Investment

Bali Villa Due Diligence

The document-by-document checklist that separates a purchase from a lesson — what your notaris checks, and what you should.

Investment · Updated July 2026 · by Casa Living Bali

Every Bali property horror story shares one plot beat: money moved before documents were verified. Here is the verification, in order, so your story stays boring.

The land layer

1) Certificate: your notaris pulls the land certificate and confirms the lessor's name, boundaries and any encumbrances (mortgages, disputes, seizures) at the land office. 2) Zoning: confirm the plot's designation actually permits residential/tourism use — a villa in the wrong zone can't be legally rented and faces enforcement risk (zoning guide). 3) The seller's right to deal: if the 'owner' leases, inherited, or represents family land, verify the chain and required consents. General information, not legal or financial advice — verify everything with a licensed Indonesian notaris and advisor.

The building layer

4) PBG (building approval — successor to the old IMB) matching what's actually built; 5) SLF (function-worthiness certificate) where applicable; 6) rental licensing if income matters (pondok wisata or equivalent for the operating model). Unpermitted structures aren't quirks — they're villas that legally can't operate, insure or resell cleanly. Ask for copies before viewing; sellers with paperwork send it same-day.

The money layer

7) Taxes current: PBB (land/building tax) receipts up to date; 8) utilities and debts: no trailing liabilities that follow the property; 9) the contract itself: extension clause (see why it's everything), successor-binding language, exit/sublet rights, dispute forum, and a bilingual deed with the Indonesian text controlling — read what actually controls.

The physical layer

10) Inspect like an operator: water source and pressure, power capacity, internet options, pool plant, drainage in rain, access road ownership, and construction quality behind the render. Two hours with a builder costs little; skipping it can cost the roof. Then — and only then — money moves, via escrow or staged payments tied to milestones. For a listing that leads with its paperwork, see Casa Infinity Seseh — the live leasehold listing.

Diligence-ready: Casa Infinity's investment pack includes the documents this checklist asks for. Request it →

Frequently asked questions

What documents should I check before buying a Bali villa?
Land certificate and encumbrances, zoning designation, seller's right to lease, PBG/SLF building permits, rental licence, tax receipts and the lease deed's extension and successor clauses — via an independent notaris.
What is a PBG and why does it matter?
The building approval (successor to IMB). Without it the villa can't legally operate as a rental, complicates insurance and hurts resale — a non-negotiable check.
Should I use the seller's notaris?
Use your own independent notaris or legal advisor. Shared representation is a false economy on a six-figure purchase.