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BALI GUIDE MOORE INFOS Long term rental. Is it necessary to call on a notary?

One of the priorities when you arrive in Bali is to find – most of the time, quickly – accommodation. The offers are numerous, “villa for rent”, “disewakan rumah” mark the edges of the road. Simply dial the “HP” of the Indonesian owner and a few days later … to put down your suitcases. In the end, you became tenants without any special formalities, except of course the payment in advance of one year or more of rent and, unless it is a long-term lease and / or Of an important financial stake, you may not be careful to guarantee your commitments. However, with the unhappy experience of some of our compatriots, it is better to surround oneself with some precautions and not hesitate to call a notary.

“Hukum Perdata”, the Indonesian Civil Code enshrines articles 1548 to 1600 in the “sewa-menyewa” lease contract. Without being exhaustive, it is useful to state here some basic rules.

– as regards the duration of the lease, there is no minimum duration. It may be granted for a maximum period of 20 years which may be renewed. Close to our legislation, the lessor must keep the rented premises in good condition so that the tenant can enjoy without inconvenience.

– major repairs are the responsibility of the lessor, those resulting from a use of the tenant are the responsibility of the latter.

– Indonesian law does not provide for a security deposit, but the landlord is free to request payment in advance of several months’ rent.

– subletting is free.

– any extension or modification requires the agreement of the owner and the prior request to the competent authorities, Dinas Cipta Karya, a building permit (IMB in Indonesian)

– the amount of the rent is freely fixed, there is no legal indexation.

– the contract drawn up by the notary will not fail to recall the rights and obligations of each of the parties as well as any special agreements you may have entered into with your lessor.

The notary will also check your landlord’s identity and ownership. It must be known that most of the time, the spouses are married without a contract, so that they can not dispose of one common property without the other (a rule which is the same for our matrimonial regimes). Consequently, the other spouse will have to intervene in the act. If they have male children, they too will have to intervene in the act (only the boys are concerned, the girls do not enter the succession). If your landlord is the heir of the rented property, he will have to produce a written account of his origins, a sort of genealogical tree, “silsilah” in Indonesian. This document must be countersigned by the Banjar, Kades, or village chief and the Camat, or district chief. If there are several heirs, all will have to intervene in the act or delegate their power to one of them. As for you, as a tenant, you will have to provide a photocopy of your passport which will remain in the notary’s file.

The amount of the monthly rent and the sums you have paid will of course be recorded in the act so that there will be no ambiguity between you and your lessor. The notarial rental agreement ensures the security of your relations with the lessor. If difficulties arise during the lease, the notary will be there to take the necessary measures. And if there must be litigation, it will be much easier to enforce your rights with a notarial deed in hand. Finally, know that the notary’s fees amount to 1% of the transaction.

Renting land naked or sewa menyewa tanah

Opting to rent a plot of land, on which you will erect the villa of your dreams, has advantages of simplicity, security but also a financial interest.

The simplicity: the administrative procedure is lightened and the drafting of the act (lease agreement) is quick even if it is compulsory to call on a notary,

Security: because it will be a notarized deed (see La Gazette de Bali n ° 33 – February 2008) and the notary will verify the identity of your landlord, his title of ownership, etc. And because whatever your nationality, whatever the nature of your visa, Indonesian law fully recognizes to you the right to rent land in the medium to long term.

It is essential to refer to the Hukum Perdata (the Indonesian Civil Code) in order to locate the legislation governing tenancy in conjunction with Act No. 40 of 1996 on land ownership. If, at the end of the Hukum Perdata, no duration for the rental has been foreseen, on the other hand, the legislator of 1996, anxious to preserve the land of its citizens

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