Mortgage repayments could be extended to 30 years, says SMF chief

JAKARTA — The government’s plan to extend the tenor of mortgage loans (KPR) to 30 years could ease monthly repayments and broaden access to home ownership. Heliantopo, Director of Business at PT Sarana Multigriya Finansial (SMF), said the company stands ready to follow the policy if implemented. Long tenors in housing finance are not new; in several countries, tenors reach 35 to 45 years because housing is a long‑term investment of substantial value. ‘Outside, tenors of 35, 40, 45 years exist. So, this is a big investment. Generally, it cannot be resolved for the majority of people today,’ Heliantopo said at a Jakarta press conference on Wednesday, 4 March 2026. He added that the longer the loan tenor, the lighter the monthly payments. However, tenor adjustments must still consider borrowers’ real ability. Regarding SMF’s readiness, Heliantopo stressed that SMF, as the government’s special mission vehicle (SMV), will follow the programme’s rules if the housing finance facility (FLPP) tenor is extended to 30 years. ‘Actually, SMF follows. So if the FLPP programme is 20 years, we are prepared for 20 years fixed. When the FLPP programme is 30 years, SMF as an SMV, as an institution with a special mandate, we are ready to disburse with a 30‑year tenor. So there should be no problem at SMF,’ he asserted. He added that, as an institution mandated to support national housing finance, SMF will adjust its funding schemes to government policy to maintain sustainable housing access for the people.