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Why more investment is not making housing affordable in Ghana
Ghana faces a housing shortfall of more than 1.8 million units, but attracting investment and building more homes will not solve the problem if most people cannot afford them. At a real estate conference in Accra, participants discussed how to make construction commercially viable while expanding access for households priced out of the market.
About 56.7 per cent of Ghanaians live in urban areas, but only around 5 per cent can afford housing without state support; roughly 90 per cent of homes are built through personal savings and gradual construction, and mortgage lending equals just 0.3 per cent of GDP. Government measures include cutting mortgage rates through the National Homeownership Fund to 8.4 per cent, a 3 billion cedi fund for public-sector workers, and a planned 1 billion cedi allocation to the National Housing Fund in the 2027 budget. Developers say expensive finance, difficult land access and infrastructure costs remain obstacles, while informal workers often struggle to qualify for mortgages because they lack conventional income records.
In short
- Ghana needs over 1.8 million more homes.
- Only about 5 per cent can afford housing without state support.
- High costs and limited finance keep many households out of the market.
Steelman: both sides, in good faith
The strongest fair case each way — we don't pick a winner.
The case for
More investment and construction could help address Ghana’s severe housing shortage, create jobs and expand the supply of homes over time. Developers argue that affordable projects still need commercially viable financing, accessible land and infrastructure; government-backed funds and lower mortgage rates could help make that investment possible.
The case against
Investment alone may chiefly produce homes for households who can already afford them, leaving most Ghanaians priced out while the shortage persists. With few mortgages, many informal workers unable to meet conventional lending criteria, and most homes built gradually from personal savings, policy should prioritise affordability and access alongside increasing supply.