Overview of Real Estate in Ghana
At a ballooning deficit of 2 million housing units, the demand for real estate in Ghana will only continue to grow. In that demand lies an investment opportunity like no other to make great returns and provide value to both Ghanaians and foreigners looking to call Ghana home.
Combined with Ghana’s continued infrastructural development, a safe business environment and growing international appeal, it is clear that the real estate sector is set to propel the country forward and is an investor’s dream come true.
Before investing in real estate however, it is important to get a good sense of what the real estate market in Ghana is like. This overview of the real estate industry does just that. From real estate developers in Ghana such as Devtraco to the types of houses in Ghana and the major players in Ghana’s real estate, this is a great starting point to help both investors and seekers alike navigate real estate in Ghana.
Ghana Real Estate Players
A good starting point for understanding Ghana’s real estate is looking at the major players, and their processes and how they affect the industry. By players, this means real estate agents, property developers (commercial and residential), homeowners and landlords, and tools available for discovery and trade.
Real Estate Agents
Ghana’s real estate sector in many ways is sustained by real estate agents. Developers and landlords rely on them to sell and rent property fast for a fee. Seekers rely on them to find property that matches their tastes and budgets. Listing platforms depend on them to increase the real estate portfolio on their sites. Researchers need them to get a good sense of what people are looking for, how much they’re willing to spend, the most sought after neighbourhoods and finally, agents help determine pricing particularly for homeowners thanks to their extensive knowledge and experience.
There isn’t any officially recognised body for real estate agents in Ghana. Instead, there are two main bodies lobbying for that recognition. These are the Ghana Real Estate Professionals Association and the Ghana Association of Real Estate Brokers. These bodies are working to become official licensing and training bodies in a bid to sanitise who can become an agent.
Real Estate Developers in Ghana
Residential estate developers are the best bet for seekers looking to live in well-planned communities complete with good roads, 24/7 security and basic amenities. Developments such as Nova Plus by Devtraco and Henrietta’s Residence are good examples of this.
Residential developments tend to be gated, have uniform designs and are often in the luxury tier of homes in Ghana. Residential developments also have the best chance of being considered for mortgages because they are well-organised and work with banks and home financiers.
Top Real Estate Developers in Ghana
Some of the leading real estate developers in Ghana, old and new putting up commercial, residential and mixed-use developments are listed below.
Devtraco Limited is Ghana’s leading real estate developer, offering a variety of properties ranging from affordable apartments to high-end homes. Devtraco Limited, not to be confused with Devtraco Plus offers affordable houses for sale in Ghana built to the highest standards that competitors often sell for more.
Devtraco Limited has a strong presence across the Greater Accra region with developments at Teshie-Nungua (GREDA Housing Project), Devtraco Villas (Baatsona, Tema Community 18), Devtraco Courts (Tema Community 25), Dovehill Estates (on the Spintex Road), Naa Borley Enclave (Tema, Community 25) and several others.
Trasacco Estate Development Company
Trasacco Estates Development Company Ltd. or simply, Trasacco is a household name in Ghana’s luxury real estate sector. The Italian-Ghanaian company is well known for the colourful Villagio Condominiums and Trasacco Valley Estates.
Regimanuel Gray Limited
Regimanuel Gray is a renowned name in Ghana’s real estate sector. This developer has built a number of gated communities spread across Accra and Tema.
Clifton Homes develops “designer” apartments, townhouses and condominiums in some of Accra’s most sought after locations including East Legon, Cantonments and Airport Residential Area. This developer is best known for The Gallery apartments in East Legon.
While Devtraco Limited offers affordable quality homes, Devtraco Plus offers high-end luxury homes. Devtraco Plus is an industry-leading developer luxury real estate niche. This real estate company develops houses in the prime areas of Accra such as Roman Ridge, Cantonments, Airport Residential, Dzorwulu and Labone.
Carved out of the well-known echelons of the Devtraco brand, Devtraco Plus promises nothing but excellence in delivery and service. Devtraco Plus developments possess a signature style and character, designed to effectively function with modern finishings, and built with materials that reflect a commitment to quality.
Wonda World Estate
Wonda World Estate is a developer of high-end commercial and residential properties in Accra. The developer is responsible for Kwarleyz Residence in Airport Residential Area as well as No. 1 Oxford Street in Osu.
Buena Vista Homes
Buena Vista Homes specializes in building gated communities. The company has built 3 gated communities. These are Vista Valley Residences, Costa Villa Residences and Marine Drive Residences.
Goldkey Properties is a luxury residential and commercial property developer with several developments in Airport Residential Area and Cantonments. Properties developed by Goldkey include the Laurels and the Huawei Ghana Headquarters.
Eris Properties is a commercial property developer from South Africa. Eris Properties has developed 2 prominent commercial spaces in Accra. These are SU Towers in Adbraka as well as 335 Place in Dzorwulu.
Dream Realty is another commercial property developer in Ghana. The real estate company developed The Octagon, a retail and office space in the heart of Accra.
Swami India Ghana Limited
Swami India Ghana Limited (SIGL for short) is a residential real estate developer that has made a name for itself with its luxury gated community, Paradise Estate at East Legon Hills. The developer is presently developing its first apartment complex called Solaris Luxury Apartments at the Ringway Estates in Osu.
Landlords & Homeowners
Many Ghanaians prefer to build their own houses than to buy. While this is on the decline thanks to the superior quality, planning and options offered by developers, these individuals remain an important part of Ghana’s real estate mix.
On the other hand, there are old buildings as well as lands in prominent neighbourhoods that are acquired and redeveloped by developers. In cases where there’s no redevelopment, these homeowners, some of whom are outside Ghana rely on property management services such as Talis Property or real estate agents to handle facility management or the rental process.
The internet has made it easy to find real estate options in Ghana. Online marketplaces, real estate agent and developer websites, social media and recently, multiple listing services add another layer to how properties are found, bought and rented in Ghana. Online marketplaces like Tonaton and Meqasa, and MLS technologies like Loop Ghana offer a platform where seekers, developers, and investors can interact.
The biggest problem with these platforms, however, is a lack of transparency and authenticity. Online scams are difficult to regulate and are more likely to succeed.
Well built developer websites such as Devtraco.com however eradicate scam by only offering properties developed by the company. The website takes it a step further by offering timely advice, insights and promotional offers that are safe, verifiable and trustworthy.
Demand for upscale property, a booming real estate market and a friendly market for investors are some of the reasons why Ghana has become a top real estate investment destination.
To that effect, there are different options for investing in real estate in Ghana. They include Buy-to-Let properties, residential and retail property development, REITs, house flipping, buying and selling houses, land flipping,
There are different options for investing in real estate in Ghana. They include Buy-to-Let properties, residential and retail property development, REITs, house flipping, buying and selling houses, land flipping,
As the name suggests, these are properties investors buy and then rent out or lease. These types of properties are usually managed by facility managers who take care of marketing, maintenance and sales. This type of property investment exemplifies the phrase, let your money work for you.
Buying and Selling (House Flipping)
This is straightforward. Investors buy properties at a lower cost, renovate them and resell them at a higher cost to cover for the new upgrades. Renovating houses to increase their value is called flipping. So essentially, investors flip houses to increase their value and make a profit after selling them.
This is very capital intensive and is often reserved for real estate development companies such as Devtraco Limited. With this type of investment, investors research the property market to determine the best areas and what type of houses/communities build. Once this is done, the properties are sold for a profit. It is important that detailed research is done in order not to turn a loss after investing so much into it.
This isn’t limited to just residential developments. Demand for retail spaces like malls and especially leisure and recreational spaces like the A1 Raceway at Devtraco Courts are on the rise.
As the city expands and more people flock into it, it is imperative that new facilities are built to accommodate them. Savvy investors can capitalize on this to develop commercial and recreational spaces that serve the populace and yield significant returns.
Accra is not the only city expanding, however. According to the Ghana Investment Promotions Council, Kumasi and Takoradi, the next two most populous cities in Ghana, have limited formal retail centres. Kumasi only recently saw the establishment of a mall with a retail floor area of 18,000 square metres. Opportunities exist for further regional developments.
The quote, “don’t wait to buy land, buy land” and wait has never rung truer in ghana than now. As the demand for real estate rises, developers are clamouring for lands in Accra’s prime areas. The rush for land is going beyond these areas to new, untapped areas like Oyarifa, Oyibi, East Legon Hills and more. In a few years, owners of lands in these areas can sell off their lands at a higher value than now.
Location is everything when it comes to real estate. A number of factors influence the most sought after neighbourhoods to live in Accra such as ease of access, security, proximity to amenities, electricity, water and internet coverage.
Below are some of the neighbourhoods that have all the basics and are most appealing to property seekers.
- Airport Residential Area
- Cantonments (see Acasia)
- East Legon
- Dzorwulu (see the Niyo)
- Roman Ridge (see NoVA Plus)
- North Ridge
- Tema Community 25 (see Devtraco Courts)
- East Airport
A wave of change is sweeping through a number of previously undeveloped neighbourhoods. Developers such as Swami India, Westhills Ridge Company Limited, Mobus Property and Regimanuel Gray Limited are building gated communities. These top emerging areas include:
East Legon Hills
Don’t be fooled. This area isn’t close to the beloved East Legon as the name might have you believe. It’s located between Ashaley Botwe and Tema in an area called Santeo or Katamanso depending on who you ask. Some of the developments here include Paradise Estate by Swami India, Richfield Estate by Mobus Property, and Eagles Place by Regimanuel Gray.
This neighborhood has seen an increase in residential appeal since the establishment of the West Hills Mall and the other commercial and recreational services that have sprung up. The relatively cheap housing costs here have also driven demand in the area. Westhills Ridge’s Eden Heights and Sunda Internationals’ Fortune City are two developments serving the housing needs of the area.
Oyibi is a settlement along the Accra-Dodowa road. It’s famous for Valley View University and most recently, Appolonia City of Light. Appolonia is a mixed-use development being developed by Rendeavour.
Challenges Facing Real Estate in Ghana
- Land Acquisition Troubles
- No Proper Regulation
- Cost of Materials
- Unregulated Pricing Schemes