According to Bank Indonesia’s Q2 2026 survey:
Primary-market residential property prices increased by only 0.69% year-on-year, slightly higher than the 0.62% growth recorded in Q1.
Residential sales remained down by 2.36% year-on-year, although this represented a significant improvement from the 25.67% decline recorded in Q1.
Approximately 70.05% of primary-home purchases were financed through KPR, demonstrating that mortgage interest rates and approval requirements remain crucial. Stringent bank valuations also present significant challenges for buyers.
Price growth varied considerably across cities, property types, and market segments. Therefore, national figures should not be applied directly to every local market. Bank Indonesia
What this means:
For buyers: There is generally a wider selection of properties and more room for negotiation, particularly for older properties, motivated sellers, and listings that have remained on the market for an extended period.
For sellers: Realistic pricing based on an up-to-date CMA is essential in the current buyer’s market. Overpriced properties may take considerably longer to sell.
For investors: Focus on rental demand, net rental yield, location, and the quality of the property. Investors should be increasingly selective when assessing potential opportunities.
For agents: Buyers now require stronger supporting evidence, including comparable transactions, complete legal documents, and clear KPR calculations. Agents must also provide consistent follow-up because buyers have become more conservative and selective.
Demand remains selective, while price growth is modest. In many locations, current market conditions favor well-informed buyers. Nevertheless, properties that are correctly priced, legally secure, and well presented can still sell successfully.
Source: ChatGPT
