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Makassar's real estate market in 2025 presents compelling opportunities for both investors and those looking to relocate.
As we reach mid-2025, the city's property market shows moderate price growth, expanding suburban developments, and increasing interest from both locals and foreigners. With affordable property prices averaging $90,000-$100,000 for mid-sized homes and rental yields reaching up to 5.7% in suburban areas, Makassar offers attractive investment potential in Indonesia's growing economy.
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Makassar's property market in 2025 offers moderate growth potential with affordable entry points and decent rental yields, particularly in suburban areas.
The city provides diverse property options from $50,000 entry-level homes to $200,000 luxury properties, with growing infrastructure and expat-friendly regulations making it an attractive investment destination.
| Property Type | Average Price Range (USD) | Best Areas | Expected Rental Yield |
|---|---|---|---|
| Entry-level House | $16,000 - $50,000 | Manggala, Outskirts | 4-6% |
| Mid-range House | $90,000 - $100,000 | Biringkanaya, Rappocini | 3-5% |
| Luxury Property | $150,000 - $200,000+ | Tanjung Bunga, Central | 2-4% |
| Apartments/Condos | $30,000 - $120,000 | City Center, Antang | 3-5% |
| Commercial Properties | $40,000 - $150,000 | Central Business District | 5-8% |
| Land Plots | $20,000 - $80,000 | Suburban Areas | N/A (Development) |
What kinds of properties are available to buy in Makassar right now?
Makassar's property market offers diverse options for buyers with different needs and budgets.
Houses dominate the market, ranging from minimalist modern homes to luxury villas, typically located in gated communities or near shopping centers and universities. These properties appeal to families and investors seeking steady rental income from the growing student population.
Apartments and condominiums are increasingly popular, available both in the city center and suburban developments. Many of these are new builds or off-plan developments, offering modern amenities and competitive pricing for first-time buyers.
Townhouses and villas represent the premium segment, particularly favored in suburban areas and new residential clusters. These properties often feature private gardens, parking spaces, and community facilities like swimming pools and security services.
Commercial properties including shophouses (ruko), office spaces, and retail units provide investment opportunities for those seeking higher rental yields in Makassar's growing business districts.
How much did property used to cost there, how much is it now, and what's the forecast for the next few years?
Makassar property prices have shown consistent upward momentum over the past decade due to urbanization and limited land availability in central areas.
As of June 2025, the average house price sits around IDR 1.45 billion (approximately $90,000-$100,000) for a mid-sized home. Price per square meter varies significantly between locations: city center properties cost around $1,536 per m², while suburban areas offer better value at approximately $614 per m².
Current market listings showcase the diversity: entry-level 1-bedroom houses start from IDR 264 million (~$16,000), while 3-bedroom family homes average IDR 1.57 billion (~$97,000). Luxury properties can reach IDR 1.77 billion (~$109,000) for premium locations and high-end finishes.
Market forecasts for the next few years indicate continued moderate price appreciation, driven by ongoing urbanization, major infrastructure projects, and steady population growth. Land scarcity in central and strategic suburban areas will likely push values higher, particularly in neighborhoods with improved connectivity to the airport and business districts.
It's something we develop in our Indonesia property pack.
Is it cheaper and smarter to buy or rent in Makassar in 2025?
The buy versus rent decision in Makassar depends heavily on your timeline and investment goals, with current market conditions favoring buyers for long-term commitments.
| Factor | City Center | Suburbs |
|---|---|---|
| Gross Rental Yield | 2.9% | 5.7% |
| Price-to-Rent Ratio | 34.85 | 17.51 |
| 1-bed Apartment Rent | $179/month | $145/month |
| 3-bed Apartment Rent | $369/month | $288/month |
| Mortgage Interest Rate | ~6% annually | ~6% annually |
| Investment Recommendation | Rent short-term, buy long-term | Buy strongly recommended |
What are the current trends in Makassar's real estate market—who's buying, what's being built, and what's growing?
Makassar's real estate market shows strong momentum driven by diverse buyer segments and strategic development patterns.
Local buyers dominate the market, particularly families seeking larger living spaces and students attending the city's numerous universities. The investor segment is expanding rapidly, including both domestic and international buyers attracted by affordable entry points and decent rental yields.
Development activity focuses heavily on suburban residential clusters, high-rise apartment complexes, and mixed-use projects that combine residential, commercial, and recreational facilities. Developers are responding to demand for modern amenities and integrated community living.
The fastest-growing areas are suburban districts like Biringkanaya and Manggala, where land availability allows for larger-scale developments at competitive prices. These areas benefit from improved infrastructure and connectivity to central Makassar, making them attractive for both residents and investors.
Remote work trends have accelerated demand for properties with home office space and reliable internet connectivity, influencing both new construction designs and renovation projects in existing properties.
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What are the exact steps to buy property in Makassar as a local or a foreigner?
The property purchase process in Makassar varies significantly depending on your citizenship status and chosen ownership structure.
For Indonesian Citizens:
The process is straightforward: identify properties through agents or online platforms, negotiate pricing and terms directly with sellers, conduct comprehensive due diligence with a licensed notary (PPAT), sign the sale and purchase agreement, complete payment arrangements, and register ownership transfer with local authorities. Most transactions can be completed within 30-60 days with proper documentation.
For Foreign Buyers:
Foreigners must choose appropriate ownership structures: Leasehold agreements (typically 25-30 years), Hak Pakai (Right to Use, renewable), Hak Guna Bangunan (Right to Build), or establishing a PT PMA (foreign-owned company) for direct ownership rights. Each option requires specific legal procedures and documentation.
Essential steps include hiring licensed notaries and legal advisors familiar with foreign ownership regulations, conducting thorough due diligence on property documents and ownership history, signing agreements with typical 30% down payments, obtaining appropriate certificates or registering lease agreements, and for investment purposes, considering PT PMA establishment for rental income and property management rights.
Where can I actually find properties for sale—reliable agents, websites, local contacts?
Makassar's property market offers multiple channels for finding suitable investments, each with distinct advantages for different buyer types.
Online Platforms:
- Rumah123 - Indonesia's largest property portal with extensive Makassar listings
- Dot Property - International platform with English-language support
- Lazudi - Focuses on premium properties and international buyers
- Indonesia Real Estate - Comprehensive database with price analysis tools
- Bamboo Routes - Specialized in investment properties for foreign buyers
Local Real Estate Agents: Established agencies with Makassar market expertise provide personalized service, market insights, and negotiation support. Always verify agent credentials and ask for client references before engaging their services.
Network Development: Building relationships with locals, expatriate communities, university contacts, and business networks often reveals off-market opportunities with better pricing and terms. Many quality properties never reach public listings, making personal connections valuable for serious buyers.
What kind of property can I get for different budgets—say $50K, $100K, or $200K?
| Budget Range | Property Options | Typical Locations | Expected Features |
|---|---|---|---|
| $50,000 | Small 1-2 bedroom house, Basic apartment | Suburbs, City outskirts | Entry-level finishes, May need renovation |
| $75,000 | 2-bedroom house, Standard apartment | Developing suburban areas | Basic modern amenities, Small garden |
| $100,000 | 2-3 bedroom house, Mid-range apartment | City fringe, Near shopping centers | Modern finishes, Parking space, Security |
| $150,000 | Large family house, Premium apartment | Established neighborhoods | High-quality finishes, Multiple bathrooms |
| $200,000 | Luxury house, Villa, Penthouse | Prime suburbs, Near city center | Gated community, Pool, Premium amenities |
What are the best neighborhoods or areas to buy in—affordable spots, up-and-coming zones, or upscale districts—and what are their pros and cons?
Makassar's neighborhoods offer distinct advantages and challenges depending on your investment strategy and lifestyle preferences.
Biringkanaya represents the most dynamic growth area, experiencing rapid development with new residential and commercial projects. Its proximity to Sultan Hasanuddin Airport and ongoing infrastructure improvements make it attractive for both residents and investors. Properties here offer good value with strong appreciation potential, though buyers should expect ongoing construction activity and developing amenities.
Rappocini serves as the student district, located near major universities including Hasanuddin University. This area provides stable rental demand from students and young professionals, making it ideal for buy-to-let investors. Property prices remain moderate, but noise levels and temporary tenant turnover are considerations for long-term residents.
Manggala emerges as an up-and-coming area with increasing development interest and affordable entry points. Early investors can benefit from lower current prices and future growth potential as infrastructure develops. However, amenities remain limited compared to established areas, requiring buyers to balance potential returns against current convenience.
Tanjung Bunga offers upscale living near beaches and premium shopping centers, commanding higher prices for luxury properties. This area suits buyers seeking lifestyle amenities and prestige locations, though investment returns may be lower due to premium pricing and limited rental yield potential.
It's something we develop in our Indonesia property pack.
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 general cost of living in Makassar—rent, groceries, transport, utilities, entertainment?
| Expense Category | Monthly Cost (USD) | Additional Notes |
|---|---|---|
| 1-bedroom apartment (city center) | $179 | $145 in suburban areas |
| 3-bedroom apartment (city center) | $369 | $288 in suburban areas |
| Utilities (single person) | $60 | $92 for family of four |
| Internet (50 Mbps) | $34 | Reliable for remote work |
| Food and groceries | $198 | Local markets significantly cheaper |
| Public transport | $4.58 | Taxi 8km ride: $3 |
| Entertainment | $3-24 | Cinema tickets to gym memberships |
How is day-to-day life in Makassar, especially as an expat or digital nomad?
Makassar offers a vibrant lifestyle combining traditional Indonesian culture with modern urban amenities, making it increasingly attractive for expatriates and digital nomads.
The city provides excellent culinary diversity, from traditional Makassarese dishes to international cuisine, with numerous shopping malls, markets, and entertainment venues. Beaches and recreational areas offer weekend escape options, while the compact city size makes navigation manageable.
For digital nomads and remote workers, Makassar's internet infrastructure supports reliable connectivity, with numerous coworking spaces and cafes providing professional environments. The growing expatriate community creates networking opportunities and support systems for newcomers.
Transportation remains affordable and accessible through public transport, ride-hailing apps, and taxis. The city's smaller scale compared to Jakarta or Surabaya means less traffic congestion and shorter commute times to most destinations.
Healthcare facilities include decent hospitals and clinics, with some international-standard medical services available in central districts. Educational options include international schools for expatriate families, though choices are more limited than in larger Indonesian cities.
If I buy and rent long term, which areas should I target, what types of tenants are there, and how much rental income or yield can I expect?
Long-term rental investment in Makassar requires strategic area selection based on tenant demographics and yield potential.
Target Areas for Maximum Returns:
- Rappocini - Student housing market with consistent demand from university populations
- Biringkanaya - Growing families and airport staff seeking modern amenities
- Antang - Established families preferring school proximity and community facilities
- Manggala - Up-and-coming area attracting young professionals and early adopters
- City fringe areas - Balance of affordability and accessibility for various tenant types
Tenant Demographics: University students represent the most stable tenant base, typically signing annual contracts with family guarantees. Young professionals and growing families seek longer-term arrangements in family-friendly neighborhoods. Airport and port workers provide steady demand in areas with good transportation connections.
Expected Rental Yields: City center properties typically yield 2.9% gross returns, while suburban areas can achieve 5.7% gross yields. Properties near universities or in developing areas often outperform these averages, particularly when targeting the right tenant demographic with appropriate property features and pricing.
If I buy and rent short term, what's the situation with tourists or business visitors, what are the rules, where should I invest, and what kind of returns are realistic?
Short-term rental opportunities in Makassar are emerging as the city develops its tourism and business visitor infrastructure.
Visitor Market: Makassar attracts steady business travelers due to its role as South Sulawesi's economic center, plus increasing leisure tourists exploring beaches and cultural attractions. The Sultan Hasanuddin Airport serves as a gateway to eastern Indonesia, creating demand for airport-proximity accommodations.
Regulatory Environment: Foreign property owners can operate short-term rentals through PT PMA companies or under leasehold/Hak Pakai arrangements, subject to local hospitality regulations and tax obligations. Always verify current regulations with legal advisors before establishing short-term rental operations.
Optimal Investment Areas: Biringkanaya benefits from airport proximity for business travelers, Tanjung Bunga attracts leisure tourists with beach access, and city center locations serve both business and tourist segments with convenient amenities and transportation.
Realistic Returns: Short-term rental yields can reach 5-8% gross in optimal locations and conditions, though returns depend heavily on occupancy rates, seasonal variations, and increasing competition from new supply. Success requires active management, competitive pricing, and quality property presentation to maintain high occupancy rates.
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.
Makassar's real estate market in 2025 presents compelling opportunities for both lifestyle buyers and investors seeking affordable entry points into Indonesia's growing property sector.
With moderate price appreciation, decent rental yields, and expanding infrastructure, the city offers balanced risk-return profiles for property investment, particularly in emerging suburban areas with strong growth potential.
Sources
- Rumah123 - Houses for Sale in Makassar
- Dot Property - Makassar Houses for Sale
- Lazudi - Makassar Property Listings
- Indonesia Real Estate - Makassar Properties
- BambooRoutes - Makassar Real Estate Forecasts
- Wise - Buy Property in Indonesia Guide
- Living Cost - Cost of Living in Makassar
- Numbeo - Property Investment in Makassar
- BambooRoutes - Best Areas in Makassar
- Own Property Abroad - How to Buy Property in Makassar