Authored by the expert who managed and guided the team behind the Cameroon Property Pack
Everything you need to know before buying real estate is included in our Cameroon Property Pack
Commercial property in Cameroon generally costs 20-40% more per square meter than residential property but offers slightly lower rental yields of 9-12% annually compared to residential yields of 10.3-13.2%.
Both sectors show strong fundamentals in Douala and Yaoundé, with residential properties typically finding tenants faster and offering better liquidity for resale, while commercial properties provide more stable long-term income from established businesses.
If you want to go deeper, you can check our pack of documents related to the real estate market in Cameroon, based on reliable facts and data, not opinions or rumors.
Commercial properties in Cameroon cost significantly more upfront but residential properties offer higher rental yields and faster tenant acquisition.
Both sectors have shown steady 3-7% annual appreciation over the past five years, with residential properties offering better liquidity for investors.
| Aspect | Commercial Property | Residential Property |
|---|---|---|
| Purchase Price (Douala Center) | 1,400,000-1,700,000 CFA/m² | 1,182,883 CFA/m² |
| Purchase Price (Yaoundé Center) | 700,000-1,200,000 CFA/m² | 500,000 CFA/m² |
| Annual Rental Yield | 9-12% | 10.3-13.2% |
| Time to Find Tenants | 1-6 months | 1-2 months |
| Resale Timeframe | 6-36 months | 3-12 months |
| Down Payment Required | 40%+ | 20-30% |
| Interest Rates | 10-14% | 6-7% |
How much does it cost per square meter to buy commercial property in Douala and Yaoundé today?
Commercial property prices in Cameroon's major cities command a significant premium over residential properties.
In Douala city center, commercial properties cost between 1,400,000-1,700,000 CFA francs per square meter as of September 2025. This represents a 15-40% premium over residential prices in the same areas.
Yaoundé shows a wider range depending on the specific location and development level. Prime commercial spaces in the central business district range from 700,000 to 1,200,000 CFA francs per square meter. Raw commercial land in emerging areas like Mvan starts at 25,000 CFA francs per square meter.
Suburban commercial properties offer more affordable entry points. In Douala's suburban areas, commercial spaces typically cost 800,000-1,000,000 CFA francs per square meter, while Yaoundé suburban commercial properties range from 450,000-700,000 CFA francs per square meter.
The premium for commercial properties reflects their income-generating potential and strategic business locations.
How much does it cost per square meter to buy residential property in Douala and Yaoundé today?
Residential property prices vary significantly between city centers and suburban areas in both major cities.
Douala city center residential properties average 1,182,883 CFA francs per square meter, equivalent to approximately $1,890 per square meter. Suburban Douala properties are considerably more affordable at 572,240 CFA francs per square meter.
Yaoundé presents more budget-friendly options for residential buyers. City center properties average around 500,000 CFA francs per square meter (approximately $800 per square meter), while suburban areas cost around 350,000 CFA francs per square meter.
The price differential between the two cities reflects Douala's status as the economic capital and major port city, while Yaoundé serves as the political center with different market dynamics.
These prices position Cameroon as a relatively affordable market compared to other major African cities.
What is the average monthly rental yield percentage for commercial properties in Cameroon's main cities?
Commercial properties in Cameroon deliver solid but variable rental returns depending on location and property type.
The average gross rental yield for commercial properties ranges from 9-12% annually, translating to 0.75-1% monthly returns. Top-performing retail assets can achieve the higher end of this range.
Prime CBD office spaces and mall locations typically show lower yields due to their premium purchase prices, despite commanding higher absolute rents. Secondary commercial locations often provide better percentage returns.
These yields remain competitive with other African markets and significantly outperform many developed economies. However, investors should factor in higher vacancy rates and longer tenant acquisition periods for commercial properties.
It's something we develop in our Cameroon property pack.
What is the average monthly rental yield percentage for residential properties in Cameroon's main cities?
Residential properties in Cameroon offer attractive rental yields that often exceed commercial returns.
| Location Type | Annual Yield | Monthly Yield |
|---|---|---|
| Douala City Center | 10.3% | 0.86% |
| Douala Suburban | 13.2% | 1.1% |
| Yaoundé City Center | 10.3% | 0.86% |
| Yaoundé Suburban | 13.2% | 1.1% |
| Student Accommodation | 14-15% | 1.2-1.25% |
| Apartment Blocks | 12-14% | 1.0-1.17% |
How quickly do commercial properties in Cameroon typically find tenants compared to residential ones?
Residential properties consistently outperform commercial properties in tenant acquisition speed.
Well-located residential properties in Douala and Yaoundé typically find tenants within 1-2 months. Properties in desirable neighborhoods can lease within just a few weeks when priced competitively.
Commercial properties face longer vacancy periods, ranging from 1-3 months for prime retail and office spaces to up to 6 months for larger or lower-quality assets. New commercial developments often struggle with persistent vacancy rates around 10% for non-prime locations.
The faster residential leasing reflects the broader tenant pool and consistent housing demand, while commercial leasing depends on business cycles and specific location requirements.
Economic downturns particularly impact commercial tenant acquisition, while residential demand remains relatively stable.
What are the main taxes and fees on rental income for both commercial and residential landlords in Cameroon?
Cameroon imposes several taxes and fees on rental income that vary between property types.
Individual landlords pay 10-15% gross rental income tax after standardized expense deductions. Commercial leases may be subject to additional VAT at 19.25% for VAT-registered entities.
Annual property taxes range from 0.2-0.5% of assessed property value, with some residential zones facing higher rates. Commercial landlords may also need business licenses with associated taxes.
New lease registration requires stamp duties of 10-15% of the first year's rent, though small residential lets often face lower rates. Professional management fees for commercial properties typically range from 5-10% of gross rent.
Municipal taxes and local council rates add additional costs that vary by location and property type.
How easy is it to resell a commercial property in Douala or Yaoundé compared to a residential one, and what are the average resale timeframes?
Residential properties offer significantly better liquidity and faster resale times than commercial properties.
Residential properties typically sell within 3-12 months in high-demand areas, with affordable and entry-level segments moving fastest. The larger buyer pool and diverse financing options contribute to quicker transactions.
Commercial property resales take 6-36 months depending on asset size and location. Prime income-generating retail or office properties with stable tenants sell fastest, while larger or specialized assets may take years to find suitable buyers.
Legal documentation quality, tenant status, and property condition significantly affect both sectors' transaction speeds. However, residential properties benefit from more standardized processes and broader buyer interest.
The commercial market's limited buyer pool and higher capital requirements create natural liquidity constraints that investors must factor into their exit strategies.
What are the main risks specific to commercial tenants in Cameroon, such as business closures or unpaid rents?
Commercial property investors in Cameroon face several tenant-related risks that require careful management.
1. **Business closure or bankruptcy** leading to early lease termination and prolonged vacancy periods 2. **Slow payment or unpaid rent**, particularly common with SMEs and new ventures operating on tight cash flows 3. **Legal disputes** when businesses refuse to vacate or claim force majeure during economic difficulties 4. **Macroeconomic correlation** where currency devaluation and inflation simultaneously impact multiple tenants' viability 5. **Sector-specific risks** where entire business categories face regulatory or market challengesThese risks are amplified during economic downturns when multiple businesses may struggle simultaneously, creating portfolio-wide vacancy issues for commercial landlords.
Due diligence on tenant financial stability and diversification across business sectors helps mitigate these commercial tenant risks.
What are the main risks specific to residential tenants in Cameroon, such as defaults or legal protections for renters?
Residential landlords face different but equally important tenant-related challenges.
1. **Payment defaults** or protracted non-payment, especially in lower-income segments 2. **Property damage** from tenant negligence or lease violations 3. **Strong pro-tenant laws** that may delay eviction processes and favor tenant rights 4. **Social issues** including overcrowding, unauthorized subletting, or property alterations 5. **Seasonal payment fluctuations** tied to employment cycles and economic conditionsEviction processes can be lengthy and costly, particularly for tenants who understand their legal protections. Property damage often exceeds security deposits, creating additional financial exposure.
Careful tenant screening and clear lease agreements help minimize these residential rental risks, though some level of bad debt should be factored into return calculations.
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How stable have property values been over the past five years for both commercial and residential sectors in Cameroon?
Both sectors have demonstrated resilience with steady appreciation trends over the 2020-2025 period.
Residential properties showed consistent upward movement with 3-7% annual appreciation in Douala and Yaoundé city centers. National median growth averaged 4-6% per year, with some high-demand years reaching 10% appreciation.
Suburban residential prices exhibited more volatility but maintained generally upward trends throughout the five-year period. Lower-priced segments often outperformed luxury properties during economic uncertainty.
Commercial properties experienced more cyclical performance, with highest volatility during external shocks like the pandemic and inflation spikes. Prime retail consistently outperformed office properties, while secondary and industrial assets lagged behind.
Both sectors proved less volatile than equities or local currency assets, providing relative stability for investors seeking wealth preservation during economic uncertainty.
What are the typical financing conditions (interest rates, loan-to-value ratios, down payment requirements) for buying commercial versus residential property in Cameroon?
Financing terms differ significantly between commercial and residential property purchases.
| Financing Aspect | Residential | Commercial |
|---|---|---|
| Interest Rates | 6-7% (qualified buyers) | 10-14% |
| Loan-to-Value Ratio | 70-80% | 50-60% |
| Down Payment | 20-30% | 40%+ |
| Loan Terms | 15-25 years | 5-15 years |
| Documentation | Standard employment verification | Detailed cash flow analysis |
| Approval Process | 4-8 weeks | 8-16 weeks |
It's something we develop in our Cameroon property pack.
Which neighborhoods in Douala and Yaoundé currently show the strongest growth and rental demand for each type of property?
Both cities offer distinct opportunities depending on property type and investment strategy.
**Douala's strongest commercial areas** include Bonanjo for CBD and government offices, Akwa for retail and transportation hubs, and Bonapriso for upscale mixed-use and office developments. Ndokoti shows emerging strength in logistics and industrial commercial properties.
**Douala's top residential neighborhoods** feature Bonapriso for luxury housing, Bonamoussadi for family rental blocks, and Logbaba, Makepe, and Cité des Palmiers for strong middle-class rental demand.
**Yaoundé's commercial hotspots** center on the central business district, Mvan for retail and logistics, Essos for mixed commercial use, and Bastos for embassy and international service sector tenants.
**Yaoundé's residential growth areas** include Bastos for luxury and expatriate housing, Etoudi for government worker housing, Biyem-Assi and Nkolbisson for middle-income and student accommodation, and Ngousso for new developments with high rental turnover.
These neighborhoods benefit from infrastructure development, employment centers, and demographic trends driving sustained rental demand.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Cameroon 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.
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.
The choice between commercial and residential property in Cameroon depends largely on your risk tolerance, capital availability, and investment timeline.
Residential properties offer higher yields, faster tenant acquisition, and better liquidity, making them ideal for investors seeking steady income and easier exit strategies, while commercial properties provide potentially more stable long-term income from established businesses despite higher upfront costs and longer vacancy periods.
It's something we develop in our Cameroon property pack.
Sources
- TheAfricanVestor - Average Price Per Square Meter Douala
- TheAfricanVestor - Average Property Price Douala
- Numbeo - Property Investment Douala
- BambooRoutes - Average Property Price Douala
- CBRE Africa Report 2025
- TheAfricanVestor - Yaoundé Price Forecasts
- Knight Frank Africa Report 2024-25
- Global Property Guide - Cameroon Rent Yields