Townhouse 2BR in Canggu
Canggu · 2 bedrooms
Rp 4.716.464.393
Buying
Buying Property in Bali as a UK Citizen: Ownership, GBP, UK Tax
How a UK citizen can hold Bali property, what villas ask in pounds, paying in rupiah, letting through a PT PMA, and how the UK taxes the income.
Published 3 November 2026 · Updated 3 November 2026 · Rules checked 3 November 2026 · 5 min read
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How a UK citizen can hold Bali property
Article 21 of the Basic Agrarian Law (Law 5/1960) reserves freehold, Hak Milik, for Indonesian citizens. A UK citizen has three lawful routes, the same as any foreigner.
| Route | What you hold | Suits |
|---|---|---|
| Leasehold (Hak Sewa) | A notarial lease for a fixed term, commonly about 25–30 years | A holiday home; letting through a PT PMA if the deed allows |
| Hak Pakai | A registered right to use in your own name, with a KITAS or KITAP | A home you live in, not for letting |
| HGB through a PT PMA | A registered right to build, in your company’s name | A villa run as a rental business |
Property for sale in Canggu
See all 198 →- About the same as the median price of 20 similar leasehold 2-bd homes in Canggu (±30% size, lease 19.5–32.5 yrs): Rp 4.754.000.000.
Villa 4BR in Canggu
Canggu · 4 bedrooms
6% below the median price of 8 similar leasehold 4-bd homes in Canggu (±50% size, lease 16.5–27.5 yrs): Rp 8.692.000.000.Rp 8.163.111.449
Villa 2BR in Canggu
Berawa · 2 bedrooms
22% below the median price of 20 similar leasehold 2-bd villas in Canggu (±30% size, lease 19.5–32.5 yrs): Rp 4.844.500.000.Rp 3.791.311.762
What villas ask in pounds
Converted at Bank Indonesia’s 7 October 2026 rate of IDR 23,708 to the pound, from the medians of completed leasehold villas listed by Baliestate’s partner agencies on 6 October 2026. The rupiah figure is the real one; the pound figure moves with the exchange rate until the day you pay.
| Completed leasehold | IDR | GBP |
|---|---|---|
| 1-bedroom | 2.13bn | about 89,800 |
| 2-bedroom | 3.54bn | about 149,300 |
| 3-bedroom | 5.30bn | about 223,600 |
| 4-bedroom | 10.38bn | about 437,800 |
Moving the money
Bank Indonesia Regulation 17/3/PBI/2015 requires transactions in Indonesia to be settled in rupiah, so agree the rupiah price in the contract and convert before completion. Compare the rupiah that lands, not the headline fee: banks are commonly reported to add 2–5% to the exchange rate. The buyer’s acquisition duty, BPHTB, is up to 5% on a registered transfer and is paid before the notary signs; a leasehold deed costs the notary’s fee, capped at 1% under PP 24/2016.
Letting it out
Letting property is a business, and foreign investment has to take the form of a PT PMA, so a UK owner lets a Bali villa through one, whether to a yearly tenant or nightly guests. Since BKPM Regulation 5/2025 the paid-up capital is IDR 2.5 billion per business line, with an investment plan above IDR 10 billion excluding land and buildings. Nightly letting also needs an NIB with KBLI 55193, a PBG and an SLF.
Count the costs before the yield. Industry sources put net cash 40–60% below a quoted gross yield, and AirDNA measured 57% occupancy across Bali’s short-term rentals in the 12 months to September 2026.
Tax in the UK
HMRC’s rule since 6 April 2025 is that everyone resident in the UK for tax is taxed on the arising basis, on worldwide income and gains, so rent from a Bali villa and a gain on selling it count. The remittance basis that some non-domiciled residents used was replaced on that date by the foreign income and gains regime, which a person newly resident in the UK may be able to claim for a limited period; HMRC’s guidance sets out who qualifies.
The United Kingdom and Indonesia signed a double taxation convention on 5 April 1993, in force since 14 April 1994 and modified by the OECD multilateral instrument; it decides which country may tax which income. How that applies to a villa held through a PT PMA, a leasehold in your own name or a company’s dividends depends on the structure, so take advice from a UK tax adviser and an Indonesian one before you choose it.
Visas, and living there part of the year
Owning a leasehold gives no right to stay. Hak Pakai needs a KITAS or KITAP, and the visa guides compare the Second Home visa, the retirement visas and the E33G remote-worker visa. The United Kingdom was the fifth-largest source of Bali’s direct foreign arrivals in 2025, at 317,520 (BPS Bali), and Baliestate can show its listings’ prices in pounds as well as rupiah.
Common questions
Can UK citizens buy property in Bali?
Not freehold. A UK citizen can take a leasehold, hold Hak Pakai with a KITAS or KITAP for a home they live in, or hold HGB through a PT PMA company, the route for a villa that earns rent.
How much is a villa in Bali in pounds?
At IDR 23,708 to the pound on 7 October 2026, a completed 2-bedroom leasehold villa (median IDR 3.54 billion) was about GBP 149,300 and a 3-bedroom about GBP 223,600.
Do UK residents pay tax on Bali rental income?
Yes: since 6 April 2025 UK residents are taxed on worldwide income and gains, and the remittance basis has been replaced by the foreign income and gains regime. The UK–Indonesia double taxation convention has been in force since 14 April 1994. Take advice in both countries.
Looking for a home in Bali?
Tell the Baliestate assistant your budget and dates. It replies in minutes with homes that fit and books the viewings.
Prices are medians over completed leasehold villas listed by Baliestate’s partner agencies on 6 October 2026, converted at Bank Indonesia’s 7 October 2026 rate, as the currency guide publishes them; rates move daily. Arrivals: BPS Bali, 2025. GOV.UK treaty and remittance-basis pages read on 3 November 2026. General information, not legal, tax or financial advice in Indonesia or the United Kingdom.
Sources and further reading
Related guides
- Leasehold vs Freehold in Bali and Indonesia (2026): Who Can Own
- Bali Villa Rents and Prices in US Dollars, Pounds, Euros and Australian Dollars
- How to Transfer Money to Bali to Buy Property
- PT PMA: when you need one, and when you do not
- Rental income tax in Bali: what actually applies
- Indonesia’s Second Home Visa: Requirements, Cost and What You Get
- Buying Property in Bali as an Australian: Ownership, Money, Tax at Home and What It Costs in AUD