Jakarta's Housing Crisis: Rising Prices Push Residents to Endure Long Commutes

Jakarta's Housing Crisis: Rising Prices Push Residents to Endure Long Commutes

JAKARTA – 14 JAN - Rising property prices in Jakarta have made homeownership an unattainable dream for many residents, forcing them into long and gruelling commutes.

World
World

JAKARTA – 14 JAN - Rising property prices in Jakarta have made homeownership an unattainable dream for many residents, forcing them into long and gruelling commutes. Movies like Home Sweet Loan resonate deeply, highlighting the struggles of middle-class Indonesians, such as Jessica Sihotang, who have spent years saving but remain unable to afford even a down payment. With housing prices averaging 20 times the annual salary, many Jakartans are now buying homes in distant provinces, enduring hours of travel to work.

The housing crisis underscores the widening wealth gap in the capital, where luxury apartments overshadow informal settlements. Urban planners argue that Jakarta has become increasingly inhospitable to low- and middle-income earners, with limited affordable housing and soaring costs. While the government plans to introduce mandatory salary contributions for housing in 2027, residents remain skeptical, fearing it won’t be enough to address the growing disparity. Despite the challenges, many, like Sihotang, still cling to the hope of owning a home as a source of future stability and peace.

This photo, taken on November 8, 2024, captures commuters boarding a train during the morning rush hour at Manggarai Station in Jakarta. While scrolling through social media, Indonesian movie enthusiast Jessica Sihotang came across a film about a woman in her 30s struggling to fulfill her dream of owning a home in Jakarta.

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