Indonesia’s property market is expected to return to modest growth in fiscal 2026 (FY26), supported by a robust pipeline of new project launches. This is despite continued weakness in overall housing demand and elevated mortgage non-performing loans (NPLs), according to Maybank Investment Bank.
The sector is forecast to record 2% pre-sales growth in FY26, somewhat reversing a 7% decline in FY25, as developers accelerate launches across key residential projects, the investment bank says in a note seen by Kallanish.
Aggregate first-quarter FY26 pre-sales for covered developers reached IDR 9.1 trillion ($501.53 million), up 8% year-on-year and 12% quarter-on-quarter. This represents 26% of full-year targets and is in line with the three-year average achievement rate.
Demand remains increasingly polarised. Premium homes priced above IDR 2 billion accounted for 74% of first-quarter pre-sales, up from 72% a year earlier, while affordable housing also continued to see healthy take-up. Mid-tier residential products, however, faced softer demand.
Developers are preparing a strong launch pipeline this year. Major projects include BSDE’s Nava Park 2 and Kota Wisata Ecovia, Ciputra’s Citra Homes Halim and Citra Bukit Golf, as well as new offerings from Pakuwon Jati and Summarecon Agung across their flagship townships and mixed-use developments.