Ghana’s Housing Boom Leaves Workers Priced Out, UN Expert Warns

 

Ghana’s growing property market is failing to meet the housing needs of many ordinary workers, as high house prices and rising rents leave thousands of households struggling to secure decent accommodation, the United Nations Special Rapporteur on the right to adequate housing, Koldo Casla, has warned.

Mr Casla said at the end of his official visit to Ghana, that much of the construction taking place in affluent parts of Accra appeared to cater to wealthy investors rather than people who need homes.

He questioned the value of expanding housing supply when many completed properties remain beyond the reach of average earners.

“Many of these properties remain vacant, which suggests that much of the construction in wealthy parts of Accra seem to meet speculative financial ends other than satisfying the right to adequate housing of the population,” he said.

His observations draw attention to a problem facing Ghana’s housing sector: building more properties will not necessarily ease the shortage if the homes are too expensive for the people who need them.

For workers on modest incomes, the options are often limited. Those unable to buy a home may struggle with high rents and advance payments, while others end up in informal settlements or housing that falls below acceptable standards.

Housing prices shut out ordinary earners

Mr Casla said housing affordability policies must address the needs of low-income working people, who make up a large share of the population.

He urged the government to recognise that the high cost of formally built homes leaves many Ghanaians with little choice but to rely on informal settlements or substandard accommodation.

About 31 per cent of Ghana’s urban population lives in informal settlements, according to estimates cited during the visit. Conservative estimates also put the number of people experiencing homelessness at around 100,000, including about 60,000 children.

The figures underline the scale of a problem that goes beyond the number of houses being built. The prices of completed homes, the cost of renting and the money required upfront all determine whether people can secure adequate accommodation.

Teachers, nurses, traders, artisans and other workers may earn regular incomes but still find it difficult to afford decent homes, particularly in urban centres where employment opportunities are concentrated.

Mr Casla called on the government to involve people living in poverty in the design of housing policies, saying their needs must inform decisions that affect where and how they live.

High rents add to household pressures

The difficulties extend to tenants, who make up more than a third of Ghana’s population. In urban areas, the proportion rises above 40 per cent, according to the 2021 Population and Housing Census.

For households unable to buy property, renting is often the only practical option. But high rents and demands for substantial advance payments can make it difficult for workers to find accommodation near their workplaces.

Mr Casla called for the Rent Control Department and other relevant institutions to be strengthened so they can monitor rent increases and protect tenants from excessive advance payments.

Effective enforcement would be essential to making such protections work. The availability of rental homes within the reach of ordinary earners also remains a key part of the challenge.

When households spend a large share of their income on rent, less remains for food, education, healthcare and transport.

Forced evictions threaten vulnerable households

The UN expert also called for an end to forced evictions carried out without prior consultation and proper compensation.

Displacement can separate families from their livelihoods, schools and support networks, while forcing them to find alternative accommodation they may not be able to afford.

Mr Casla urged authorities to listen to affected communities before taking decisions that could displace residents.

The issue places emphasis on how urban development and land management are carried out, particularly in informal settlements. Authorities must take account of residents’ rights and ensure that any action follows due process, includes meaningful consultation and provides appropriate safeguards.

Climate change makes housing more precarious

Housing conditions are also being affected by climate risks. Mr Casla highlighted drought in northern communities, flooding in the south and rising temperatures affecting residents of informal settlements.

Where homes lack adequate drainage, ventilation and basic infrastructure, these hazards can cause greater harm. Flooding can destroy property and disrupt livelihoods, while extreme heat can make poorly ventilated homes increasingly uncomfortable and unsafe.

He called for local governments to improve their preparedness for flooding and other climate-related disasters. He also urged the international community to support these efforts in line with the principle of common but differentiated responsibilities.

For Ghana, this means giving greater attention to climate resilience in housing and urban planning, particularly in communities most exposed to flooding and extreme heat.

Turning housing policy into homes people can afford

Mr Casla welcomed the adoption of several housing-related policies in recent years but said greater attention must be paid to whether those policies meet the needs of ordinary Ghanaians.

He said Ghana could show leadership in protecting the right to adequate housing, as it has done in advocating recognition of historical injustices.

“West Africa needs Ghana’s human rights leadership, and the Ghanaian people desperately need their housing rights,” he said.

The challenge is to ensure that investment in real estate translates into homes that people can afford, rather than simply increasing the number of properties on the market.

That requires attention to house prices, rental costs, access to basic services, protection against arbitrary eviction and the ability of homes to withstand climate-related risks.

Mr Casla will present a detailed report on his visit to the UN Human Rights Council in March 2027.

For Ghana, the test will be whether its housing policies can make decent accommodation accessible to working households, protect vulnerable residents from displacement and ensure that new development responds to the needs of the wider population.