He told BBC Radio Solent: "The manager has indicated that he'd like to sign me permanently, but we'll have to wait and see what happens.
"Pompey feels like home to me, it's a great club and I love it here."
Halford still has a year left to run on his contract with Wolves, but has made just 12 league starts since moving to from Sunderland for ?2m in July 2009.
"I go back to Wolves at the end of the season, and then we'll have to see what happens," he said.
You ask yourself why no-one has played me in the centre of defence before, and Steve Cotterill is the first manager who's seen me in that role
Greg Halford
"Pompey's is the best dressing room I've ever been in. It seems like a second home and I've bedded in here really well. It's really important to enjoy your football and that's the certainly the case with the lads here."
Portsmouth have a number of loanees - including Halford - who will be returning to their parent clubs at the end of the Championship season, while a number of other players are out of contract.
"There's only eight players that are signed up for next year at the moment, so it is going to be all change over the summer," Halford added.
"I think my next move is definitely a big one for me. I don't think I've done enough this season to earn a Premier League move, so I probably will have to drop down to the Championship."
Halford has played in a variety of positions during his career, from right-back, to central midfield, to striker. But having been converted into a centre-half by Pompey boss Steve Cotterill, Halford has gone from strength to strength.
"I think I've found my position now, and I think my performances at centre-back have been pretty consistent," he said. "Hopefully wherever I am in the summer I can get a good pre-season and make a proper career out of that position.
"You ask yourself why no-one has played me in the centre of defence before, and Steve Cotterill is the first manager who's seen me in that role."
Source: BBC Sport
Source: BBC Sport