Indonesia real estate market — prices, rental yield and trend
- 12-month price change (USD): -6.3%
- Transaction cost: 11.8%
- Bubble-risk band: elevated
Indonesia is one of the 123 property markets Glopra tracks. In local currency the same twelve months read +0.7%; the 7-point gap is the exchange rate, not the housing market.
What a buyer pays in Indonesia
Buying costs — transfer tax or stamp duty, notary, registration and agency — come to about 11.8% of the price here. That is above the 10.2% median across the set — the entry cost is part of the investment case here.
What it earns
We do not publish a price or a rental yield for Indonesia. The public data for this market is limited to index figures that show change over time but no absolute level, and we would rather show nothing than a number we cannot stand behind.
How the tax works. 20% final withholding on the gross rent, with no deductions, for a non-resident without a permanent establishment (Income Tax Law art. 26). Owners who cross the 183-day residence threshold — common among Bali owners — fall instead under the 10% final tax of Government Regulation 34/2017, which is the lower end of the band. No tax treaty reduces the rate: art. 6 of the treaties gives Indonesia unlimited taxing rights over rent. Source: pajak.go.id / Ortax.
Where the price sits against its own history
Prices are -11.9% over five years and -9.6% over ten in local terms. Today’s level is within 7.6% of the country’s own long-run trend, so the price is close to where its own history would put it. Glopra’s bubble-risk score for Indonesia is 73 out of 100 — elevated risk. Of the 58 markets scored, 10 read higher. It combines the deviation from trend, price-to-income and the pace of recent growth — a warning light, not a forecast.
Indonesia house price index, 2016–2026 (2016 = 100)
| Year | Index |
|---|---|
| 2016 | 100 |
| 2017 | 103.2 |
| 2018 | 106.3 |
| 2019 | 107.8 |
| 2020 | 109.1 |
| 2021 | 110.3 |
| 2022 | 112.2 |
| 2023 | 114.3 |
| 2024 | 116.2 |
| 2025 | 117.2 |
| 2026 | 117.6 |
Rebased to 100 in 2016, the index stands at 117.6 in 2026. The series is in local currency, and the twelve-month numbers above show how much of that a dollar buyer actually keeps.
Who can buy in Indonesia
No full ownership; right of use or leasehold. That is the rule a foreign buyer meets first, not legal advice — check the current position locally before you commit.
Sources: GPG Indonesia · globalpropertyguide.com · bi.go.id · numbeo.com. Snapshot: 2026-09-22.
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Related markets: Bali