Lombok is quickly becoming one of Indonesia’s hottest real estate markets. With pristine beaches, growing tourism, and the government’s push to develop Mandalika as a premier destination, more investors are eyeing land in Lombok for villas, resorts, and long-term property gains.

But while opportunities are huge, so are the risks—especially for new investors who don’t understand local rules, land titles, or market dynamics. Making one wrong step can cost you not only money but also your dream of owning property in paradise.

In this article, we’ll break down the Top 5 mistakes new investors make when buying land in Lombok, and how you can avoid them.

1. Ignoring Land Certificates and Legal Status

One of the most common mistakes is buying land without fully verifying its certificate status. In Indonesia, land can have several types of ownership:

• Hak Milik (Freehold) – Only for Indonesian citizens.
• Hak Pakai (Right to Use) – Can be granted to foreigners for personal use.
• Hak Guna Bangunan (HGB) – Often used by foreign-owned companies (PT PMA).

Many investors rush into deals based only on the location or price, without checking whether the certificate is valid, registered, or even in dispute.

👉 Tip: Always conduct a due diligence check at the local land office (BPN) to confirm ownership, zoning, and whether the land is free from legal conflicts.

2. Not Considering Zoning and Building Regulations

You might fall in love with a beachfront plot, but not all land can be developed. The government has strict rules under the Regional Spatial Plan (RDTR) and the Building Approval (PBG) system.

Mistakes happen when investors buy land in restricted zones—such as protected coastline, agricultural zones, or conservation areas—only to realize later that they cannot obtain a building permit.

👉 Tip: Before you buy, consult professionals who can run a zoning check and guide you through the PBG process to ensure your project is legally buildable.

3. Underestimating Infrastructure and Access

Many new investors focus only on the view—mountains, rice fields, or ocean—without checking the basics: road access, water supply, and electricity. A cheap plot may end up costing more if you need to build long access roads or install independent utilities.

👉 Tip: Visit the site in person and confirm access roads are legally recognized, not just “jalan tikus” (informal paths). Check proximity to PLN (electricity), PDAM (water), and other essential utilities.

4. Falling for Unrealistic Promises

The Lombok property market has grown fast, and unfortunately, so have the number of “too good to be true” offers. Some agents or brokers might promise unrealistic ROI, guaranteed villa rentals, or quick appreciation in value without showing real data.

👉 Tip: Always ask for market comparables, rental statistics, and track record. Work only with licensed notaries, registered agents, or consultants who can provide transparency.

5. Forgetting About Ownership Structures for Foreigners

Foreign investors cannot directly own Hak Milik land. Still, many new buyers make the mistake of signing informal agreements, like buying land under a local nominee’s name, which puts them at legal risk.

👉 Tip: The safest route is either:

• Establishing a PT PMA (foreign-owned company) to hold land under HGB, or
• Acquiring land through Hak Pakai if it’s for personal residential use.

Consult a legal professional before signing anything—what looks simple today could turn into a serious issue later.

How to Avoid These Mistakes:

Buying land in Lombok can be the best decision you’ll ever make—but only if you do it the right way. Avoiding these 5 mistakes will save you time, money, and stress.

At Lombok Expert, we guide investors through every stage of the journey: from land due diligence, zoning checks, and permit applications (PBG) to design, construction, and villa management.

About Lombok Expert

Lombok Expert is your trusted partner for real estate investment and villa development in Lombok. We provide end-to-end services including land surveys, property investment consulting, and construction management.

Whether you are planning to build a luxury Lombok villa for personal use or want to expand into the growing Lombok property investment market, our team ensures transparency, professionalism, and peace of mind from the first consultation to project completion.

👉 Learn more about our services on the Lombok Expert Services Page and discover how we can turn your vision into reality.