Cost of Living
IndonesiaCost of Living
For all you expats thinking of moving to Indonesia in 2026, you may want to know a little bit about rentals costs here. On average, you’ll be looking at around IDR 5,000,000 per month (€300, $320, ₹26,000) for a one bedroom apartment in a city-centre location. you'll need a KITAS (a KITAS is a certificate given by the government that shows your authorisation to live and work in Indonesia for up to 1 year.it has to be extended on a yearly basis) in order to rent the place. Based on other costs such as transport, a gym membership, food, utilities and other amenities, you’d be looking at about IDR 10,000,000 (€600, $640, ₹52,000) a month for one person.
Expats moving to Indonesia are often surprised by just how affordable life can be. While living costs are still higher than in some other countries in South East Asia, generally Indonesia offers better value for money.
Why Choose Indonesia? Indonesia is a fast-paced, dynamic country which offers an incredible lifestyle in a unique cultural setting, making it an increasingly popular destination for expats in search of a lower cost of living. When thinking of moving to Indonesia in 2026, prospective expats should consider rent costs, which will have a significant impact on overall living costs. As of 2023, the average rent for a one-bedroom apartment in the city centre is IDR 5,000,000 (approximately €300 / $320 / ₹26,000) and IDR 3,000,000 (approximately €180 / $192 / ₹15,600) in outskirts of the city.
As the economy is forecast to grow further, Indonesians are expected to increasingly demand more housing in urban areas. As a result, we forecast that rent prices will rise by about 5 to 10 percent a year. To ensure the money you're saving will be enough to cover your cost of living in Indonesia, it's crucial that you plan well ahead of time.
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Negotiating rent prices is common practice in Indonesia, so you might be able to get a better deal. If you’re planning to extend your lease, try to get the price per month down to around 1.5 to 2.5 million rupiah, though some landlords may be more accommodating.
Rent prices are very different from one region to another, and from one type of accommodation to another. In Jakarta or Bali, the cost of living is relatively high. The rent of a one-bedroom apartment in the city center is around IDR 5,000,000 per month. If you choose an apartment located out of the city center, the rent falls to about IDR 3,000,000 per month.
If you're looking for a bit more space, a 3 bedroom apartment in the city centre of Jakarta will set you back approximately IDR 12,000,000. Further out of the city, a 3 bedroom apartment could be found for approximately IDR 7,000,000. Affordable rental properties can be found in various parts of Indonesia. However, city centre apartments tend to cost significantly more than those outside of the central area.
A quick look at living costs in Indonesia shows that they're much lower than in the West, which is obviously one of the main reasons that Indonesia is so popular with expats. Based on several sources, estimates for the monthly cost of living for a single person in Indonesia is in the region of IDR 10,000,000 (approximately €600 or $640 or ₹52,000) for accommodation, food, transport and miscellaneous. For a family of four, costs are likely to be in the range of IDR 30,000,000 (approximately €1,800 or $1,920 or ₹156,000).
You should also factor in utilities and maintenance fees which can differ depending on where you're and how you choose to live in Indonesia. Understanding these costs will help you work out how to manage your budget and afford the standard of living you wish to have in Indonesia.
In Indonesia, when renting a property it's important to be aware of local conditions and laws. In general a lease will be for a minimum of one year and the landlord often requests one to three months’ deposit. A KITAS (temporary stay permit) is required by the foreigner to rent long term and there are many formalities to be negotiated.
it's also important to find out if the landlord is the legal owner of the flat. And it's also recommended to have a rental agreement in written and signed.
Important: Ask for the lease agreement in writing and make sure you understand the terms and conditions before you pay.
Culture is a big word and has a very broad influence on everything we do in our lives, and the renting business isn't an exception. Be prepared to bargain as well as expect that landlords prefer to receive cash or bank transfer. Basic knowledge of the Bahasa Indonesia language is always helpful as well.
Another important aspect to consider is cultural awareness. it's vital to understand the culture of the country where you're going to live and respect the customs and traditions of the local people. it's important to be aware of cultural norms and dress appropriately. If you dress modestly and learn about the local culture you'll gain respect from the people of the country and this will help you build a good relationship with the people of the community where you'll be living.
LAND LAW CONSIDERATIONS WHEN RENTING IN INDONESIA Indonesia’s real estate laws have changed a lot over the years and expatriates renting in Indonesia often make a series of basic and costly errors which could be avoided with a better understanding of the law. In our view there are a minimum of three major errors that expatriates make when renting in Indonesia: – failing to verify and check on a legitimate deed of ownership of the land and/or the building for the landlord or lessor. – not realizing or accounting for the very high costs of maintenance fees, charges and rising costs for utilities.
Another common errors isn't realizing the importance of location and traffic. Indonesia has notoriously heavy traffic. If possible, consider the convenience of the location in relation to your place of work or studies to minimize the amount of lost time on your daily journey.
Rent prices in Indonesia could see a jump in the coming years, especially as the country’s economy is expected to grow further in 2026. Rental prices are expected to climb up to 5 to 10 percent each year due to rising demand in urban real estate. Budgeting your money properly means you have to stay on top of every price that's subject to change, which is why rental price updates are important to be aware of.
Following these developments will keep you well informed when it comes to rental accommodation and will help you lead a reasonable lifestyle in Indonesia.
When comparing rental prices to the rest of the region, it can be seen that Indonesia has rental prices which are more affordable than that of its neighbouring countries. In contrast, rental prices in Singapore and Malaysia are far higher, especially in the central business districts, and many relocation companies in Indonesia find that the quality of accommodation that expats can get at affordable rental prices, can't be rivaled in other countries.
However rent prices can differ significantly in Indonesia in comparison to the countries in South East Asia that we have covered so far. We see that rent prices in Jakarta tend to be higher than in Thailand, but there are also some other cities in Indonesia like Yogyakarta where rent prices are more in line with those in Thailand.
Life as an expatriate in Indonesia can be greatly enriched by some knowledge of Indonesian culture and society. Indonesia also has one of the largest numbers of Indian residents in the world. Indonesia is home to many Indian cultural and social organisations with Indian festivals being celebrated throughout the year with cultural fairs and food festivals at almost every Indian restaurant. Diwali and Holi celebrations are particularly memorable in Indonesia with Indian restaurants in Jakarta and Bali always planning more than just the food to celebrate these festivities.
In Indonesia it's actually quite easy to find groceries and spices originating from India. For instance, a number of Indian grocery shops have been established on Jl. Jaksa in the centre of Jakarta, known as “Little India”. Additionally, at Bali Indian Mart in Ubud you'll be able to purchase nearly all Indian ingredients. But also in terms of social behaviour it's important to take into account the culture of the host country, meaning you need to adjust your way of dressing and behave in accordance with local norms and practices.
Join our Indian community projects to make new friends and expand your social circle. As well as attending fun cultural events, you can get involved in some of the local community groups. It’s a great way to create a network of people to talk to and an opportunity to feel a bit more like you're still at home.
As of 2023, a one-bedroom apartment in the heart of Jakarta has an average rent of around IDR 5,000,000 (€300, $320, ₹26,000).
Yes, renting property in Indonesia is relatively straight forward for expats. However, it's currently necessary to have a KITAS (Limited Stay Visa) for a long term rental. Knowledge of the law is also essential in Indonesia.
Rent in Indonesia is generally higher than in the majority of Indian cities, although the cost of living is still low in relation to expat salaries.
Yes, there's a sizeable Indian community in Indonesia. They reside primarily in Jakarta and in Bali, where they organise various cultural events.
Most rental agreements in Indonesia are for a minimum of 1 year and tenants will have to provide a deposit of 1-3 months’ rental.
Yes, bargaining is a large part of the culture in Indonesia, and negotiating the rent of an apartment will generally yield a lower sum.
it's also important to confirm whether the landlord has a real right to the premises, to find out about any costs that may arise and to verify the location's accessibility.
By understanding these factors, you can rent more successfully in Indonesia and lead a happier expat life.
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Arin Vale