How to buy land and pay monthly in Ghana (guide)

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THE AFRICANVESTOR

A team specialized in real estate investing in African countries

We are a team of financial experts, legal professionals, developers, and local real estate specialists dedicated to helping people like you avoid mistakes when investing in real estate in a foreign place, particularly in Ghana. If you'd like to learn more about us, you can check our presentation page.

What types of land can foreigners buy in Ghana, and are there any restrictions?

Foreigners cannot own land outright in Ghana but can acquire leasehold rights for up to 50 years with renewal options.

The Ghana Constitution reserves freehold land ownership exclusively for Ghanaian citizens. As a foreigner, you can purchase leasehold interests in residential, commercial, and agricultural land with a maximum lease term of 50 years, compared to 99 years available to Ghanaian citizens. This leasehold can be renewed upon expiration, providing long-term security for your investment.

Agricultural land purchases by foreigners are limited to 50 acres per transaction without special government approval. Larger agricultural acquisitions require approval from the Ministry of Lands and Natural Resources. Certain categories of land remain restricted or require additional approvals, including lands near military installations, strategic areas, some coastal zones, and certain customary or "stool" lands controlled by traditional authorities.

Commercial and residential land purchases generally face fewer restrictions within normal zoning regulations. However, large-scale developments, especially those involving coastal areas or significant environmental impact, may require additional government and environmental approvals before proceeding with the purchase.

It's something we develop in our Ghana property pack.

Is it possible for foreigners to buy land without being in the country?

Yes, foreigners can purchase land in Ghana without being physically present through a properly executed power of attorney.

Remote land purchases require a notarized power of attorney that has been authenticated by the Ghanaian consulate in your country of residence. This legal document authorizes a trusted representative in Ghana to act on your behalf throughout the entire purchase process. The power of attorney must be specific about the transaction details and the scope of authority granted to your representative.

Your chosen representative, typically a lawyer or real estate agent, can handle all aspects of the transaction including property searches, negotiations, document signing, and registration with the Lands Commission. However, you'll still need to provide all required documentation including passport copies, proof of funds, and other supporting documents from your home country.

While remote purchases are legally possible, many experienced investors recommend visiting the property at least once before finalizing the transaction. This allows for personal verification of the land's condition, boundaries, and surrounding infrastructure. You can also use this visit to meet with your legal team and representatives face-to-face to ensure clear communication throughout the process.

What is the step-by-step process to buy land in Ghana as a foreigner?

The land purchase process in Ghana involves eight essential steps that typically take 2-6 months to complete.

Begin by engaging a reputable real estate agent and qualified property lawyer who specialize in working with international buyers. These professionals will guide you through Ghana's legal requirements and help avoid common pitfalls. Next, conduct a comprehensive land search at the Lands Commission to verify the rightful ownership and check for any existing disputes, encumbrances, or legal issues affecting the property. This search typically costs between GHS 500-1,000.

Perform thorough due diligence by visiting the site either personally or through your representative and hire a qualified surveyor to validate boundaries and create an accurate site plan. Survey costs range from GHS 2,000-5,000 depending on the property size and complexity. Once satisfied with the property, negotiate lease terms including price, payment schedule, and renewal conditions with the landowner.

Have your lawyer draft a comprehensive sale/lease agreement specifying all terms, rights, obligations, and renewal options. Make payment preferably through bank transfer or escrow service rather than cash to ensure proper documentation and security. Finally, register the lease at the Lands Commission by paying required stamp duty (0.25-1% of property value) and registration fees (approximately 0.25% of value), then collect your title certificate confirming the lease.

What documents do you need to buy land in Ghana, and are any of them mandatory?

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Can foreigners use land for any purpose, or are there restrictions on how land can be used?

Foreigners can generally use leased land for most purposes within local zoning regulations, but some activities require additional approvals.

Residential and commercial developments typically face minimal restrictions as long as they comply with local planning and zoning requirements. You can build houses, apartment complexes, office buildings, retail spaces, and other standard commercial structures without special government approval beyond normal building permits and environmental compliance.

Agricultural use is permitted but becomes more complex for large-scale operations. Small-scale farming and agricultural activities on your leased land are generally unrestricted. However, large-scale agricultural projects, especially those involving significant environmental impact or export-oriented production, may require additional approvals from the Ministry of Food and Agriculture or environmental agencies.

Certain activities require special permits regardless of your ownership status. These include mining operations, large-scale manufacturing, tourism developments in sensitive areas, and any activities near coastal zones or protected environmental areas. Industrial developments may also require additional environmental impact assessments and approvals from relevant government agencies before commencing operations.

Where do foreigners typically buy land in Ghana, and why?

Greater Accra remains the most popular region for foreign land purchases, accounting for approximately 60% of international real estate transactions.

Accra and its suburbs like East Legon, Airport Residential Area, and Cantonments attract foreigners due to established infrastructure, international schools, healthcare facilities, and a large expatriate community. Land prices in prime Accra locations range from $50-200 per square meter, with plot prices typically between GHS 10,000-35,000 depending on location and size.

The Ashanti Region, particularly around Kumasi, attracts foreign buyers seeking lower prices and cultural connections. Areas like Nhyiaeso, Ahodwo, and Asokwa offer land at $20-80 per square meter, significantly lower than Accra prices. Kumasi appeals especially to diaspora Ghanaians and investors interested in the commercial potential of Ghana's second-largest city.

The Eastern Region has gained popularity for scenic and retirement-focused investments. Towns like Aburi, Berekuso, and Oyarifa offer cooler climates and beautiful landscapes, with plot prices ranging from GHS 8,000-35,000. Coastal areas in the Central and Western regions attract tourism-related investments, with growing interest in towns like Kasoa, Prampram, and Cape Coast where plot prices range from GHS 8,000-25,000.

What are the classic mistakes or pitfalls that foreigners should avoid when buying land in Ghana?

The most costly mistake foreigners make is failing to conduct proper due diligence, which can result in complete loss of investment.

Never skip the land search process at the Lands Commission, as this verifies legitimate ownership and reveals any existing disputes or encumbrances on the property. Many foreigners lose money by trusting sellers without proper verification or by purchasing land with unclear or disputed ownership. Always insist on seeing original title documents and conduct an independent search regardless of what the seller claims.

Avoiding legal representation to save costs often leads to fraud exposure and legal complications. Ghana's land laws are complex, and local legal expertise is essential for navigating customary land rights, government regulations, and proper documentation. Many scams specifically target foreigners who attempt to handle transactions without qualified legal representation.

Cash payments without proper receipts and documentation create major security and legal risks. Never make cash payments directly to sellers without bank transfer records, receipts, and proper documentation. Similarly, failing to register your lease at the Lands Commission leaves you vulnerable to future disputes and may invalidate your legal rights to the property.

Relying exclusively on friends or family members for guidance, while well-intentioned, often leads to misunderstandings or exposure to scams. "Too good to be true" bargain prices typically signal ownership problems, legal disputes, or fraud schemes specifically designed to target uninformed foreign buyers.

What are the average prices for land in Ghana, and how do they vary by location?

Land prices in Ghana vary significantly by location, with prime Accra neighborhoods commanding the highest prices at $50-200 per square meter as of September 2025.

In Greater Accra, premium areas like East Legon, Airport Residential Area, and Cantonments see prices ranging from $100-200 per square meter, while emerging suburbs like Tema, Kasoa, and outer Accra areas range from $30-80 per square meter. Standard residential plots in these areas typically cost between GHS 15,000-35,000 depending on size and exact location.

The Ashanti Region, centered around Kumasi, offers more affordable options with prime neighborhoods like Nhyiaeso and Ahodwo ranging from $50-80 per square meter, while standard residential areas cost $20-50 per square meter. Complete 3-bedroom houses in prime Kumasi locations currently sell for $180,000-250,000, indicating strong underlying land values.

The Eastern Region provides excellent value for scenic and retirement-focused purchases. Popular areas like Aburi, Berekuso, and Oyarifa offer plots ranging from GHS 15,000-35,000, with prices influenced by proximity to Accra, elevation, and infrastructure development. Coastal regions in Central and Western areas show growing potential, with plots ranging from GHS 8,000-25,000 depending on proximity to beaches and tourist infrastructure.

It's something we develop in our Ghana property pack.

We did some research and made this infographic to help you quickly compare rental yields of the major cities in Ghana versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.

What is the long-term forecast for the land market in Ghana?

The Ghana land market shows strong growth potential through 2025 and beyond, driven by urban migration and a significant housing deficit exceeding 1.8 million units.

Urban areas, particularly Accra and Kumasi, have experienced average annual price increases of 12-15% over the past three years in prime neighborhoods. This growth trend is expected to continue as economic stability improves and infrastructure development accelerates. The government's focus on improving road networks, utilities, and digital infrastructure will likely support continued appreciation in well-connected areas.

Diaspora investments represent a major growth driver for the Ghana land market. Increasing numbers of Ghanaian diaspora and international investors are showing interest in Ghana real estate, particularly in the middle to high-end segments. This trend is supported by improved banking services, more transparent legal processes, and growing confidence in Ghana's economic stability.

Digital transformation is improving market transparency and efficiency. More property platforms are offering online due diligence services, digital property searches, and virtual property tours, making it easier for foreign investors to participate in the market. Government initiatives toward digitizing land records and registration processes will further support market growth and transparency.

The affordable housing sector is receiving increased government and private sector attention, which may moderate price growth in some segments while creating new investment opportunities in planned developments and affordable housing projects.

What taxes, costs, and fees are associated with buying land in Ghana?

Total transaction costs for buying land in Ghana typically range from 3-8% of the property value, including taxes, legal fees, and registration costs.

Stamp duty represents the largest tax component at 0.25-1% of the property value, paid by the buyer at the time of purchase. This varies depending on the property location and type, with higher rates typically applied in urban areas. Legal fees are negotiable but generally range from 1-3% of the property value, depending on the complexity of the transaction and the lawyer's experience.

Annual property rates range from 0.5-3% of the assessed property value, paid yearly to the local assembly or municipal authority. Urban properties typically face higher rates than rural properties. Registration fees for obtaining your title certificate vary by location but typically range from GHS 50-500, while survey and land search fees cost between GHS 100-1,000 depending on the property size and complexity.

If purchasing new property from developers, you'll pay 5% VAT plus a 1% COVID levy on the purchase price. Capital gains tax of 15% applies to future resale transactions. Non-resident foreigners who rent out their land or developed property face a 15% tax on rental income, which must be declared and paid annually to the Ghana Revenue Authority.

Can you pay for land in cash, or are there other financing options available?

While cash payments are accepted, modern financing options including monthly payment plans are increasingly available and recommended for security and documentation purposes.

1. Developer Payment Plans: Many developers and gated community projects offer 6-36 month installment plans with 10-30% down payments and administrative fees of 0-5% annually
2. Bank-Assisted Installment Plans: Some Ghanaian banks partner with developers to offer structured payment plans over 12-60 months with interest rates of 8-15% for qualified foreign buyers
3. Escrow Services: Professional escrow services provide secure payment processing, ensuring funds are released only when all conditions are met and proper documentation is completed
4. Bank Transfers: Direct bank transfers provide the best security and documentation trail, essential for legal registration and future resale purposes
5. Structured Equity Releases: Some investors use phased investment approaches, purchasing land in stages as development progresses or infrastructure improves

Cash payments without proper bank documentation are strongly discouraged as they create security risks and may complicate future legal proceedings or resale transactions. Always insist on bank transfer records and proper receipts regardless of the payment method chosen.

Is it possible for foreigners to get a mortgage in Ghana, and if so, what are the rates and conditions?

Mortgages are available to foreigners through several Ghanaian banks, though terms are generally less favorable than those offered to citizens.

Interest rates for foreign mortgage borrowers typically range from 18-25% per annum for cedi-denominated loans. Some banks offer dollar-denominated mortgages at slightly lower rates of 12-15% annually, though these require proof of dollar income and may have additional currency risk considerations. These rates are significantly higher than those available to Ghanaian citizens due to perceived higher risk and regulatory requirements.

Foreign mortgage applicants typically need to provide a 30-40% down payment, compared to 10-20% often required for citizens. Loan terms can extend up to 25 years for qualified applicants, though most banks prefer shorter terms of 15-20 years for foreign borrowers. Required documentation includes proof of foreign income, Ghanaian bank account statements, tax clearance certificates, and often a local guarantor or co-signer.

Several banks offer specialized diaspora mortgage products designed for Ghanaians living abroad and other foreign nationals. These products may offer slightly more favorable terms and simplified application processes. However, most banks require applicants to maintain a relationship with the bank for 6-12 months before mortgage approval, including maintaining minimum account balances and demonstrating consistent income.

It's something we develop in our Ghana property pack.

Conclusion

This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.

Sources

1. Rehoboth Properties - Can Foreigners Buy Property in Ghana Guide
2. The African Vestor - Ghana Real Estate for Foreigners
3. The African Vestor - Foreigners Buying Land in Ghana
4. Generis Online - Foreign Property Ownership Laws in Ghana
5. Apartments.com.gh - Guide for Foreigners Buying Land
6. The African Vestor - Buy Land Ghana Monthly Payments
7. The African Vestor - Ghana Property Taxes
8. Vaal Properties - Ghana Property Market Analysis
9. Lakeside Estate - Common Land Buying Mistakes
10. Landmark Homes - Mortgages in Ghana