Owning Your Dream Apartment in 2024: Navigating the KPA Requirements and Process

Owning Your Dream Apartment in 2024: Navigating the KPA Requirements and Process

Living in the heart of the city with easy access to amenities is a dream for many. With limited land space in metropolitan areas, apartments have become an ideal housing option for individuals and families.

However, purchasing an apartment outright may not be feasible for everyone. This is where the Kredit Pemilikan Apartemen (KPA), or Apartment Ownership Loan, comes in as a smart solution to owning a vertical residence in the city.

Buying an apartment with KPR?

The good news is that, just like landed houses, in Indonesia apartments can now be purchased with an installment scheme similar to the Home Ownership Credit (KPR) called the Apartment Ownership Credit (KPA).

KPA is a financing solution specially designed to help people own an apartment by paying in instalments.

What is Apartment Ownership Credit (KPA)?

KPA or Apartment Ownership Credit is the solution for you who want to own your dream apartment. Similar to KPR for houses, KPA is a financial product from a bank that allows you to apply for a credit and buy an apartment by paying in installments.

The KPA payment system is similar to KPR. You will pay monthly installments with a predetermined tenor. KPA helps you reach relatively expensive apartments with a lighter payment method.

However, since apartment prices are generally high, KPA requirements may be stricter and can only be met by people with certain incomes. KPA installment tenors are available from 5 to 20 years.

Benefits and advantages of applying for KPA

Apartment Ownership Credit (KPA) is the solution for you who want to own your dream apartment, even if you have limited funds. Just like KPR for houses, KPA allows you to buy a new, used apartment, or even take over the credit from the previous owner.

  • KPA helps you realize your dream of owning an apartment without having to spend all the money upfront.
  • KPA provides a guarantee from the bank in the form of insurance, so you are protected from the risk of credit default.
  • Buying an apartment with KPA, especially with a long tenor, can minimize losses because the selling value of property tends to increase from year to year.


KPA Interest Rates: Types and Ranges

Similar to mortgages, KPA (Kredit Pemilikan Apartemen) also has an interest rate system. The interest rate varies across banks, but currently generally ranges between 4% - 8% for well-known developers.

There are two types of interest rates: fixed and floating. Fixed rates typically apply during the first year of installments, followed by a floating rate system. Some banks also offer fixed rates for 1-15 years of the installment period.

Tips for Choosing a KPA Interest Rate

Before choosing a KPA, consider the following:

  • Compare interest rates across several banks.
  • Select the type of interest rate that suits your needs and financial capabilities.
  • Consider the KPA term.
  • Understand all the fees and terms of the KPA.

Choosing a KPA is a significant decision. Consult a financial or banking expert to help you select the right KPA.

Want to Apply for Home Financing in Indonesia? Find out 10 Important Things to Know Before Applying for KPR in 2024!

What are the Requirements for Applying for a KPA (Apartment Loan)?

Buying an apartment can be a great option for those who want to own a home in a strategic location with complete facilities. One way to finance the purchase of an apartment is through a KPA.

Currently, many banks in Indonesia offer KPA products with various options and requirements. Some banks that work with IDEAL and provide KPA products include Bank Mandiri, Bank Danamon, Bank Permata, OCBC NISP, Bank Panin, Maybank, and CIMB Niaga.

In general, the KPA application requirements at each bank are not much different. Here are some general requirements that you need to meet:

  • Indonesian citizen (WNI) with a minimum age of 21 years or already married
  • Have a permanent job (employee, professional, or entrepreneur)
  • Have a good credit score
  • Have worked for at least 1 year
  • pplicant's age must not be more than 65 years when the tenor ends

In addition to meeting the above requirements, you also need to prepare several documents, such as:

  • Copy of ID card (KTP)
  • Copy of Family Card (KK)
  • Copy of marriage certificate (if married)
  • Pay slip or income statement
  • Copy of savings book
  • Other documents requested by the bank

Each bank or financial institution may have different additional requirements and documents. For more complete information, you can visit the website of the relevant bank. It is recommended to use a KPA consultation service such as Lets Move Group to simplify the process of applying for a KPA for your property.

Applying for a KPA: 3 Easy Steps

The KPA application process is relatively easy and consists of only 3 steps:

1. Submission and Analysis

First, visit a bank that provides KPA and fill out the application form. Complete the required files, such as pay slips, proof of income, and personal data. The bank's analyst team will examine the completeness and your ability to pay the instalments.

2. Interview

If you pass the analysis stage, you will be invited for an interview. The bank team will ask about your work, income, expenses, and debts. Answer honestly and openly to convince the bank that you are eligible for a KPA.

3. Credit Agreement

The final stage is the credit agreement before a notary. At this stage, you will sign the KPA agreement document and submit the apartment's legal documents. After the agreement, you are ready to receive the KPA funds and buy your dream apartment!

Can I Use KPA to Buy a Second-hand Apartment Unit? The answer is, absolutely!

Buying a second-hand apartment can be an attractive option for owning a dream home. The good news is that KPA can be used to buy it, whether it's a new, used, or over-credit unit. So, if you find the apartment you're looking for, don't hesitate to apply for a KPA with the bank.

The KPA application process is easier with Lets Move GroupHere, you can apply for KPR, KPR transfer, and KPA according to your preferences. Applying for KPA to more than one bank is also easy, and the application process assisted directly by professional consultants from Lets Move Group provides security for our customers.

Read 10 Tips to Buy a Second Apartment in Jakarta for Investment and Residence 

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Primary Property

Interest Rate

Floating Rate

Primary Mortage

Rate information

Interest rate is 4.7% fixed for the first 3 years, after that, the rate will move to a floating rate (currently 11%)


  • Permanent employee/self-employed for at least 1 year in the same company/total 2 years of work
  • Professional/Businessman working for at least 2 years in the same field
  • At least 18 years old or married

General Personal Requirements

  • Photocopy of husband’s / wife’s ID card (if married)
  • Photocopy of Family Card
  • Copy of Marriage Certificate (if married)
  • Photocopy of Tax ID Number of Applicant
  • Salary Slip / Certificate of Income for the last 1 month original
  • Photocopy of 3 months bank statements
  • Developer’s House Booking Letter / Broker’s Cover Letter