While the country is rightly enjoying phenomenal growth and encouraging GDP growth prospects, the disparity between housing costs and the average income of Ghanaians is the highest it has ever been (World Bank, 2021). Ghana’s real estate market is at a juncture, met with increasing urbanization, along with lack of proper regulations.
The inability to access affordable housing has contributed even more to the challenge for its stakeholders in the public sector, especially civil servants. Because of the high price of real estate, public sector and civil service workers do not have the financial ability to afford healthcare, education, and savings which means they often have to spend the majority of their salary on necessities (Ghana National Housing Policy, 2015).
Even small business owners suffer by being forced to spend too much of their salary on housing and must use funds from their businesses that could be reinvested in their businesses and used to generate employment, or negatively affect economic growth and development (Ghana Business and Trade Report, 2021).
The situation can be changed by substantial reforms in Ghana’s real estate market.
Ghana’s Affordable Housing Initiative
In August 2023; the Government of Ghana announced a new National Affordable Housing Program called “My Home, My Peace.” The general objectives of the initiative are to:
- To bridge the housing gap projected at 1.8 million units
- To partner with local and private sector partners
- To reduce cost of developing housing by 40%
The initiative plans to improve access to housing, including affordability for all Ghanaians.
Recent Happenings
On February 27, 2025, during his second-term State of the Nation Address, Presdent John Dramani Mahama began to outline the nation’s housing deficit/housing gap Specifically, he made important points, of which included:
- Recognition of bridging the housing gap that is projected o be 1.8 million units;
- Reinforcing the need to tackle in a timely manner;
The President’s rendition will keep attention on developing workable opportunities to address the housing deficit in Ghana.
Presidential Housing Initiatives
With respect to the bridging the housing gap, President Mahama identified that he would like to:
- Finish existing projects that include the Saglemi Affordable Housing Project;
- Bring together a Social Housing Project, District Housing Scheme to encourage Affordable Owner Occupation.
- The government will start a Low-Cost social Housing Project with:
1. A District Housing Scheme for Affordable Owner Occupation
2. Payment scheme with monthly salary deduction over 15-20 years
The above mentioned projects will aim, by making them publicly announced, to improve access and affordability to housing while also moving to eliminate barriers to finance access for Ghanaians.
