The real estate market of Ghana is fast becoming one of the most positive sectors in the African continent. The country is becoming a focal point for real estate investments with its booming economy, stable political environment, and rapid urbanization.
| Housing Type | Percentage |
|---|---|
| Compound Houses | 45% |
| Detached Houses | 24.1% |
| Semi-Detached Houses | 15.2% |
| Flats/Apartments | 4.2% |
| Improvised Houses (Kiosks/Containers) | 2% |
| Huts/Structures in Compound Houses | 4% |
| Others | 4% |
The Real Estate Market in Ghana in Overview
Trends in Ghana’s Real Estate Market
In the last ten years, Ghana’s real estate sector has grown at an impressive rate, thanks to factors like economic growth and urbanization. The economic growth of the country has continued to grow with real GDP rising year on year, which is a breeding ground for property development. As more individuals migrate to urban centers, such as Accra and Kumasi, the number of people seeking houses to live in rises, generating a solid real estate market.
Key Drivers of Growth:
Economic Growth: With a GDP growth rate that averages at 5% per annum, Ghana has increased income and purchasing power.
Urbanization: More than 57% of Ghana’s population now lives in urban centers, and the demand for housing is rising.
International Investment: The international investors have found Ghana as one of the most attractive destinations for making real estate investments due to high returns and political stability.
Government, Policies Help Housing Growth Up to October 2023; new housing developments have large tax incentives
Regional Hotspots:
The premier business venue, Accra tops the list of most desirable residence and business location accross the country.
Kumasi: Dubbed the “Garden City,” Kumasi has a variety of affordable and mid-range properties.
Emerging Areas: Emerging markets such as Takoradi, Tamale with industrialization and infrastructure development are also emerging.
Ghana is an energetic real estate market and an exciting opportunity for all types of buyers and investors. But property prices depend on various factors.
| Region | Population | Number of Houses | Number of Households | Urban Share of Housing Stock |
|---|---|---|---|---|
| All Regions | 18,912,079 | 2,181,975 | 3,701,241 | 34.1% |
| Greater Accra | 2,905,726 | 287,840 | 626,613 | 80.4% |
| Ashanti | 3,612,950 | 328,751 | 682,759 | 37.1% |
| Western | 1,924,577 | 259,874 | 410,142 | 27.1% |
| Eastern | 2,106,696 | 283,461 | 456,683 | 26.6% |
| Volta | 1,635,421 | 264,451 | 345,821 | 27.0% |
| Northern | 1,820,806 | 177,785 | 245,617 | 24.4% |
| Brong Ahafo | 1,815,408 | 216,275 | 342,808 | 28.9% |
| Central | 1,593,823 | 223,239 | 365,777 | 26.8% |
| Upper East | 920,089 | 88,401 | 144,386 | 14.6% |
| Upper West | 576,583 | 51,898 | 80,635 | 17.4% |
Considerations That Affect Property Prices In Ghana
Economic Factors
A direct correlation exists between the performance of Ghana’s economy and the prices of houses. As the economy expands, so does the need for accommodation. The following are some economic conditions affecting property prices:
GDP Growth: An expanding GDP usually translates into rising disposable incomes, which means more people can afford to buy homes.
Inflation: Elevated inflation can drive up construction costs and those costs are passed down to buyers.
Currency Stability: The exchange rate of the Ghanaian cedi against the US dollar impacts the cost of imported building materials, thus affecting property prices.
Infrastructure Development
New infrastructure dominates the real estate market in Ghana Properties in places with good roads, schools, hospitals, and shopping centers are more expensive.
Transportation: Geographical location, whether near highways and public transportation.
Amenities: Access to services such as water and electricity are the biggest price determinates.
Demand and Supply Dynamics
The tried-and-tested principle of supply and demand makes a heavy impact on Ghana’s real estate sector. Prices are higher in urban areas like Accra, where demand exceeds supply. In contrast, the price is lower in areas where demand is lower or oversupply exists.
Government Policies / Regulations
The government in Ghana is a major influence in the real estate market. Rent control, developer tax incentives and affordable housing policies can raise or maintain property prices. The sector is also getting a boost as the government has announced measures for attracting foreign investment recently.
Regional Price Analysis
The Real Estate Market in Ghana: All Roads Lead to Accra
Accra, the vibrant capital of Ghana, has properties at varied price points, from high-end villas to budget-friendly apartments. Strategically located with modern infrastructure and a vibrant lifestyle, the city has the costliest real estate in the nation.
Prime Locations in Accra:
- East Legon–A luxurious residential neighborhood featuring contemporary facilities.
- Cantonments – Home to its upscale residences and embassy vicinity.
- Airport Residential Area — Favorite with expats and well-heeled locals.
Price Range:
- Three-Bedroom Houses: $450,000 to $600,000
- Custom Villas: $700,000 and up
- Standard Apartments: $150,000 – $250,000
Kumasi: The Ideal Mix of Affordable Growth
Kumasi is Ghana’s second-biggest city, and unlike in Accra, housing is much cheaper. A place known for its rich culture and greenery, the city is quickly rising to become a real estate hotspot.
Prime Locations in Kumasi:
- Nhyiaeso – A high class suburb with new residential properties.
- Ahodwo – A mix of residential and commercial properties.
- Asokwa – For its affordability and accessibility.
Price Range:
- Houses: Three Bedrooms | $180,000 to $250,000
- Lofts: $80,000 to $150,000
- Other Regions Takoradi; Tamale
Cities such as Takoradi and Tamale are also emerging, albeit less developed than Accra and Kumasi, and recently have come into focus due to their growth in terms of industries as well as their infrastructure projects.
RegionPrice Range (3-Bedroom Houses)Key FeaturesTakoradi$150,000 to $220,000Near oil and gas industries. Tamale$80,000 to $120,000Humble homes with basic utilities.
November-December 2021 | Property Sales & Rental Rates
Apartments
In fact apartments are quite common, especially in cities. They include affordable, standard units as well as high-end luxury apartments.
- Standard Apartments: $50,000 to $150,000
- No-Money-Down Option: $200,000 and above
- Townhouses and Villas
- These properties appeal to the high-income earners and expatriates seeking quality living.
- Townhouses: $300,000 to $500,000
- Villas: $500,000 and above
Investment Properties
Both commercial and residential investment properties can generate rental income, and they are in high demand.
- Office Space: $100,000 to $300,000
- Rental Apartments: $50,000 to $200,000
- Future Perspective and Investment opportunities
Expected Price Increases
Featuring numerous Interviews and video profiles, Ghana’s real estate marketplace is expected to grow by 5% to 10% in 2025, boosted by both urbanization and also economic development. Perhaps we need to create living spaces on stilts?
Emerging Trends
Gated Communities – These developments provide security, privacy, and modern amenities, making them popular with families.
Luxury Apartments High-end apartments are in demand among expatriates and high-income local residents.
Foreign Investor Opportunities
Ghana, on the other hand, offers stable economy and high rental yields for foreign investors. The government’s pro-foreign ownership policies also simplify market entry for investors.
Conclusion
The Ghanaian real estate market is diverse, dynamic, and rich in opportunities. From luxury homes in Accra to affordable houses in Kumasi and Tamale, there is a property available for every buyer and investor. With economic growth, urbanization, and infrastructure development as the three huge factors propelling this market, we can only expect the future to provide even more.
So, if you’re thinking to a real estate purchase, to Ghana’s October 2023 market are a great time to explore. Ghana’s real estate market has a lot to offer whether you are seeking a home or an investment. This blog has been created for you, and get started today!
You may also read (real estate agency)
