Many Indonesian investors, from young professionals to startups, have started to look at overseas properties as a new way to secure their wealth abroad.
As many as 35 percent of Indonesian investors chose to buy property overseas in the past three years, according to a report by Xavier Marks Indonesia (Xavier Marks).
President Director of Xavier Marks Indonesia, Daniel Sunyoto, said that various reasons have emerged related to this phenomenon, one of which includes opportunities that are considered more stable.
"A healthy economic environment, and foreign investor-friendly regulations, as well as the prospect of capital gains growth driven by tourism and high demand," he said.
This finding illustrates that investors from Indonesia are strategically selective in placing their funds.
"They no longer just see property as a stationary asset, but as a dynamic instrument that moves with the direction of global stability," he said.
The choice, he continued, fell on countries with a more conducive investment ecosystem, where legal certainty and potential returns go hand in hand.
According to Indonesia Property Watch CEO Ali Tranghanda, Japan and Malaysia are now the new magnets for Indonesian investors.
"With strong market fundamentals and political-economic stability in both countries, Indonesian investors now have access to safe and profitable international investment opportunities," he said in a press conference in Jakarta, Wednesday (08/09/2025).
Ali said the reason Japan is a magnet for investors is the potential for strong returns, then low-priced valuable assets
Meanwhile, the reason Malaysia is an investor magnet is its mature digital infrastructure.
Malaysia is considered to have an infrastructure that is better prepared for digital investments, as recognized by technology company Oracle.
"The country offers easy licensing and consistent incentives to attract investors," he said.
Market Expansion to Japan and Malaysia
After successfully expanding his network in Sydney, Australia, Xavier Marks is now expanding to Japan and Malaysia.
President Director of Xavier Marks Indonesia Daniel Sunyoto said that this expansion is part of the company's long-term vision to provide globally integrated property services.
"This expansion is a manifestation of our commitment to provide international standard real estate services while opening up cross-border investment opportunities. We are proud to bring Indonesian passion and professionalism to the global market," he said.
Through the expansion in Japan and Malaysia, it wants to provide a sense of trust and comfort for Indonesian investors who want to invest abroad safely, transparently, and with high potential.
Executive President of Xavier Marks Tokyo Central Albert Pramono said that he was very pleased to be able to bring Xavier Marks to enter the property market in Japan, especially in Tokyo Central, with a focus on house reform projects in strategic areas such as Asakusa, Tokyo.
The Japanese property market is showing a positive trend with land price increases of 5-8% per year and high rental yields driven by tourism growth as well as demand for short-term rentals such as Airbnb. Tokyo offers the perfect balance of stability, security and long-term investment opportunities.
Based on data from the Japan Real Estate Institute (July 2025), the Condominium Price Index in Japan increased by 10.47% year-on-year, while the Global Property Guide (2025) recorded an average rental yield of 6%, especially in Tokyo and Osaka. This growth was also driven by a 40% surge in international tourists during the first half of 2025(Japan National Tourism Organization, 2025), which strengthened demand for short-term rentals.
Executive President of Xavier Marks WellEstate Malaysia Stevie Lee said Malaysia was chosen because of its geographical and cultural proximity to Indonesia, as well as investment policies that are very friendly to foreign investors.
Foreign investors can own properties with freehold status, enjoy low property taxes, and are free from restrictions on repatriation of funds.
"Malaysia is a strategic choice for Indonesian investors because of its economic stability, competitive cost of living, and government policy support for foreign investment," he said.
According to Knight Frank Malaysia Residential Insights (2025), rental yields in Malaysia range from 2.9%-7% depending on location and property type, with strategic areas such as Kuala Lumpur, Johor and Penang offering the highest growth potential. Government policy through the Malaysia My Second Home (MM2H, 2025) program further strengthens Malaysia's position as an investor-friendly destination in Southeast Asia.
