Know what is a land hpl

Prospective property investors must know what is a land HPL. There are many ownership status that must be known before investing.

Dream of having your own home or open a business on strategic land is no longer just a dream. Can be real you know.

However, behind every process of purchasing property, there are many legal terms that you must understand so as not to be wrong. One of them is land HPL.

Many are not aware that this type of land ownership has different rules compared to ownership rights.

In fact, errors in understanding the type of soil can have a big impact on the future. It’s not impossible, you lose their rights.

Through this article, it will be thoroughly peeled what is a land HPL, who can manage it, and why is it really important for you to recognize the difference with the right to use.

Everything is discussed in a language that is easily digested, so you can make a wiser decision when buying property. Come on, see until the end.

This topic is discussed in full on the SCIREMIFE blog, summarized from various trusted sources so that you are easy to understand.

What is meant by land HPL?

Land HPL is an abbreviation of land management rights. There are many land ownership rights in Indonesia that need to be known.

This is a form of control of land by the state that is submitted to certain institutions, such as local governments, BUMN (state -owned enterprises), BUMD (Regional -Owned Enterprises), or legal entities appointed by the state.

So, even though the land is not a property, the institution given by HPL has the right to manage, plan, and even submit some of its management to third parties.

However, it is important to remember that although it can be managed by other parties, land status remains in the power of the state.

This answers questions from many people: Can HPL land be ownership? The answer is no.

Land with HPL cannot be converted into property rights because of its basic nature as a state land.

What is the HPL certificate?

Many are also curious, what is the HPL certificate? Well, of course many do not know.

This certificate is not proof of personal ownership such as SHM (Certificate of Ownership), but a document stating that an official institution is given the authority by the state to manage a land.

Well, this certificate can be the basis for the issuance of Building Use Rights (HGB) or use rights (HP) on the land.

For example, a BUMN managed to get HPL on a particular land, then rent it to the private sector.

This private party can then build a building with HGB status on the land. But remember, their rights are limited and cannot be inherited or used as a guarantee of debt such as ownership rights.

Can HPL land be sold?

Short answer: no. Because of its status as a state land, HPL land cannot be traded like SHM land.

Even if there is a transaction, what is sold is the right to buildings on the land, not the land itself. Therefore, if you plan to buy property, make sure to check the legality of the land.

Do not let you buy a house that stands on HPL land without knowing the consequences in the future.

Some property sites even disguise the status of HPL with terms such as “rights to use for 30 years” which is actually a derivative right of HPL.

This can cause confusion, especially for those of you who are buying property for the first time. Well, don’t let you not know.

HPL Tanah vs Rights to Use, what’s the difference?

At first glance, the right to use and land HPL looks similar. But actually, there are fundamental differences that you need to understand.

From this table, you can see that the right to use is more flexible for individuals. While HPL is more widely used for large projects or regional management by certain agencies.

Who can get HPL?

According to regulations, HPL can only be given to:

• Government agencies or local governments
• BUMN and BUMD
• Certain authority body
• Legal entity appointed by the government

So, as an individual, you cannot immediately get HPL. However, You can have the right to use building or use rights on land HPL land, as long as there is an official agreement in the form of a Land Use Agreement (SPPT).

Be careful when buying property on hpl land

If you have heard that the house is sold cheaply in a strategic location but the status is not a property rights, it is likely that the land is above the land HPL.

Not that you have to immediately reject it, but make sure you know what the risks are. For example, how long is the HGB validity period? Can it be extended? How is the process?

Keep in mind also, if later the state or HPL holder decides to retrieve the land, then you must be prepared to exit, according to the initial agreement.

Therefore, for the long term, it is safer if you choose a property that stands on SHM or a minimum of pure HGB.

Understand the land status before buying property so that you do not regret later on. Land HPL is legally legitimate, but has a limit that needs attention.

If you need a long -term dwelling, prioritize property with stronger legality such as pure SHM or HGB.

Do not hesitate to consult with a notary or office of BPN (National Land Agency) before the transaction. Because calm in owning a house starts from the certainty of the rights of land.

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