Types of Apartment Certificates: Definition, Differences, and How to Obtain Them

As the price of landed houses continues to rise, apartments have become an increasingly popular alternative for housing, offering various types of apartment certificates. In strategic locations, such as South Jakarta, it is relatively easier to find affordable apartments compared to landed houses. Moreover, subsidized apartments are becoming more widespread.

Living in an apartment also has several advantages. For example, better security, enhanced privacy, and access to facilities that make the living environment much more enjoyable. If you’re less interested in owning a landed house, it’s important to start learning about the different types of apartment certificates. Apartment ownership can be slightly more complex than owning a landed house. Here’s an explanation for you.

Types of Apartment Certificates

To avoid confusion when buying or renting an apartment, here are some types of certificates to consider:

Apartment Ownership Certificate (SHKRS) or Building Use Rights (HGB)

SHKRS or HGB are types of apartment certificates with significant legal standing, making them eligible as collateral at banks. If someone holds this type of certificate, it means they have full rights to use the apartment built on land owned by an individual or developer.

SHKRS or HGB is valid for approximately 30 years. Afterward, the certificate holder must apply for an extension.

Advantages of SHKRS/HGB

• Lower administrative costs
• Safer for long-term residency
• Eligible for use as collateral at banks

Building Ownership Certificate (SKGB)

SKGB is a type of certificate issued when an apartment is built on government-owned or waqf land. Given the nature of the land, SKGB has lower legal standing.

SKGB is typically granted to apartment owners in the form of a copy of the building book, floor plans, and a lease agreement for the land. These documents cannot be used as collateral at banks.

Advantages of SKGB

• SKGB is generally intended for middle- to low-income communities.
• Apartments with this type of certificate are usually more affordable.

How to Process Apartment Certificates

Apartment certificate processing can be handled by the developer or individually. It is generally easier to entrust the process to the apartment management, especially if you are purchasing a subsidized apartment.

The process typically involves the following steps:

1. The developer separates each unit to define private ownership areas and shared spaces.
2. The developer applies for approval of the separation deed from the regional government (level II).
3. Submitting all necessary administrative requirements for certificate issuance, which vary depending on the type of apartment certificate.
4. Certificate issuance.

Conclusion

As a prospective buyer, you should carefully understand and decide on the type of certificate you need for your apartment. If you are planning to purchase a subsidized apartment, Epicentrum Sepatan could be a great choice.

Epicentrum Sepatan is developed by Ingria Group, a trusted developer of subsidized and commercial housing. In addition to Epicentrum Sepatan, there are several other subsidized and commercial housing locations suitable for both residence and investment. Find the best unit at Ingria now!