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Yes, the analysis of Jakarta's property market is included in our pack
Thinking about buying a 3-bedroom apartment in Kemang? It’s a great area, but you're probably wondering: is now the right time to buy, or should you wait for prices to drop?
And what about long-term investment—should you look into other neighborhoods like Menteng or Sudirman where property values might appreciate more over time?
In this article, we’ll answer these questions. We know this market quite well - and we have put all our knowledge in the Jakarta Property Pack.
Will property prices increase in Jakarta in 2025?
Yes, property prices in Jakarta are expected to rise in 2025, driven by a combination of economic growth and urban development initiatives.
Backed by our fresh, in-depth market analysis, we’re confident that Jakarta remains a promising city for both domestic and international investors.
While there are challenges like inflation and potential regulatory changes, the main drivers behind Jakarta’s price growth are strong and persistent.
Demand, especially in the central business districts and emerging suburban areas, continues to outpace supply, making significant price drops unlikely. Additionally, Jakarta's role as Indonesia's economic and cultural hub continues to attract buyers and investors.
Signals pointing to a property price increase in Jakarta
Here are some factors suggesting prices could increase:
The Indonesian government's ongoing infrastructure projects, such as the development of new MRT lines and toll roads, are expected to improve connectivity and accessibility in Jakarta, making properties in these areas more attractive and likely to increase in value.
Jakarta's population growth and urbanization trends are expected to continue, driving demand for housing in both established and developing neighborhoods.
The rise of mixed-use developments and smart city initiatives in Jakarta is attracting both local and foreign investors, which is likely to boost property values in these innovative and integrated communities.
The Indonesian economy is projected to grow steadily, increasing the purchasing power of the middle class and boosting demand for residential properties.
Foreign investment in Jakarta's real estate market is expected to rise, driven by favorable government policies and the city's strategic location in Southeast Asia.
The trend of remote working and digital nomadism is likely to increase demand for flexible living spaces in Jakarta, particularly in areas with good internet connectivity and amenities.
Government incentives for affordable housing projects are expected to stimulate the lower-end market, increasing overall market activity and potentially driving up prices.
Signals pointing to a property price decrease in Jakarta
Here are some factors suggesting prices could fall:
Economic uncertainties, such as inflation and currency fluctuations, could impact consumer confidence and reduce demand for property purchases.
Potential regulatory changes, such as stricter property ownership laws for foreigners, could dampen foreign investment in Jakarta's real estate market.
Environmental concerns, such as flooding and pollution, may deter buyers from investing in certain areas of Jakarta, potentially affecting property values negatively.
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If property prices go up in Jakarta, how much would they increase by?
If real estate prices in Jakarta were to rise in 2025, the increase would likely be around 3% to 7% of their 2024 values.
Typically, real estate in emerging markets like Jakarta appreciates by approximately 3% to 7% annually over the long term. However, fluctuations can occur depending on factors such as location, economic conditions, and property type.
It means that, if you spot a charming 2-bedroom apartment in Menteng for 2 billion IDR today, don't be surprised if it's priced between 2.06 billion and 2.14 billion IDR this time next year.
To give you a better understanding, here is a table that shows 7 types of Jakarta real estate properties, their estimated prices in 2024, and projections for 2025 based on potential price increases of 3%, 5%, and 7%.
| Type of Property | Average Price in 2024 (IDR) | Price in 2025 (3% increase) | Price in 2025 (5% increase) | Price in 2025 (7% increase) |
|---|---|---|---|---|
| Apartment (60 sqm) | 1.5 billion | 1.545 billion | 1.575 billion | 1.605 billion |
| Modern Apartment (75 sqm) | 2 billion | 2.06 billion | 2.1 billion | 2.14 billion |
| Luxury Penthouse (100 sqm) | 5 billion | 5.15 billion | 5.25 billion | 5.35 billion |
| Studio (30 sqm) | 800 million | 824 million | 840 million | 856 million |
| Loft (80 sqm) | 3 billion | 3.09 billion | 3.15 billion | 3.21 billion |
| Townhouse (150 sqm) | 7 billion | 7.21 billion | 7.35 billion | 7.49 billion |
| Investment Property (50 sqm) | 1.2 billion | 1.236 billion | 1.26 billion | 1.284 billion |
Everything you need to know is included in our Property Pack for Jakarta
If real estate prices go up in Jakarta, which areas are likely to see the biggest increases?
Today, people who want to move to Jakarta seek a blend of traditional charm and modern conveniences, which Kemang offers. Hence, we could see a price increase there in 2025.
Also, lately, there's been a shift toward more youthful, vibrant neighborhoods, and Menteng has really taken off.
We like it when information is clear and easy to digest. So, here’s a table that highlights the areas where prices might rise the most, along with the reasons behind those expected increases. It’s very high-level. If you want more details on a specific area, please check our real estate pack tailored to the Jakarta market.
| Neighborhood | Level of Increase | Why |
|---|---|---|
| Kemang | High | Recent development of luxury housing projects and its increasing appeal to expatriates and young professionals, driving demand. |
| Menteng | High | Expected rise due to limited housing stock, upcoming renovations to heritage buildings, and growing demand for prime properties in central Jakarta. |
| Sudirman Central Business District (SCBD) | Medium-High | Ongoing gentrification and new transport links, along with several planned redevelopment projects in the area, are likely to push prices higher. |
| Kuningan | Medium | The shift towards hybrid workspaces is driving demand for residential properties near business districts, combined with new mixed-use developments. |
| Pondok Indah | Medium-High | Eco-friendly urban projects and recent construction of new schools and parks are increasing its attractiveness for families, pushing prices upward. |
| Kelapa Gading | Medium | Investment in local infrastructure, such as the extension of public transport lines and renovation of commercial areas, is boosting long-term value. |
| Pluit | Medium-High | With new cultural and commercial spaces being developed, this trendy neighborhood is seeing increased demand from both residents and investors. |
| Tebet | High | Upcoming large-scale urban regeneration projects and improved public transport access are expected to make this area more desirable. |
| Bintaro | Medium-High | Its proximity to Jakarta, along with new office and residential developments, makes it increasingly attractive to professionals seeking more space. |
| Cilandak | Medium | Gentrification and cultural regeneration projects are attracting new residents, leading to rising prices as the area becomes more fashionable. |
| Pantai Indah Kapuk | High | As new luxury developments are launched, demand for premium housing among wealthy buyers is expected to further increase property values. |
| Ancol | High | Upcoming restoration of recreational areas and high-profile cultural projects are driving a renewed focus on this central, historic location. |
-The best areas to buy a property in Jakarta
If I'm looking to invest in real estate, what types of properties should I focus on for the best value appreciation in Jakarta?
In 2025, Jakarta real estate trends focus on tech-smart, energy-efficient apartments, larger suburban homes for families, properties with outdoor spaces, and eco-friendly buildings—all driving higher demand and prices. Here is a summary.
- Tech-Equipped and Energy-Efficient Apartments:
Driven by remote work and sustainability trends, these homes offer smart technology features and energy-saving systems. They cater to young professionals and tech workers, making them a hot commodity in 2025.
- Family-Sized Apartments in Suburban Areas:
With a growing demand for larger living spaces, especially among families, suburban areas near Jakarta are seeing increased interest. Proximity to green spaces and schools is a major factor driving value.
- Properties with Outdoor Spaces:
Post-pandemic, outdoor spaces like terraces, balconies, or gardens have become highly desirable. In dense cities like Jakarta, these features offer a much-needed escape and are likely to drive up property values.
- Eco-Friendly Buildings with Low Carbon Footprints:
Jakarta's commitment to sustainability is boosting demand for eco-certified buildings. Buyers are increasingly valuing properties that align with the city’s green goals, leading to price appreciation in this category.
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