Is real estate still a safe bet in Ghana’s struggling economy
Real estate has long been considered one of the most stable and profitable industries in the world, but with the current economic climate, many are questioning its viability as a business. In Ghana, the real estate sector has faced several challenges in recent years, including a sluggish economy, declining property values, and tightening credit markets.
However, despite these difficulties, many experts believe that the real estate market still has the potential to be a viable business opportunity for those who are willing to take a strategic approach.
One of the key factors that makes real estate a viable business in Ghana is the country’s growing population and increasing demand for housing. As more people move into cities and urban areas, the demand for residential and commercial properties continues to rise, providing opportunities for real estate developers and investors. This is particularly true in rapidly growing cities such as Accra, Kumasi, and Takoradi, where the demand for housing has far outstripped the supply.
Another factor that is helping to boost the viability of the real estate business in Ghana is the government’s commitment to promoting the sector. In recent years, the government has implemented a number of initiatives aimed at boosting the real estate market, such as tax breaks for developers and investors, subsidies for affordable housing, and initiatives to streamline the process of acquiring land and building permits. These policies have helped to create a more favorable business environment for real estate companies, and have made it easier for them to secure financing and carry out their operations.
However, despite these positive factors, real estate remains a complex and challenging business, and success is not guaranteed. One of the biggest challenges facing the industry is the shortage of financing, which has made it difficult for many real estate companies to acquire the funding they need to carry out their projects. This has been particularly true in recent years, as banks have become more cautious about lending money in the wake of the global financial crisis.
Despite these challenges, many experts remain optimistic about the future of the real estate business in Ghana. For those who are willing to take a strategic approach and adapt to the changing market conditions, the real estate sector still has the potential to provide a profitable and sustainable business opportunity. Whether you’re a seasoned developer or an aspiring entrepreneur, there is no doubt that the real estate sector in Ghana holds great promise for those who are willing to put in the time, effort, and resources to succeed.
In conclusion, while the real estate sector in Ghana has faced several challenges in recent years, it still remains a viable business opportunity for those who are willing to take a strategic approach and navigate the complex market conditions.
However, with a growing population, but non-supportive government policies, inflation going off the roof, interest skyrocketing among others its makes nonsense of the growth in population as the housing units that are being built are so expensive for the average Ghanaian to buy.
If the economy was stable as population grows, then there was going to be increasing demand for housing which will make the real estate industry have the potential to provide significant returns for those who are willing to invest in it.
It is for this reason that you have to join NorvanReports come this Sunday February 12, 2023 on the second edition of our twitter space series conversation on the topic, “Is Real Estate a Viable Business In the Current Economic Climate,”
We have speakers like Mr. Edward Nyarko – Head, Business Development and Strategic Initiatives at First National Bank Ghana and Samuel David Kofi Amegayibor – SECRETARY GREDA Ghana/CEO Homes Direct Limited among others as we seek answers on whether it’s a good time for us to put our money into the real estate sector.
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