Real Estate Contract Agreement Template for Indonesia

The Real Estate Contract Agreement is a fundamental legal instrument used in Indonesian property transactions to formalize the transfer of real estate ownership between parties. This document is essential when conducting any property sale or purchase in Indonesia, whether for residential, commercial, or industrial purposes. It must comply with various Indonesian regulations, including the Basic Agrarian Law (UUPA), land registration requirements, and local property laws. The agreement typically includes comprehensive details about the property, payment terms, conditions for transfer, and obligations of all parties involved. It becomes particularly crucial given Indonesia's unique land title system and specific requirements for property ownership, especially concerning foreign investment restrictions and regional variations in property regulations. The document serves as the primary reference for the transaction and may be required for various purposes including bank financing, property registration, and future property dealings.

1. Parties: Identification of all parties involved in the transaction, including full legal names, addresses, and ID numbers as required by Indonesian law

2. Background: Context of the transaction, including brief property history and purpose of the agreement

3. Definitions: Definitions of key terms used throughout the agreement, including technical and legal terms specific to Indonesian real estate law

4. Property Details: Comprehensive description of the property including certificate number, land area, building area, boundaries, and land use category as per Indonesian land registration requirements

5. Purchase Price: Detailed breakdown of the purchase price, payment schedule, and payment methods in accordance with Indonesian banking regulations

6. Payment Terms: Specific conditions for payment, including deposits, installments, and final payment requirements

7. Transfer of Title: Process and requirements for legal transfer of property ownership under Indonesian law, including notarial deed requirements

8. Representations and Warranties: Statements and guarantees from both parties regarding property ownership, condition, and legal status

9. Seller's Obligations: Detailed responsibilities of the seller including document provision and property handover requirements

10. Buyer's Obligations: Detailed responsibilities of the buyer including payment and documentation requirements

11. Completion Requirements: Conditions that must be met for successful completion of the transaction

12. Default and Remedies: Consequences and available remedies in case of breach by either party

13. Governing Law: Specification of Indonesian law as governing law and relevant jurisdictional details

14. Execution: Signing requirements and formalities as per Indonesian law