What does a notary do in a Bali property purchase?

In most of the world you would have your own lawyer. In Indonesia the equivalent function sits with a notary, and the single most consequential decision in your transaction is whose notary it is.

Notaris and PPAT

A Notaris is a public official authorised to draw up authentic deeds: contracts, company formation documents, powers of attorney, leases, wills.

A PPAT — *Pejabat Pembuat Akta Tanah* — is specifically authorised to execute deeds transferring registered land rights and to lodge them with the land office. A PPAT has a defined territorial jurisdiction.

Most practitioners hold both appointments, which is why the terms get used interchangeably. The distinction matters because only a PPAT can execute an AJB, the deed of sale and purchase for a registered right, and only a PPAT with jurisdiction over that area can do it for that parcel.

A leasehold, by contrast, is a notarial deed rather than a land office transfer, because Hak Sewa is not a registered right.

What they actually do

Verify the title against the land office record: parcel number, area, boundaries, registered owner, encumbrances.

Confirm the seller's identity and authority, including spousal consent where the seller is married, since jointly held property cannot be disposed of without it.

Check encumbrances — mortgages, caveats, registered rights, existing leases.

Draft the deed in Bahasa Indonesia, which is the version that governs regardless of any translation.

Calculate and handle the taxes: BPHTB for the buyer, income tax on the seller's disposal.

Execute the deed with both parties present, or under a valid power of attorney.

Register the transfer at the land office and obtain the updated certificate.

What they do not automatically do is advise you on whether the deal is good, negotiate on your behalf, or run the deeper checks — zoning against the spatial plan, permits, access, customary constraints — unless you instruct and pay for them. Ask for a written due diligence report explicitly.

Why the seller's notary is a problem

It is standard practice in Bali for the agent to introduce a notary. That notary has an ongoing commercial relationship with the agent, who has an interest in the deal closing.

None of this requires anyone to behave improperly. It simply means nobody in the room is working solely for you. Questions do not get asked. Discoveries get characterised as minor. The contract gets drafted to a standard that is adequate rather than protective.

Engaging your own notary costs a small amount more and is the only independent check in the entire transaction. I would treat it as non-negotiable.

If the seller insists on their notary executing the deed, which happens, you can still engage your own to conduct due diligence and review the draft before you sign. That gets you most of the protection.

Fees

Notary and PPAT fees for a property transaction typically run one to two and a half percent of transaction value, covering the deed, registration and statutory work. The scale is regulated but there is genuine negotiation in practice, particularly on larger transactions.

Due diligence beyond the basic title check is usually separate: USD 1,500 to USD 3,000 on a mid-sized purchase, USD 5,000 to USD 8,000 on a larger one.

Get the fee in writing, itemised, before you engage. Ask specifically what is included and what is extra, because "the notary fee" quoted casually often means the deed only.

Choosing one

Independence first. Not introduced by the agent or the seller.

Correct jurisdiction. For a registered transfer, the PPAT must have authority over the regency the land sits in.

Experience with foreign buyers. The structures differ, the questions differ, and a practitioner who does this weekly will spot things one who does not will miss.

Willingness to produce a written report. If they will not put the findings in writing, you have nothing.

Someone who will explain the Indonesian text. You are signing a document in a language you probably do not read. The notary walking you through it clause by clause is part of the job.

Recommendations from buyers, not agents. Ask people who have completed transactions who they used and what went wrong.

What to insist on

A written engagement letter setting out scope and fee. A written due diligence report before any money moves. A draft deed for review with enough time to have it read independently. A sworn translation of what you are signing. Confirmation the land office record was inspected directly, not a copy relied upon. And the updated certificate delivered to you after registration, which is the step that proves the transfer actually completed.

That last one gets forgotten. Follow it through to the certificate.