Authored by the expert who managed and guided the team behind the Indonesia Property Pack
Everything you need to know before buying real estate is included in our Indonesia Property Pack
Can you actually buy property in Makassar as a foreigner in 2026?
The short answer is yes, but with some important rules around land rights, minimum prices, and visa requirements that you need to understand first.
This guide breaks down everything you need to know about buying residential property in Makassar as a foreign national, from legal ownership structures to mortgages and taxes.
And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in Makassar.
Insights
- Foreigners in Makassar must spend at least IDR 2 billion (roughly USD 125,000) to buy a landed house, which pushes most buyers toward mid-to-upper market segments rather than entry-level homes.
- The Hak Pakai (Right to Use) system in Makassar gives foreigners a legally registered property right that can be renewed, inherited, and even used as mortgage collateral, though it is not freehold ownership.
- Bank Indonesia held its benchmark rate at 6% in late 2025, but foreign buyers in Makassar typically face mortgage rates between 9% and 13% with down payments of 30% to 50%.
- Permata Bank launched a dedicated expatriate mortgage program in mid-2025, making it one of the few Indonesian banks actively targeting foreign home buyers in cities like Makassar.
- Buyer-side closing costs in Makassar typically range from 6% to 9% for resale properties, with the BPHTB acquisition tax alone accounting for about 5% of the purchase price.
- Annual property tax (PBB-P2) in Makassar is modest by Western standards, usually running between IDR 1 million and 5 million per year for a home purchased at the IDR 2 billion threshold.
- Coastal development zones near Tanjung Bunga and the Center Point of Indonesia corridor in Makassar carry extra zoning and flood-risk considerations that standard residential areas do not have.
- Rental income from property in Makassar is treated as a final tax object under Indonesia's PPh Pasal 4(2), meaning foreign owners must budget for withholding or final tax compliance on lease proceeds.
- The ATR/BPN land office in Makassar offers a certificate verification service that foreign buyers should use before signing any deposit agreement to confirm title type, owner identity, and lien status.
What can I legally buy and truly own as a foreigner in Makassar?
What property types can foreigners legally buy in Makassar right now?
Foreigners in Makassar can legally purchase landed houses (under a Hak Pakai land right) and strata-title apartment units, but they cannot buy freehold land or properties priced below the government's minimum threshold.
The two biggest requirements are that you must hold valid Indonesian immigration documents and that the property must meet the minimum price floor, which is IDR 2 billion for a landed house in South Sulawesi as of the first half of 2026.
This price floor means that many entry-level homes in Makassar are off-limits to foreign buyers, so you will likely find yourself looking at newer developments and mid-to-upper market neighborhoods like Panakkukang or the Tanjung Bunga corridor.
Apartments and strata units have their own price thresholds set by ministerial decree, and the specific floor depends on the location category assigned to Makassar.
Finally, please note that our pack about the property market in Makassar is specifically tailored to foreigners.
Can I own land in my own name in Makassar right now?
No, foreigners in Makassar cannot hold freehold land title (known as Hak Milik) in their own name under Indonesian law.
The legal alternative is to hold a landed house under Hak Pakai (Right to Use), which is a formally registered land right that you can renew, inherit to eligible heirs, and even pledge as mortgage collateral.
Your ownership is real and recorded at the land office, but it is not the same as freehold, so you will need to follow Indonesia's renewal and eligibility rules over time.
As of 2026, what other key foreign-ownership rules or limits should I know in Makassar?
As of early 2026, the most impactful rule beyond the price floor is that coastal and reclamation-adjacent zones in Makassar (such as the Tanjung Bunga and Center Point of Indonesia corridor) can carry extra zoning and permitted-use restrictions that do not apply to standard residential areas.
Indonesia does not impose a foreign-ownership quota on apartments or condos the way some other countries do, so there is no percentage cap on how many units in a building can be foreign-owned.
However, you will need to register the transfer at the local ATR/BPN land office and ensure your immigration documents comply with PP 18/2021, which is a formal approval and registration requirement rather than just a formality.
There has been no major regulatory overhaul announced for 2026, but the government periodically updates price thresholds and procedural rules, so always verify the current ministerial decree before signing anything.
What's the biggest ownership mistake foreigners make in Makassar right now?
The single biggest mistake is buying a property under a nominee arrangement where the title sits in an Indonesian citizen's name and the foreign buyer relies on side contracts for protection.
If something goes wrong, your "ownership" becomes a messy contract dispute rather than a clean registered property right, and Indonesian courts may not enforce agreements that circumvent the foreign-ownership rules.
Other classic pitfalls in Makassar include failing to verify the certificate at the land office before paying a deposit, buying in a coastal zone without checking flood risk and zoning, and assuming a marketing map matches the legally registered boundaries.
We have made this infographic to give you a quick and clear snapshot of the property market in Indonesia. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.
Which visa or residency status changes what I can do in Makassar?
Do I need a specific visa to buy property in Makassar right now?
You need valid Indonesian immigration documents to complete a property purchase in Makassar, which means a tourist visa is generally not enough for the ownership registration step even though you can view and negotiate on one.
The most common blocker for foreigners without local residency is not having immigration documents that meet the requirements referenced in PP 18/2021, so you will typically need a work permit, retirement visa, or another long-stay category.
A local tax ID (NPWP) is often requested by notaries and banks during the transaction, and even for cash purchases having your tax paperwork ready will make closing smoother because BPHTB payments and reporting steps are tax-adjacent.
Foreign buyers should expect to present their passport, valid visa or stay permit, tax identification, and proof of funds, with exact requirements varying slightly by notary and whether a mortgage is involved.
Does buying property help me get residency and citizenship in Makassar in 2026?
As of early 2026, buying property in Makassar does not automatically grant you residency or citizenship, though owning real estate may support certain long-stay visa applications as evidence of ties to Indonesia.
Indonesia does not have a traditional "golden visa" program where a single property purchase unlocks permanent residency, so you should treat ownership as helpful background rather than a guaranteed pathway.
Long-stay options include the retirement visa (for those 55 and older), investor visas, and work-based permits, each with its own eligibility rules that you can confirm through Indonesia's immigration office.
We give you all the details you need about the different pathways to get residency and citizenship in Makassar here.
Can I legally rent out property on my visa in Makassar right now?
Your visa status does not typically prevent you from earning rental income as a property owner in Makassar, but you will need to comply with Indonesia's tax rules on that income regardless of where you live.
You do not need to be physically present in Indonesia to rent out your property, though you will need a local representative or property manager to handle tenant relations and tax withholding if you are abroad.
The key detail for foreign landlords is that rental income from land or buildings is treated as a final tax object under PPh Pasal 4(2), and short-term rentals (like Airbnb) can trigger additional licensing and building-use issues depending on the property type and complex rules.
We cover everything there is to know about buying and renting out in Makassar here.
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How does the buying process actually work step-by-step in Makassar?
What are the exact steps to buy property in Makassar right now?
The standard sequence in Makassar is: choose a qualifying property, run title and lien checks at the land office, negotiate price and terms, sign a preliminary sale agreement (PPJB) with a deposit, execute the transfer deed (AJB) before a notary or PPAT, pay all taxes and fees, and then register the transfer at BPN to update the certificate.
You do not always need to be physically present because many steps can be handled through a properly drafted power of attorney, but expect at least one identity-verification moment, especially if a bank mortgage is involved.
The deal typically becomes legally binding for both parties when the transfer deed (AJB) is signed before the PPAT or notary, which is why you should complete all your due diligence before that step.
From accepted offer to final registration, a straightforward transaction in Makassar usually takes between 4 and 12 weeks, though complex title situations or bank financing can extend that timeline.
We have a document entirely dedicated to the whole buying process our pack about properties in Makassar.
Is it mandatory to get a lawyer or a notary to buy a property in Makassar right now?
A PPAT (land deed official) or notary is effectively mandatory for documenting and registering a property transfer in Makassar because the deed they prepare is central to the land administration system.
The key difference is that a notary or PPAT handles the official documentation and registration process, while a lawyer provides independent legal advice, contract review, and representation if disputes arise.
If you hire a lawyer, make sure their engagement scope explicitly includes reviewing the title status at BPN, confirming the property qualifies for foreign ownership, and flagging any zoning or encumbrance issues before you sign the preliminary agreement.
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 checks should I run so I don't buy a problem property in Makassar?
How do I verify title and ownership history in Makassar right now?
The official registry you should use is the local ATR/BPN (National Land Agency) office in Makassar, which offers a certificate verification service to confirm title type, owner name, and property boundaries.
The key document to request is the land certificate itself (Sertifikat Hak Atas Tanah), which shows whether the property is Hak Milik, Hak Pakai, or another right type, and lists the registered owner's name.
A reasonable look-back period for ownership history in Makassar is 10 to 15 years, which helps you catch any irregular transfers, disputes, or overlapping claims that might not show up in a single-snapshot check.
A clear red flag that should stop or pause your purchase is any mismatch between the seller's identity and the name on the certificate, or any ongoing dispute notation, inheritance claim, or court case attached to the property record.
You will find here the list of classic mistakes people make when buying a property in Makassar.
How do I confirm there are no liens in Makassar right now?
The standard way to confirm there are no liens or encumbrances is to ask your PPAT or notary to run a certificate check at the ATR/BPN office, which will show whether the property has any registered mortgage security rights (Hak Tanggungan) or other claims.
The most common type of lien to ask about specifically is a bank mortgage (Hak Tanggungan), which means the seller has an outstanding loan secured against the property and must clear it before or at closing.
The best written proof of lien status is a formal statement or printout from the BPN verification confirming the certificate is clean, or if there is an encumbrance, documentation of the release plan tied to closing funds.
How do I check zoning and permitted use in Makassar right now?
The authority to check zoning and permitted use in Makassar is the city's spatial planning office (Dinas Tata Ruang) or the local government unit responsible for issuing building permits and land-use classifications.
The key document or reference is the city's spatial planning map (Rencana Tata Ruang Wilayah or RTRW) and, for individual properties, the building permit (IMB or PBG) that confirms the structure is approved for residential use.
A common pitfall foreign buyers miss in Makassar is assuming that a property in a coastal or reclamation-adjacent zone like Tanjung Bunga is standard residential when it may carry extra restrictions, flood exposure, or permitted-use limitations that affect insurance and renovation plans.
Buying real estate in Makassar can be risky
An increasing number of foreign investors are showing interest. However, 90% of them will make mistakes. Avoid the pitfalls with our comprehensive guide.
Can I get a mortgage as a foreigner in Makassar, and on what terms?
Do banks lend to foreigners for homes in Makassar in 2026?
As of early 2026, some Indonesian banks do lend to foreigners for home purchases, but it is not the default offering, and you should expect stricter documentation requirements and fewer product options than local buyers have.
The realistic loan-to-value (LTV) range for foreign borrowers in Makassar is typically 50% to 70%, which means you will need a down payment of at least 30% and often closer to 50% depending on your income profile and the bank's risk appetite.
The single most common eligibility requirement is having verifiable income in Indonesia, such as through local employment or a business, along with valid immigration documents that show you can legally stay in the country.
You can also read our latest update about mortgage and interest rates in Indonesia.
Which banks are most foreigner-friendly in Makassar in 2026?
As of early 2026, the most foreigner-friendly bank with a publicly announced expatriate mortgage product is Permata Bank, while large national banks like Bank Mandiri and BCA may finance foreigners on a case-by-case basis with stricter underwriting.
What makes Permata more foreigner-friendly is that they launched a dedicated expatriate mortgage program in mid-2025 specifically designed for foreign buyers, rather than treating expat lending as an exception to their standard products.
These banks generally require some form of local residency or income link to Indonesia, so true non-residents (buyers with no Indonesian visa or income) will find it very difficult to qualify for a mortgage in Makassar.
We actually have a specific document about how to get a mortgage as a foreigner in our pack covering real estate in Makassar.
What mortgage rates are foreigners offered in Makassar in 2026?
As of early 2026, foreign borrowers in Makassar can expect mortgage interest rates in the range of 9% to 13% per year, typically floating after any initial promotional period, with the exact rate depending on your income profile and the bank's assessment of risk.
Fixed-rate mortgages in Indonesia are rare and usually only fixed for a short introductory period (1 to 3 years), after which the rate converts to a floating rate that moves with bank lending benchmarks, so foreign buyers should budget for potential rate increases over time.
We made this infographic to show you how property prices in Indonesia compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
What will taxes, fees, and ongoing costs look like in Makassar?
What are the total closing costs as a percent in Makassar in 2026?
Buyer-side closing costs in Makassar typically total around 7% to 8% of the purchase price for a standard resale property in 2026.
The realistic range is 6% to 9% for resale transactions, while new builds from developers can push total costs to 8% to 18% depending on how VAT and other taxes are structured in the purchase price.
The main fee categories are the BPHTB acquisition tax (around 5%), notary and PPAT fees (1% to 2%), and smaller costs like document stamps, certificate checks, and translations.
The single biggest contributor to closing costs in Makassar is the BPHTB (Bea Perolehan Hak atas Tanah dan Bangunan), which is a local acquisition tax that alone accounts for roughly 5% of the taxable transaction value.
If you want to go into more details, we also have a blog article detailing all the property taxes and fees in Makassar.
What annual property tax should I budget in Makassar in 2026?
As of early 2026, a reasonable annual property tax (PBB-P2) budget for a home purchased at around IDR 2 billion in Makassar is between IDR 1 million and IDR 5 million per year, which is roughly USD 60 to USD 300 or EUR 55 to EUR 280.
Annual property tax in Makassar is assessed as a small percentage of the property's NJOP (government-assessed value), which is typically lower than the market price, resulting in effective rates between 0.05% and 0.3% of NJOP depending on property size and location.
How is rental income taxed for foreigners in Makassar in 2026?
As of early 2026, rental income from property in Makassar is treated as a final tax object under PPh Pasal 4(2), with effective rates that depend on your tax residency status and whether the tenant is an individual or a company that withholds tax at source.
Foreign owners typically need to ensure that either the tenant withholds and remits the appropriate tax, or they file and pay the final tax themselves, with lease documents structured to reflect the correct tax treatment.
What insurance is common and how much in Makassar in 2026?
As of early 2026, annual home insurance premiums in Makassar typically range from IDR 1.5 million to IDR 5 million for a property insured at around IDR 1.5 billion in building value, which is roughly USD 90 to USD 300 or EUR 85 to EUR 280 before add-ons.
The most common coverage type is Fire/FLEXAS insurance, which protects against fire, lightning, explosion, aircraft impact, and smoke, with earthquake and flood coverage available as add-ons.
The biggest factor that makes insurance premiums higher or lower in Makassar is location: properties in flood-prone low-lying areas or coastal zones like Tanjung Bunga will pay more for comprehensive coverage than homes in elevated, well-drained neighborhoods.
Get the full checklist for your due diligence in Makassar
Don't repeat the same mistakes others have made before you. Make sure everything is in order before signing your sales contract.
What sources have we used to write this blog article?
Whether it's in our blog articles or the market analyses included in our property pack about Makassar, we always rely on the strongest methodology we can ... and we don't throw out numbers at random.
We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.
| Source | Why It's Authoritative | How We Used It |
|---|---|---|
| PP No. 18/2021 (JDIH BPK RI) | Indonesia's official implementing regulation for land rights and registration. | We used it to define what rights foreigners can legally hold in Makassar. We cross-checked foreigner eligibility clauses with ministerial and immigration rules. |
| ATR/BPN Decree 1241/2022 | The formal ministerial decision setting minimum price floors for foreigners. | We used it to pin down the IDR 2 billion threshold for South Sulawesi. We triangulated values with reputable secondary summaries. |
| Permen ATR/BPN No. 18/2021 | Official publication portal for Indonesian regulations. | We used it to understand procedural rules for land rights. We avoided relying on blog-style interpretations. |
| Directorate General of Immigration | The government body in charge of visas and stay permits. | We used it to ground what valid immigration documents means in practice. We cross-checked with PP 18/2021 requirements. |
| Indonesia eVisa Portal | Official entry point for Indonesian electronic visas. | We used it to anchor visa terminology and current categories. We kept visa guidance accurate for January 2026. |
| DG Tax (DJP) PPh 4(2) Page | Official Indonesian tax authority explanation of final income tax objects. | We used it to confirm rental income is a final tax object. We translated that into practical budgeting for foreign owners. |
| PP No. 34/2016 (DJP) | Official regulation on income tax for property transfers. | We used it to anchor seller-side transfer tax rates. We explained what costs are typically buyer versus seller. |
| Law No. 28/2009 (BPK RI) | National law that set the framework for key local transaction taxes. | We used it to support BPHTB logic and the 5% acquisition tax base. We paired it with Makassar's local regulations. |
| Perda Kota Makassar No. 1/2024 | Makassar's own binding local tax regulation. | We used it to keep Makassar-specific cost discussions accurate. We cross-checked with the city revenue office portal. |
| Bapenda Kota Makassar | The city's official office for local taxes like PBB and BPHTB. | We used it to confirm where Makassar taxes are operationally handled. We anchored payment channel information here. |
| Reuters (Bank Indonesia Rate) | High-quality financial newswire quoting central bank decisions directly. | We used it to anchor the December 2025 benchmark rate for mortgage estimates. We triangulated with BI datasets. |
| OJK Regulation No. 13/2024 | The financial regulator's formal rule on lending rate transparency. | We used it to justify relying on published bank lending rates. We explained why advertised rates can differ from effective rates. |
| OJK Circular 6/SEOJK.05/2017 | Regulator's reference for property insurance tariff setting. | We used it to ground insurance as a regulated product with structured pricing. We converted that into annual budget ranges. |
| ATR/BPN Certificate Check Service | Official ATR/BPN page describing title verification procedures. | We used it to describe the certificate verification step. We built the due diligence checklist around this service. |
| Jakarta Post (Permata Bank) | Major national newspaper reporting a specific bank program launch. | We used it as evidence that dedicated expat mortgage products exist. We avoided pretending all banks lend equally to foreigners. |
| BPS Kota Makassar | Indonesia's official statistics agency at the city level. | We used it to confirm real administrative geography and neighborhood names. We kept location examples grounded in actual districts. |
We created this infographic to give you a simple idea of how much it costs to buy property in different parts of Indonesia. As you can see, it breaks down price ranges and property types for popular cities in the country. We hope this makes it easier to explore your options and understand the market.
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