The cost of handling building permits (IMB) is still one of the most sought-after pieces of information by people before building or renovating a house. However, it is important to understand first that the government has implemented a new regulation in which the IMB is replaced by the PBG.
For those of you planning to build a house, do renovations, or handle the legality of an existing house, it is important to understand the cost of handling an IMB or PBG, along with the factors that affect it. Let’s check it out below!
Change from IMB to PBG
The Building Permit (IMB) has officially been replaced by the Building Approval (PBG) since the enactment of Law Number 11 of 2020 on Job Creation and Government Regulation Number 16 of 2021 concerning the Implementation Regulations of the Building Law.
This change was made to simplify the licensing process while also increasing legal certainty in building management. While IMB used to function as a permit to construct a building, PBG focuses more on approval regarding the technical planning of a building in accordance with applicable standards and regulations.
Even though there are changes in terms and mechanisms, people often still refer to PBG as IMB because it is more familiar. Therefore, when looking for information about IMB processing fees, what is actually meant nowadays is the cost of handling PBG.
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Cost of Handling Building Permits
The cost of handling an IMB or PBG does not have the same rate for every building. The calculation is influenced by various factors such as building size, building function, location, and the level of construction complexity. Here's a detailed explanation:
1. For New Houses
When building a new house, the PBG cost is calculated based on a formula set by the local government, referring to the function and size of the building.
In general, a simple residential house with a not-too-large area usually has a relatively lower cost compared to multi-story houses or houses with complex designs. Besides that, each region can apply different index values and rates, so the total cost to be paid can also vary.
Apart from the PBG fee itself, homeowners also need to prepare supporting documents such as architectural drawings, structural drawings, and other technical documents that may require professional assistance.
2. For Renovations
The cost of handling IMB or PBG for renovations is generally required if the renovation changes the building's structure, increases the building's size, changes the function of rooms, or involves significant changes to the existing building.
If the renovation is minor, such as painting, replacing the floor, or other small repairs, usually there is no need to apply for a new PBG. However, if the renovation involves adding a floor or expanding the building, then the homeowner needs to submit approval in accordance with applicable regulations.
The costs charged are usually adjusted to the parts of the building that are changed, so the amount may be lower compared to handling a new house.
3. For Older Houses
Many owners of older houses still don’t have building permits (IMB) or construction permits (PBG). In situations like this, house owners can still regularize their building’s legality according to the current procedures.
The process of getting an IMB for an existing house will take into account the condition of the existing building, land ownership documents, and whether the building complies with the zoning regulations in the area.
To find out the steps in more detail, you can read a guide on how to get an IMB for a house that has already been built before starting the document application process.
Additional Costs in Handling IMB or PBG
Besides the main cost of processing PBG, there are several additional costs that homeowners often need to prepare for.
1. Notary Fees
Notary fees usually arise if there is a need to handle certain legal documents related to land or building ownership. The amount of notary fees can vary depending on the type of service needed, the complexity of the documents, and the policies of each notary office.
2. Bank Fees
If the house is built using a Home Ownership Loan (KPR) or financing from a bank, there are often additional administrative fees related to the legal process of the documents. These fees can include document verification fees, credit administration, and other supporting costs according to the relevant bank’s policies.
3. Cost of Upgrading HGB to SHM
Many homeowners also upgrade their certificate status from Building Use Rights (HGB) to Ownership Rights Certificate (SHM). This process requires its own costs, including administrative fees, measurement fees, and issuing new documents according to the regulations at the land office.
4. Roya Fee
Roya is the process of removing the mortgage rights on a land certificate after the bank loan obligations have been completed. The roya fee is usually needed if the homeowner wants to update ownership documents or carry out additional administrative processes that require a certificate free from mortgage records.
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Factors That Determine IMB or PBG Costs
Several main factors affect the cost of handling IMB or PBG, including:
- Building size: The larger the building to be built or renovated, the higher the PBG cost generally is.
- Building function: Residential buildings usually have different calculations compared to commercial, office, or industrial buildings.
- Design complexity: Buildings with special designs, large structural spans, or certain technical specifications usually require more detailed planning documents, which can increase the cost.
- Regional price standards: Each area has different rates based on locally applicable regulations.
That is the explanation about the cost of handling building permits that you should at least prepare for. However, when it comes to the amount, you might not be able to rely on just one reference since each region can have different rates.
Handling an IMB, or what is now known as a PBG, is an important step to make sure your building is legally compliant with the applicable regulations. Besides understanding the costs of handling an IMB, you also need to take into account various additional expenses that might come up during the document processing.
On the other hand, the success of building a house is not only determined by administrative completeness but also by the quality of the materials used. Choosing the right materials can help create a stronger, more durable building that is protected from various risks of damage.
Therefore, to support more optimal home construction, you can use Semen Merah Putih Watershield, which comes with water repellent technology, providing triple protection for your building. This technology offers protection from three sources of seepage (outside, inside, and through the walls), making the building stronger, more durable, and low-maintenance.
Contact us now to get the best construction solutions for your project! We are ready to help you achieve project success with superior cement products and services.
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