments	IDR 407,701
Non-CBD	Standard Apartments	IDR 350,000-400,000
CBD	Serviced Residences	IDR 500,000+
Various	Houses/Mixed	IDR 482,000 (median)
Prime Areas	Villas	IDR 450,000-550,000
Outer Districts	Budget Apartments	IDR 250,000-350,000

What's the typical total monthly cost once you include fees, service charges, and taxes?

The base rent represents only part of the total monthly housing cost, with additional fees adding 7-10% to the overall expense.

Standard rental costs include the monthly rent plus service charges, utilities, and various fees. For a typical 2-3 bedroom apartment renting at IDR 11-19 million monthly, expect additional costs of IDR 1.4-2 million for utilities for families, or around IDR 500,000 for singles.

Service charges and building fees typically add another 2-5% to monthly costs, covering maintenance, security, and common area upkeep. Property tax (PBB) affects all tenants indirectly through rent pricing, while landlords face a 20% tax on gross rental income.

Serviced residences offer all-inclusive pricing that appears higher but often provides better value when considering utilities, housekeeping, and amenities. These properties typically cost 20-30% more than standard apartments but include most additional services.

Initial setup costs include security deposits (typically 1-3 months rent), agent fees, and notary expenses that collectively represent about 7-10% of annual rent value for new tenants.

How do financing costs and mortgage obligations affect the net return for landlords?

Jakarta's mortgage rates averaged 6.87% annually as of January 2025, significantly impacting investor returns on leveraged properties.

Gross rental yields in Jakarta range from 7-12% for apartments, but net yields typically drop 1.5-2 percentage points after accounting for taxes, fees, and maintenance costs. When mortgage financing is involved, the gap between gross and net returns widens further.

Heavy leverage reduces net returns substantially, especially when combining mortgage payments with Indonesia's 20% rental income tax and ongoing property maintenance. Properties purchased with high loan-to-value ratios may see net yields fall to 3-5% even in prime areas.

The downward trend in mortgage rates since 2021 has improved conditions for leveraged investors, but financing costs still represent a major factor in investment calculations. Properties in the CBD and South Jakarta with strong rental demand offer the best risk-adjusted returns for financed purchases.

Cash purchases deliver significantly higher net yields, particularly for properties generating 9-12% gross returns in prime districts where mortgage payments would consume 6-7% annually.

What's the profile of the typical renter in Jakarta—expats, locals, students, or corporate clients?

Jakarta's rental market serves distinct tenant segments, with expats dominating premium districts and locals concentrating in affordable outer areas.

Expat renters primarily target serviced apartments and premium units in the CBD or South Jakarta, often backed by corporate lease agreements that provide stable, long-term income for landlords. These tenants typically seek furnished properties with international amenities and security features.

Local Indonesian renters show strong preference for landed houses and affordable apartments in fringe or satellite districts, focusing on value and proximity to public transportation. This segment drives demand in emerging areas like West and North Jakarta.

Students and young professionals gravitate toward smaller apartments, co-living spaces, and shared accommodations, particularly in areas with good access to universities and business districts. This segment shows higher turnover but consistent demand.

Corporate clients represent the most valuable tenant category, driving demand for prime serviced residences and secure compounds with premium amenities. These tenants often sign longer leases and accept higher rents for quality and convenience.

How do vacancy rates vary across different neighborhoods and property types?

Serviced apartments experienced the highest vacancy rates at 56.8% in Q1 2025, though this represents a 5.4% improvement from the previous quarter.

Prime residential properties in South Jakarta and the CBD maintain much lower vacancy rates around 10-20%, reflecting strong demand from expat and corporate tenants. These areas benefit from consistent occupancy due to their strategic locations and quality amenities.

Office and commercial properties show vacancy rates around 34%, expected to decline slightly by year-end as economic conditions stabilize. The oversupply in serviced apartments reflects government budget shifts and reduced corporate travel.

Standard apartment buildings in non-prime areas typically experience vacancy rates between 15-25%, depending on pricing, condition, and transportation access. Properties near MRT and TransJakarta lines maintain better occupancy rates.

It's something we develop in our Indonesia property pack.

What are the current rental yields, and how do they differ by property class and area?

Area	Property Type	Studio Yield	1BR Yield	2BR Yield	3BR Yield	Average Yield
Jakarta Average	All Types	13.34%	10.39%	12.39%	8.55%	11.17%
South Jakarta	Premium Apartments	9.12%	8.03%	10.26%	9.05%	9-10%
Central Jakarta	Business District	12.97%	10.24%	12.95%	11.99%	11-13%
Non-prime Areas	Standard Properties	4-7%	5-7%	6-7%	3-5%	4-7%
Various	Serviced Residences	7-9%	7-9%	7-9%	7-9%	7-9%

How have rents and yields changed compared to one year ago and five years ago?

Jakarta rental rates showed modest growth over the past year, with prime areas experiencing 1-3% increases while yields remained relatively stable.

The past five years have seen minimal appreciation in apartment price indices, with increases below 2% annually. Rental yields have remained flat during this period, though the emergence of short-term rental platforms has increased competition and options for investors.

Short-term rental revenue through Airbnb averaged IDR 110 million annually (approximately US$6,000) per unit in 2025, representing a 1.4% year-over-year increase. Monthly revenue averaged IDR 9.2 million, showing steady growth in the platform economy.

Serviced residence occupancy declined slightly over the past year, reflecting reduced corporate travel and government budget adjustments. However, prime residential areas maintained stable occupancy and rental rates.

The five-year trend shows Jakarta's rental market demonstrating remarkable stability compared to regional peers, with yields consistently outperforming cities like Singapore, Hong Kong, and Bangkok despite slower capital appreciation.

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's the forecast for rents and yields over the next one year, five years, and ten years?

Jakarta rental forecasts show moderate optimism, with rents expected to increase 2-3% annually over the next five years based on economic growth and urbanization trends.

The one-year outlook suggests continued stability in prime districts, with potential upward pressure on rents due to limited new supply in desirable locations. Yields are likely to remain in the 7-12% range for well-located apartments.

Five-year projections indicate gradual rental growth supported by Indonesia's expanding middle class and continued foreign investment. However, oversupply in certain segments may limit dramatic increases, particularly in serviced apartments.

Ten-year forecasts depend heavily on infrastructure development, particularly the completion of MRT expansion and new business districts. Areas with improved connectivity are likely to see above-average rental growth and yield compression as they mature.

The emergence of co-living spaces and flexible housing solutions may reshape demand patterns, though traditional apartment rentals are expected to remain the market's foundation throughout the forecast period.

How do Jakarta's rents and yields compare to other major Southeast Asian or global cities?

Jakarta leads Asia in rental yield performance, consistently delivering 7-12% gross returns that significantly outperform regional competitors.

Singapore, Hong Kong, and Bangkok typically offer yields in the 2-4% range, making Jakarta particularly attractive for yield-focused investors. The Indonesian capital's combination of reasonable property prices and strong rental demand creates this yield advantage.

Bali provides even higher yields for some villa properties reaching 16%, though these often depend on tourism income and carry higher volatility. Jakarta's yields prove more sustainable due to diverse tenant demand from business, expat, and local markets.

Compared to global cities like London, New York, or Sydney, Jakarta offers substantially higher yields while maintaining lower entry costs for investors. However, these global markets typically provide better capital appreciation prospects over longer timeframes.

It's something we develop in our Indonesia property pack.

What are the smartest options right now for an investor—short-term rentals like Airbnb or long-term leases?

1. **Long-term leases in prime districts** - Corporate and expat tenants in CBD and South Jakarta provide stable income with yields around 9-11% and minimal vacancy risk.2. **Short-term rentals for flexible income** - Airbnb properties average IDR 9.2 million monthly with approximately 50% occupancy, offering 7-9% annual yields but requiring active management.3. **Serviced apartments in business areas** - Target corporate clients with all-inclusive packages, though current oversupply requires careful location selection.4. **Standard apartments near MRT lines** - Transportation connectivity drives consistent demand from local professionals and students, offering reliable 8-10% yields.5. **Emerging district investments** - Areas with planned infrastructure development offer growth potential, though higher vacancy risk requires patience and local market knowledge.

For most investors, apartments in Central and South Jakarta represent the optimal balance of yield, stability, and growth potential. The corporate and expat rental market provides the most reliable income streams, while short-term rentals suit investors seeking higher involvement and flexibility.

It's something we develop in our Indonesia property pack.

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.

Sources

1. Global Property Guide - Indonesia Price History
2. Juwai Asia - Jakarta Property Market
3. Global Property Guide - Indonesia Rental Yields
4. Statista - Indonesia House Prices by City
5. Indonesia Expat - Jakarta Rental Market
6. PWC - Indonesia Tax Guide 2025
7. Statista - Indonesia Mortgage Rates
8. Real Estate Asia - Jakarta Office Vacancy
9. Airbtics - Jakarta Airbnb Revenue
10. Cushman & Wakefield - Jakarta Market Beat