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Investing in a villa in Bali comes with more than just picking the right design, budget, or location.
There’s something most people overlook… until it’s too late.
It’s not the layout.
Not the builder.
And not even the view.
It comes down to two simple permits that can quietly make—or—break your entire investment:
- PBG (Persetujuan Bangunan Gedung)
- SLF (Sertifikat Laik Fungsi)
These documents might not sound exciting, but they hold the power to decide whether your villa can be built, rented, or sold legally.
Want your Bali villa to be safe, profitable, and stress-free? Keep reading.
What is a PBG?
PBG is the new version of the old IMB permit. In 2021, the Indonesian government updated the system through Regulation No. 16.
Unlike the IMB, which focused more on a building’s function, the PBG looks deeper into how the building is planned and built.
It checks the structure, design, layout, and how well the project follows zoning rules and local building standards.
If you’re building a new villa, your team will need to apply for this permit before construction begins. Without it, your villa isn’t legally approved to be built—and that can delay or stop your project later on.
How Does PBG Work?
Here’s how the process usually goes:
- You and your architect create a full design and layout.
- The team submits the plan to the local government.
- An inspection is done to make sure the design matches the rules.
- Once approved, your PBG is issued, and construction can begin.
This permit belongs to the landowner or developer, but if you’re buying the villa, it’s your right to ask for a copy. It’s a sign the property was built properly and can be legally used or modified.
Now, let’s talk about the next permit: SLF.
What is an SLF?
Once the villa is finished, the next step is the SLF, or Certificate of Feasibility for Use.
It confirms the property has been built according to the approved PBG and is safe and ready to be lived in—or rented out.
You’ll need this if you plan to apply for a Pondok Wisata license or offer daily rentals on Airbnb or other platforms.
Together, PBG and SLF show the full journey of your villa—from design to safe, finished home.
Why These Permits Matter
Think of PBG and SLF like the foundation and roof of your investment.
With both permits in place:
- You stay legal from the start, so you don’t risk fines or delays
- You can rent your villa without trouble, even on daily platforms like Airbnb
- Your property becomes more trusted, which helps attract renters and future buyers
- You’re ready for licenses like Pondok Wisata (needed for short-term rental)
- You avoid surprises when rules change, because your villa follows current laws
If you ever decide to sell, buyers will feel safer knowing your villa is fully legal and ready to go.
But, Who Should Handle the Permits?
If you’re building from scratch, your architect, developer, or project manager should handle all the paperwork—including applying for the PBG and SLF.
If you’re buying a ready-built villa, always ask for proof that both permits are already in place.
And if you’re not living in Bali full-time, it’s even more important to work with a team you can trust. You won’t be there to visit offices, follow up on approvals, or chase missing documents.
Your team should handle the process, keep you updated, and send you copies once everything is approved.
That’s why choosing a team that understands the full legal process—and actually follows it—is key to keeping your investment safe.
Next Step
Getting permits like PBG and SLF might seem like a small step—but it makes a big difference.
These documents protect your property, open the door to legal rentals, and give your villa long-term value. When you understand the process and work with the right team, everything becomes easier, safer, and more rewarding.
At Bali Villa Realty, we guide you through each step—whether you’re buying a villa with the right permits already in place or building from scratch with trusted professionals.
We’ve helped hundreds of investors avoid costly mistakes and move forward with clarity and confidence.
So, before you rush into buying or building, take a moment to make sure it’s all done right. Because the real value of your investment isn’t just in the design—it’s in the foundation you build it on.
If you have more questions about investing in Bali, click the link below to book your FREE consultation with our team.
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