"Real Estate: Developers bemoan high interest rates on loans"

" Real Estate: Developers bemoan high interest rates on loans \r\n\r\nNii Bortey Addo, a real estate developer has bemoaned the high interest rate on loans from banks in the country.\r\n\r\nSpeaking during a Twitter Space Conversation dubbed \u201cIs Real Estate a Viable Business in the Current Economic Climate?\u201d hosted by norvanreports on Sunday, February 12, 2023, Mr Addo posited that most developers are unable to go for loans from the banks to build houses for persons willing to rent or buy houses due to the high interest rates on loans.\r\n\r\nThis is aside the sector being capital intensive in nature.\r\n\r\nAccording to Mr Addo, developers are unable to bear the high interest rate costs, an assertion that was alluded to by the Head of Business Development and Strategic Initiative at First National Bank Ghana, Edward Nyarko.\r\n\r\nInterest rates on loans by banks is currently above 30%.\r\n\r\nAside the high interest rates on loans, other factors inhibiting the efficient operation of developers is costly land legislation and issues of litigation.\r\n\r\n\u201cWe need better regulation and policies in the sector, particularly in the area of pricing as well as litigations. Litigations in the sector are too much,\u201d he added.\r\n\r\nMeanwhile, Mr Edward Nyarko, has urged investors interested in investing in the real estate sector should have a long term horizon.\r\n\r\nAccording to him, investing in real estate for the long term can aid investors achieve huge real positive returns.\r\n\r\nMr Nyarko avers that investing in the real estate sector amid the current economic climate is a good decision for investors.\r\n\r\nThis, he noted, is due to both the income and capital appreciation in real estate assets, particularly during periods of high inflation as high inflation reflects in the prices of real estate assets.\r\n\r\nDespite being a good investment avenue for investors, Mr Nyarko advised investors to first seek professional advice before deciding to invest in the sector. This, he noted, is for investors to avoid the pitfalls of investing in the sector."

"Real Estate: Developers bemoan high interest rates on loans"

Climate-Smart Financing Heats up Africa’s Cooling IndustryAMP

BoG Consults Faith Leaders on Non-Interest Banking FrameworkAMP

GFA Continues Mandatory Referees Training for GPL, DOL and WPL Players and OfficialsAMP