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Everything you need to know before buying real estate is included in our Cameroon Property Pack
The Cameroonian property market shows steady growth with urban expansion driving demand in major cities. Property prices have increased moderately over recent years, with Douala and Yaoundé leading market activity while secondary cities present more affordable opportunities for investors and homebuyers.
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.
As of September 2025, Cameroon's property market demonstrates steady growth with residential prices averaging XAF 489,000-675,000 per m² in Douala and XAF 425,000-610,000 per m² in Yaoundé.
The market faces challenges including limited mortgage financing (only 17-23% of purchases use loans) and high vacancy rates, but benefits from ongoing infrastructure investments and moderate rental yields of 5-7% in major cities.
| Market Indicator | Douala | Yaoundé | Secondary Cities |
|---|---|---|---|
| Avg. Residential Price (XAF/m²) | 489,000-675,000 | 425,000-610,000 | 190,000-350,000 |
| Rental Yield (%) | 5.5-7.0 | 5.0-6.5 | 4.0-5.5 |
| Annual Price Growth (5yr avg) | 3.5% | 2.8% | 1.5-2.0% |
| Vacancy Rate (%) | 11-14 | 11-14 | 8-12 |
| New Units Annually | ~9,000 | ~7,500 | ~11,500-18,500 |
| Foreign Investment Share | High | Medium-High | Low |
| 5yr Forecast (Baseline) | +11% | +9% | +6% |
What are current property prices per square meter in Douala, Yaoundé, and secondary cities?
As of September 2025, residential property prices in Cameroon show significant variation between major cities and secondary markets.
In Douala, the economic capital, residential properties average XAF 489,000 to 675,000 per square meter (approximately €745 to €1,030). This premium reflects Douala's status as Cameroon's commercial hub and port city, driving higher demand from both local professionals and international investors.
Yaoundé, the political capital, shows slightly lower residential prices at XAF 425,000 to 610,000 per square meter (approximately €650 to €930). The capital's government employment base and university presence maintain steady demand, though at more moderate price levels than Douala's business district.
Commercial properties command higher premiums in both cities. Prime commercial spaces in Douala range from XAF 750,000 to 1,200,000 per square meter, while Yaoundé's commercial properties average XAF 610,000 to 950,000 per square meter.
Secondary cities including Garoua, Bafoussam, and Limbe offer significantly more affordable options, with residential properties ranging from XAF 190,000 to 350,000 per square meter, making them attractive for first-time buyers and value investors.
How have property prices changed over the past five years?
Cameroon's property market has experienced steady but moderate growth over the past five years, with annual appreciation rates varying by city and property type.
In Douala and Yaoundé, residential properties have appreciated at an average annual rate of 2.8% to 3.5%. This growth reflects urban population expansion and gradual economic development, though it remains below inflation rates in some years, making property a mixed hedge against currency devaluation.
Commercial properties have performed slightly better, with annual growth rates of 3.5% to 4% in major cities. The commercial sector benefits from increased business activity and foreign investment, particularly in Douala's port-related industries.
Secondary cities show lower and more volatile growth patterns, averaging 1.5% to 2% annually. These markets are more sensitive to local economic conditions and infrastructure development timelines.
Over the five-year period ending in 2025, cumulative price increases totaled approximately 15% in Douala, 13% in Yaoundé, and 7% in secondary cities. These figures represent real gains but highlight the relatively conservative nature of Cameroon's property appreciation compared to more dynamic African markets.
What rental yields can investors expect in major Cameroonian cities?
Rental yields in Cameroon's major cities offer attractive returns compared to regional averages, though they vary significantly by location and property type.
Douala delivers net rental yields between 5.5% and 7% for residential apartments, with houses typically yielding slightly lower returns due to higher maintenance costs and longer vacancy periods between tenants.
Yaoundé's residential market generates net yields of 5% to 6.5%, reflecting the capital's more stable but lower-growth rental market driven by government workers and university populations with predictable income patterns.
Commercial properties in both cities outperform residential investments, delivering yields of 6.5% to 8%. Office spaces in prime business districts command premium rents from multinational corporations and local businesses seeking prestigious addresses.
These yields exceed the Central African regional average of 4.5% to 6%, making Cameroon competitive for income-focused investors. However, investors should factor in vacancy risks, property management costs, and occasional collection challenges when calculating expected returns.
It's something we develop in our Cameroon property pack.
How much new construction is happening annually in Cameroon?
Cameroon's construction sector produces substantial new housing and office space annually, though supply still lags behind growing urban demand.
| Construction Category | Annual Volume | Primary Locations |
|---|---|---|
| New Housing Units | 28,000-35,000 nationwide | Douala (9,000), Yaoundé (7,500) |
| Office Space | 140,000-240,000 m² | Primarily Douala & Yaoundé |
| Completion Rate vs Demand | 42-48% | Significant backlog remains |
| Secondary Cities Housing | 11,500-18,500 units | Garoua, Bafoussam, Bamenda |
| Infrastructure Projects | Multiple ongoing | Roads, ports, power systems |
| Private vs Public Development | 75% private sector | Government focuses on infrastructure |
| Construction Employment | ~180,000 workers | Growing sector importance |
The construction sector meets only 42% to 48% of projected housing demand, creating ongoing market tightness that supports price stability and rental yields. This supply-demand imbalance presents opportunities for developers and investors willing to navigate local regulatory requirements.
What financing options are available for property purchases in Cameroon?
Property financing in Cameroon remains challenging, with limited mortgage penetration and relatively high borrowing costs affecting market accessibility.
Current mortgage interest rates range from 7.5% to 10.2% for local currency loans, making borrowing expensive compared to global standards. These rates reflect Cameroon's monetary policy, banking sector risk assessments, and limited competition among mortgage lenders.
Only 17% to 23% of property transactions utilize mortgage financing, indicating that cash purchases dominate the market. This low financing penetration limits market liquidity and excludes many potential buyers who cannot access full purchase prices upfront.
Banks typically offer loan-to-value ratios between 55% and 70%, requiring substantial down payments that further restrict buyer access. Higher-income professionals and established businesses receive more favorable terms, while first-time buyers face additional qualification hurdles.
The predominance of cash transactions creates both challenges and opportunities. While it limits market participation, it also reduces systemic financial risk and can provide advantages for cash-rich investors in negotiations with sellers.
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How much foreign investment is entering Cameroon's property market?
Foreign investment in Cameroon's real estate sector totaled approximately US$138 million over the past three years, concentrated primarily in Douala and Yaoundé's commercial and high-end residential segments.
France leads foreign investment activity, leveraging historical ties and language advantages to develop commercial projects and luxury residential developments. French investors particularly focus on office buildings and shopping centers in prime urban locations.
Chinese investment has grown significantly, primarily through infrastructure-related real estate projects connected to Belt and Road Initiative activities. Chinese developers focus on large-scale residential developments and industrial real estate supporting their broader economic presence.
Nigerian investors represent the largest African contingent, drawn by regional business opportunities and cultural familiarity. They typically invest in commercial properties and upper-middle-class housing developments.
Belgian and Lebanese investors complete the main foreign investor base, often targeting niche markets like hospitality real estate and specialty retail developments. These investors bring specific expertise in property management and international tenant relationships.
Foreign investment concentration in major cities creates opportunities for local investors in secondary markets while driving quality improvements and international standards in urban developments.
What are current vacancy rates in Cameroon's property markets?
Vacancy rates across Cameroon's property markets have increased moderately over the past 24 months, reflecting economic pressures and oversupply in certain segments.
Residential vacancy rates in Douala and Yaoundé currently range from 11% to 14%, up from approximately 9.5% in 2023. This increase reflects slower economic growth, reduced expatriate populations, and new supply coming online faster than demand absorption.
Commercial property faces higher vacancy challenges, with rates between 16% and 19% for prime office spaces. The commercial sector struggles with oversupply from speculative development in previous years, combined with businesses downsizing or relocating to more affordable locations.
Secondary cities generally maintain lower vacancy rates of 8% to 12% for residential properties, as these markets have seen less speculative development and maintain closer supply-demand balance.
Rising vacancy rates create opportunities for tenants to negotiate better terms and rental concessions, while property investors face increased competition for quality tenants. However, well-located and properly managed properties continue to maintain high occupancy levels.
Property management quality becomes increasingly important in higher-vacancy environments, with professional management services helping property owners maintain competitive positions and minimize void periods.
What urban population growth is projected for major cities by 2030?
Cameroon's major cities face substantial population growth through 2030, creating significant additional housing demand that will shape property market dynamics.
Douala's population is projected to grow from 3.9 million in 2025 to 5.1 million by 2030, representing an increase of 1.2 million residents over five years. This 31% growth rate reflects the city's continued role as Cameroon's economic engine and primary employment destination.
Yaoundé will expand from 2.9 million to 3.7 million residents by 2030, adding 800,000 people to the capital region. Government employment growth, university expansion, and service sector development drive this 28% population increase.
Combined, these two cities will require approximately 160,000 to 195,000 new housing units by 2030 to accommodate population growth while addressing existing housing deficits. This represents an enormous development opportunity for property investors and construction companies.
Rural-to-urban migration patterns favor major cities over secondary centers, as job opportunities and infrastructure improvements concentrate in Douala and Yaoundé. This migration trend supports sustained property demand and rental market growth.
The housing demand calculations assume average household sizes of 4.2 people, typical for urban Cameroon, and factor in replacement of aging housing stock alongside new demand from population growth.
How are inflation and exchange rates affecting property costs and affordability?
Inflation and currency fluctuations have significantly impacted Cameroon's construction costs and property affordability over the past two years, creating challenges for both developers and buyers.
Inflation averaged 6.2% during 2024-2025, driven by global supply chain disruptions, energy costs, and food price increases. This inflation rate exceeded property price appreciation in many market segments, effectively reducing real property values for some investors.
The CFA franc depreciated approximately 7% against the US dollar and 3% against the euro over the past 24 months. This depreciation particularly affects construction costs, as many building materials and equipment are imported and priced in hard currencies.
Construction costs have increased by approximately 14% over two years, significantly exceeding general inflation rates. Steel, cement, and finishing materials show the largest price increases, forcing developers to raise selling prices or reduce profit margins.
Property affordability has declined, especially for middle-income buyers who face stagnant local currency wages while property prices incorporate higher construction costs. This affordability gap limits market expansion and favors cash-rich investors over leveraged buyers.
Developers increasingly seek hard currency revenues through sales to expatriates and foreign investors to hedge against continued CFA franc weakness and imported material cost inflation.
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.
What government policies are influencing property demand and prices?
The Cameroonian government has implemented several policies and infrastructure initiatives that directly influence property market dynamics and future price trajectories.
Recent VAT waivers for affordable housing projects reduce development costs and enable builders to offer more competitively priced units. These waivers particularly benefit first-time homebuyers and lower-income segments previously excluded from formal housing markets.
Fifteen-year property tax exemptions for new industrial zone developments encourage commercial real estate investment and industrial property construction. These incentives attract both domestic and foreign investors to designated development areas.
Major infrastructure investments include expansion of Douala's deep-water port, completion of Yaoundé's ring road system, and power grid improvements. These projects enhance property values in surrounding areas and improve long-term investment fundamentals.
The government's Vision 2035 development plan emphasizes urban infrastructure and housing provision, creating policy framework supportive of real estate development. However, implementation timelines often exceed original projections.
Land title reform initiatives aim to reduce property transaction risks and improve mortgage lending conditions. Progress remains slow but gradual improvements in title security support investor confidence and property values.
These policy initiatives boost investor confidence in major cities but show limited impact on secondary city development, maintaining the concentration of investment and development in Douala and Yaoundé.
What risks and challenges currently affect the Cameroonian property market?
Several significant risks and challenges impact property transactions and market performance in Cameroon, requiring careful consideration by investors and buyers.
Political stability concerns, particularly periodic unrest in Anglophone regions, reduce transaction volumes by up to 23% in affected areas. Security issues deter both local and foreign investment, creating regional price discounts and limiting market liquidity.
- Land Title Disputes: Affect approximately 11% of annual property transactions nationwide, creating legal uncertainty and transaction delays
- Regulatory Complexity: Ambiguous zoning laws and slow bureaucratic processes increase transaction costs and development timelines
- Infrastructure Deficits: Inconsistent power supply, limited water access, and poor road conditions in some areas reduce property values
- Currency Risk: CFA franc volatility affects foreign investors and import-dependent construction costs
- Limited Financing: Low mortgage availability restricts market participation and liquidity
Properties in regions experiencing security concerns typically transact at 8% to 12% discounts compared to similar properties in stable areas. This risk premium reflects buyer uncertainty and reduced investment interest.
Court systems operate slowly, with property disputes often taking 18-24 months to resolve. This judicial inefficiency increases transaction risks and encourages cash deals over complex financing arrangements.
Despite these challenges, well-researched investments in stable areas with clear title documentation continue to perform according to market fundamentals and benefit from Cameroon's long-term urbanization trends.
It's something we develop in our Cameroon property pack.
What are the forecast scenarios for Cameroon's property market through 2030?
Three distinct scenarios capture the range of possible outcomes for Cameroon's property market over the next five years, based on different assumptions about political stability, economic growth, and infrastructure development.
The optimistic scenario assumes strong political stability, successful infrastructure project completion, and increased foreign capital inflows, leading to price increases of 19% in Douala, 17% in Yaoundé, and 12% in secondary cities by 2030.
Under the baseline scenario, moderate economic growth continues with steady policy implementation and slight improvements in mortgage financing availability. This scenario projects price increases of 11% in Douala, 9% in Yaoundé, and 6% in secondary cities over five years.
The pessimistic scenario reflects heightened political risks, construction bottlenecks, and reduced investor confidence, potentially leading to price declines of 7% in Douala, 3% in Yaoundé, and 2% in secondary cities.
| Scenario | Key Assumptions | Douala Price Change | Investment Outlook |
|---|---|---|---|
| Optimistic (+19%) | Political stability, infrastructure delivery, foreign investment growth | Strong appreciation | Excellent for capital gains |
| Baseline (+11%) | Moderate growth, steady policy, improved financing | Modest appreciation | Good for income-focused investing |
| Pessimistic (-7%) | Political tensions, construction delays, investor uncertainty | Price pressures | Opportunistic buying only |
| Rental Yields | Expected to remain stable 5-7% | Income preservation | Defensive investment strategy |
| Foreign Investment | Varies significantly by scenario | Key market driver | Monitor policy changes |
| Infrastructure Impact | Critical success factor | Long-term value driver | Location selection crucial |
| Secondary Cities | Lower volatility, modest growth | Stable alternative | Value-oriented strategy |
Current indicators suggest the baseline scenario represents the most probable outcome, with selective outperformance in well-located properties benefiting from infrastructure improvements and demographic growth trends.
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.
Cameroon's property market presents opportunities for informed investors willing to navigate local challenges and focus on long-term urban growth trends.
Success requires careful location selection, thorough due diligence on property titles, and realistic expectations about market appreciation rates and timeline for investment returns.
It's something we develop in our Cameroon property pack.