Product overview & core proposition

What is Paradyse Homes?

Paradyse Homes is one of the first VC-backed residential co-ownership platforms in Bali that lets international buyers invest in Bali villas from USD $20,000 for a 1/8 share. Each 1/8 share provides 44 personal use days per year. Unused days enter Paradyse’s rental pool and generate rental income delivered to owners (typical net return ~10–15% p.a. on unused days).

How does the co-ownership model work?

Each property is owned by an Indonesian SPV (a dedicated PT) created for that villa. Buyers purchase Class B shares in the SPV; Paradyse holds Class A shares and operates the asset. Shareholders receive usage rights, a pro-rata share of rental income, and economic upside through the SPV.

What is the minimum investment?

USD $20,000 per 1/8 fractional share.

Can I buy more than one fraction?

Yes. Investors can purchase up to 4/8 (50%) of a property to increase usage days and exposure.

Legal structure, compliance & risk management

Is this legal for foreigners?

Yes. Ownership is structured through an SPV (PT) using leasehold (Hak Sewa) or corporate titles (HGB) when appropriate — structures compliant with Indonesian law and processed by licensed Indonesian notaries.

Am I an owner of the property?

You become a shareholder in the SPV that legally owns the property. That share conveys pro-rata economic rights, usage entitlements, and participation in profits as specified in the Shareholder Agreement.

What documents will I sign?

Typical documents: Share Subscription Agreement (SSA), Shareholder Agreement, Management Agreement, and the SPV’s corporate documents. All legal documents are vetted by local notaries and a Jakarta law firm.

Do you use nominee structures? Is that risky?

Paradyse does not rely on opaque nominee ownership. The model uses standard corporate structures (PT PMA/SPV) and leasehold/HGB titles consistent with foreign investment practices in Indonesia.

What due diligence is performed?

Each property undergoes legal due diligence by a licensed Indonesian notary: title checks, zoning/IMB permits, lease terms, encumbrances, and developer credentials. Buyers can review due diligence reports and engage independent counsel.

What protections against fraud / disputes?

Agreements include dispute-resolution provisions (mediation/arbitration), clearly stated governance for SPV decisions, and transparent reporting/audit mechanisms.

Titles, leases & end-of-term matters

What is leasehold, freehold, HGB?

  • Freehold (Hak Milik): Indonesian citizens only.

  • HGB (Hak Guna Bangunan): Right-to-build, available to companies (including PT PMA).

  • Leasehold (Hak Sewa): Right to use/occupy for a defined term (commonly 24–30 years for foreigners) — renewable. Paradyse’s properties are typically offered with 24–30 year leases and options/extensions managed on owners’ behalf.

What happens at the end of the lease?

Paradyse will negotiate extensions with the landowner on behalf of the SPV. Extension terms depend on the landowner and market conditions; the team pursues renewal options proactively.

Purchase process, payments & refunds

What are the steps to purchase?

  1. Choose property & share.

  2. Sign the Share Subscription Agreement.

  3. Transfer 20% refundable deposit.

  4. Paradyse sources remaining co-owners and completes due diligence (up to 120 days).

  5. Transfer the balance (remaining 80%).

  6. SPV is set up and you become a shareholder.

  7. Enjoy usage + rental returns.

Is the deposit refundable?

Yes — if Paradyse cannot complete the purchase due to insufficient co-owners or failed due diligence, your deposit is fully refundable.

Can I finance my purchase?

Financing is generally limited for fractional shares; purchases are typically cash. If financing becomes available for specific deals, Paradyse will disclose terms.

Costs, fees & funds

What’s included in the share purchase price?

Your share of the property cost plus: legal setup, SPV creation, notary and due diligence fees, turnkey furnishing and appliances, interior design and listed closing costs.

What ongoing fees should I expect each year?

Owners pay: Operating Fund contributions (day-to-day costs), a Special Reserve Fund for capital repairs, and a small platform fee (currently $150 per year per co-owner). Exact amounts vary by villa and are published in each villa’s prospectus.

What are the Operating Fund and Special Reserve Fund?

  • Operating Fund: day-to-day running costs (management, housekeeping, utilities, accounting).

  • Special Reserve Fund: capital repairs and major replacements (recommended minimum ~2% of property value). Funds are set annually; surpluses roll over and shortfalls are billed pro-rata.

Does Paradyse take hidden mark-ups?

No. Paradyse does not take hidden markups on operating costs; leasing commissions are market-standard and deducted from gross rental income before distribution.

Usage & bookings

How many usage days do I get?

Each 1/8 share = 44 days per year.

How do I book my days?

Bookings are made via the Paradyse Owners Platform (app/dashboard). You can reserve stays 7 days to 24 months in advance depending on rules for the property.

Can I book peak holiday periods?

Owners can request peak dates; each owner may typically book one peak holiday per year. Peak booking windows open up to 24 months in advance. Conflicts in high-demand periods are resolved by a lottery, with rules to prevent repeated monopolization (e.g., cannot book same peak holiday 3 years in a row).

What if I want more usage instead of rental income?

Buy additional shares to increase your allocated days. Unused days are optional for rental — you decide through the platform.

Do I coordinate with other co-owners directly?

No. Paradyse handles coordination and scheduling between co-owners via the owner platform.

Rentals, income & ROI

What happens to days I don’t use?

Unused days enter the rental pool. Paradyse manages listings, guest relations, and pricing; net rental income is distributed pro-rata to owners.

How is rental income distributed and reported?

Rental income is reported quarterly and distributed annually after deducting operating costs, commissions, taxes, and reserve contributions. Owners get a detailed year-end statement showing allocations.

What ROI can I expect?

Projections use AirDNA, comparable listings, and independent appraisals. Typical market ranges in Bali are 10–15% p.a. on unused-days income (actual returns vary by property, seasonality, and usage).

Are returns guaranteed?

No. Paradyse provides conservative, data-driven forecasts — no guaranteed returns. Forecasts rely on occupancy, ADR, seasonality, and operating budgets.

If I use many of my days, does my ROI fall?

Yes. Personal usage reduces rentable days and therefore rental income. The model assumes owners balance usage with rental for income; owning additional fractions increases personal days without sacrificing ROI from separate shares.

What happens if rental income is lower than forecast?

Paradyse uses conservative forecasting. If actual results are lower, owners bear the difference proportionately — forecasts are intended as realistic ranges, not promises.

Management & operations

Who manages the property?

A licensed Bali property management team contracted by Paradyse handles daily operations: housekeeping, maintenance, guest services, bookings, and compliance.

How is maintenance handled?

Maintenance is executed by vetted local contractors. Routine costs are from the Operating Fund; capital repairs are from the Special Reserve Fund. Most routine issues are targeted to be addressed within 24–48 hours, and urgent issues are addressed immediately.

What standards are used for cleaning and guest readiness?

Paradyse applies hotel-grade cleaning checklists and a post-stay reset process to ensure owners find the villa consistently prepared.

Taxes & accounting

How do taxes work on rental income?

Rental income is subject to Indonesian withholding tax (deducted before distributions). Owners are responsible for declaring income in their home jurisdictions. Paradyse provides tax reporting documentation; consult your tax advisor.

What taxes when selling PT PMA shares?

Sale of PT PMA shares by a foreign shareholder typically carries a final tax of 5% on the gross transfer value (subject to tax treaty relief where applicable). (Example explained in villa prospectus.)

Are financials audited?

Owners receive quarterly reporting and an annual reconciliation. Annual audits or third-party accounting reviews can be made available per the SPV’s governance rules.

Exit, resale & inheritance

Can I sell my fractional share?

Yes. Shares can be sold subject to SPV/shareholder agreement terms (initial lock-in periods may apply). Paradyse operates an internal resale marketplace and works with external brokers to help owners exit.

Note: Resale support facilitates transactions but does not guarantee liquidity or timing.

How is resale price set?

Owners can set asking prices. Market value, rental performance, and demand influence pricing. Transfer procedures, taxes, and administrative fees apply.

How long does a transfer usually take?

Transfers often complete within 30–45 days, subject to notary, regulatory, and buyer readiness.

What taxes apply when selling?

A final tax on gross transfer value typically applies (see tax section); net capital gains tax rules vary by residency and tax treaty.

Can I pass the share to heirs? Do I need a will?

Yes — shares can be inherited. Because Indonesian probate and cross-border inheritance can be lengthy, Paradyse recommends having both a domestic will (your home country) and an Indonesian will to simplify transfer and notarization locally.

Property sourcing, quality & delivery

How are properties sourced?

Paradyse partners with reputable Bali developers and vetted builders. Selection focuses on prime locations, build quality, rental demand, and yield potential.

Are properties off-plan or completed?

Paradyse offers a mix: off-plan, under construction, and completed properties. Delivery timelines depend on the project and are published in each prospectus.

Can I view a property before investing?

Yes. In-person viewings in Bali and virtual video tours are available. Scheduling is flexible for international buyers.

What’s included in turnkey delivery?

Furnishings, fixtures, appliances, and homewares are included as described in the villa prospectus — turnkey ready for owner use and short-term rental.

Booking rules, cancellations & disputes

What are cancellation and forfeiture rules?

Booking cancellations and forfeiture terms vary by property and are stated in the owner platform and house rules. Peak-period cancellations often require 3+ months’ notice or days may be forfeited unless reallocated.

How are disputes between co-owners resolved?

Shareholder agreements contain structured mediation and arbitration processes to resolve disputes. Paradyse acts as manager and neutral operator for scheduling enforcement and rule compliance.

Insurance, safety & on-site services

Is the villa insured?

Properties carry building insurance arranged by the SPV. Owners are encouraged to have personal travel/contents insurance for valuables and personal liability.

What security features are in place?

Gated access, on-site security (where applicable), CCTV, and digital locks are standard features. Neighborhood security measures and community policing enhance safety.

Practical & lifestyle questions

Is Paradyse regulated / who are your investors?

Paradyse is VC-backed (institutional and strategic investors). The SPV model and legal frameworks follow Indonesian corporate and property regulations. Institutional backing required investor due diligence prior to investment.

Why invest in Bali now?

Bali offers strong tourism demand, constrained prime supply, improving infrastructure, and attractive relative pricing vs. global resort markets — all supporting rental demand and capital appreciation.

Can I live in the villa full time / what about visas?

Long stays require appropriate Indonesian visa/permit management. Paradyse can advise on typical options but does not provide immigration services. Visa rules change; consult official sources or an immigration specialist.

Additional questions buyers ask

What if Paradyse can’t secure enough co-owners?

If insufficient co-owners are confirmed and the purchase cannot proceed, your deposit is refunded in full.

How long is the Paradyse closing timeline?

Paradyse typically allows up to 120 days to finalize co-owner subscriptions, complete due diligence, and close the SPV purchase as described in the SSA.

How are peak dates and fairness enforced?

Advanced booking windows, a rotation/priority system, lottery mechanisms for contested peak dates, and rules limiting repeat booking of the same peak period ensure equitable access.

Are utilities and internet included?

Day-to-day utilities and high-speed fiber internet (with redundancy) are included in operating costs; specifics are in the villa prospectus.

Can I renovate or alter the villa?

Material alterations require SPV approval and must comply with local permits/IMB. Cosmetic personalization may be allowed per house rules — consult management before changes.

Are there restrictions on who can stay?

Owners may host friends/family. Long-term subletting or transfers of personal usage may be subject to platform and SPV rules to preserve rental yields and compliance.

Year-End & reporting

How does the Year-End Settlement work?

Paradyse reconciles gross rental revenue, operating expenses, reserve usage, and distributions. Net profit is distributed pro-rata; operating surpluses offset next year’s contributions. Owners receive detailed statements.

How often do I get reporting?

Owners receive quarterly reporting and an annual reconciliation statement with income, expenses, reserve movements, and distributions.

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Office 202, Jl. Kayu Manis, Canggu, Kec. Kuta Utara,
Kabupaten Badung,
Bali, Indonesia - 80351