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Cameroon's property rental market delivers some of Africa's strongest yields, with cities like Douala consistently achieving 10-13% gross returns. These impressive figures reflect sustained urban demand, limited housing supply, and steady population growth across major metropolitan areas.
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Cameroon's rental yields range from 6-13% depending on location, with Douala leading at 10-13% and Yaoundé delivering 6-12% returns.
Urban demand, limited supply, and growing expatriate populations drive these competitive yields, making Cameroon one of Central Africa's top rental investment destinations.
| City | Gross Rental Yield | Vacancy Rate | Average Price/m² | Investment Level | Main Property Type | Key Risk Factor |
|---|---|---|---|---|---|---|
| Douala | 10-13% | 2-8% | $1,850 | $35,000-$60,000 | Apartments/Condos | Legal bureaucracy |
| Yaoundé | 6-12% | <10% | $1,500-$2,000 | $30,000-$55,000 | Student housing | Lease enforcement |
| Secondary cities | 6-9% | Variable | $1,000-$1,400 | $20,000-$40,000 | Mixed residential | Lower demand |
| Rural areas | 4-7% | High | $800-$1,200 | $15,000-$30,000 | Detached houses | Limited market |
What is the average rental yield in Cameroon right now, and how has it changed in recent years?
As of September 2025, Cameroon's rental yields stand among Africa's strongest performers, with major cities delivering consistently high returns to property investors.
Douala leads the market with gross rental yields of 10-13%, while Yaoundé delivers 6-12% depending on the specific neighborhood and property type. Secondary cities across the country typically generate 6-9% yields, placing Cameroon well above regional averages.
These yields have remained stable or increased slightly over the past five years, driven by sustained urban population growth, limited new housing supply, and increasing demand from both local residents and expatriate communities. The combination of rising rental rates and relatively stable property purchase prices has maintained these attractive return levels.
It's something we develop in our Cameroon property pack.
Which factors most influence rental yields in Cameroon, and which cities offer the best investment returns?
Several key factors drive Cameroon's rental yield performance, with urbanization and housing supply constraints playing dominant roles.
Population growth and urban migration continue accelerating in major cities like Douala and Yaoundé, creating sustained rental demand that outpaces new construction. Limited housing supply, particularly in the affordable and mid-range segments, keeps rental rates elevated relative to property purchase prices.
Expatriate and student populations provide additional yield support, especially in neighborhoods near universities, international schools, and business districts. Properties with modern amenities, reliable utilities, and proximity to essential services consistently achieve premium rental rates.
Douala emerges as the top performer, with city center apartments averaging 10.3% yields and suburban properties reaching up to 13.2%. Yaoundé follows closely, with highest yields concentrated near universities and prime residential areas.
How does Cameroon's property market compare to neighboring Central African countries regarding rental yields?
Cameroon significantly outperforms most Central African neighbors in rental yield potential, establishing itself as the region's premier property investment destination.
While countries like Gabon, Republic of Congo, and Chad typically deliver 5-8% gross rental yields, Cameroon's 9-13% range represents a substantial premium. This performance gap reflects Cameroon's larger economy, more developed urban centers, and greater housing market liquidity.
The price-to-rent ratio in Cameroon also favors landlords more than in neighboring markets, where higher property prices relative to rental income often compress yields. Cameroon's combination of reasonable property acquisition costs and strong rental demand creates optimal conditions for investment returns.
Regional economic stability and infrastructure development further enhance Cameroon's competitive position, attracting both domestic and international investment capital to its property markets.
What are the main expenses landlords must consider when calculating rental yield in Cameroon?
Cameroonian property investors face several mandatory expenses that impact net rental yields, with taxation representing the largest cost component.
| Expense Category | Rate/Amount | Calculation Method |
|---|---|---|
| Rental Income Tax | 15% | Applied to gross rental income |
| Property Tax | 0.11% | Annual property value assessment |
| Fixed Expense Deduction | 30% | Automatic deduction from gross income |
| Miscellaneous Costs Deduction | Up to 500,000 CFA | Additional allowable expenses |
| Management Fees | 5-10% | Percentage of rental income |
| Transaction Costs (Purchase) | 8-15% | One-time cost of property value |
Property tax remains relatively low at 0.11% of assessed property value annually, while rental income faces a 15% tax rate on gross income. However, landlords benefit from a 30% fixed expense deduction plus up to 500,000 CFA in miscellaneous cost deductions.
Maintenance responsibilities fall primarily on property owners, with standard management and cleaning services ranging from 5-10% of rental income depending on service levels required.
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Which property types are most common for rent in Cameroon, and which deliver the highest rental yields?
Apartments and condominiums dominate Cameroon's rental market, particularly in urban centers where they comprise over 80% of available rental listings.
Small city-center apartments, especially 1-2 bedroom units in high-demand neighborhoods, consistently deliver the strongest yields due to their appeal to young professionals and expatriates. Student housing near universities represents another high-yield segment, benefiting from consistent demand and premium rental rates.
Modernized properties with reliable utilities, security features, and contemporary amenities command significant rent premiums over basic accommodations. Properties in central districts with easy access to business areas, schools, and shopping centers rent quickly and maintain low vacancy rates.
Short-term rental properties, particularly those suitable for business travelers and tourists, can achieve even higher effective yields in prime neighborhoods of Douala and Yaoundé, though they require more active management.
Detached houses in suburban areas typically generate lower yields but may appreciate faster in value, making them attractive for long-term capital growth strategies rather than immediate rental income.
How do local laws and regulations affect rental yields in Cameroon?
Cameroon's rental legislation provides a structured framework that generally supports landlord interests while offering tenant protections, though enforcement consistency varies.
National statutes require written tenancy agreements and mandate at least one month's notice for eviction proceedings, providing legal clarity for both parties. Only courts can order forced evictions when disputes arise, creating formal resolution processes.
Rent control measures exist to prevent arbitrary rent increases and protect against illegal evictions, but enforcement can be inconsistent across different regions and jurisdictions. This creates some uncertainty for landlords planning rental rate adjustments.
The legal requirement for formal lease documentation helps protect landlord interests and provides recourse for non-payment issues. However, the court-based eviction process can be time-consuming, potentially extending vacancy periods during disputes.
It's something we develop in our Cameroon property pack.
What is the rental demand difference between urban and rural areas in Cameroon?
Urban rental demand far exceeds rural demand in Cameroon, creating significant yield disparities between metropolitan and countryside properties.
Douala and Yaoundé experience strong rental demand with vacancy rates of 2-8% and below 10% respectively in key districts. This tight market reflects continued urban migration, job concentration in major cities, and limited new housing construction.
Both cities maintain active short-term rental markets through Airbnb and business accommodation services, with strong occupancy rates in prime neighborhoods supporting premium pricing for well-located properties.
Rural areas demonstrate much lower rental demand, with correspondingly reduced yields and higher vacancy risks. Limited economic opportunities, fewer job prospects, and traditional homeownership preferences in rural communities restrict rental market development.
The urban-rural divide in rental performance reflects broader economic patterns, with cities offering better employment, education, and infrastructure that drive housing demand and support sustainable rental yields.
How much capital is typically required for rental property investment in Cameroon, and what financing options exist?
Entry-level rental property investment in Cameroon requires substantial upfront capital, with financing options carrying higher costs than many international markets.
City center apartments in Douala average $1,850 per square meter, with entry-level units typically requiring $35,000-$60,000 depending on size and specific location. Yaoundé properties range from $30,000-$55,000 for comparable investment-grade units.
Local mortgage financing is available but comes with higher interest rates of 12-15% and stricter requirements for foreign investors and non-residents. Down payment requirements often exceed 30-40% of property value, significantly increasing initial capital needs.
Transaction costs add 8-15% to total acquisition costs, including legal fees, registration costs, and notary charges. These additional expenses must be factored into initial investment calculations and yield projections.
Alternative financing through local partnerships or developer payment plans may offer more flexible terms, though these arrangements require careful legal review and due diligence.
What rental income tax rates apply in Cameroon, and how do they impact overall yields?
Cameroon applies a 15% tax rate on gross rental income for individual property owners, with several deductions available to reduce the effective tax burden.
The tax system allows a 30% fixed deduction from gross rental income to account for standard property-related expenses, plus up to 500,000 CFA annually in additional miscellaneous costs. This structure recognizes the inherent costs of property ownership and management.
After accounting for these deductions and standard operating expenses, net rental yields typically remain attractive by both regional and international standards. The tax burden represents a manageable portion of rental income while maintaining competitive returns.
Property-related expenses including maintenance, management fees, and depreciation can be deducted against rental income, providing additional tax efficiency for actively managed properties. Proper documentation of these expenses is essential for maximizing available deductions.
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 are the vacancy rates in major Cameroonian cities, and how do they affect investor profitability?
Low vacancy rates in Cameroon's major cities support strong rental yields and provide confidence for property investors considering the market.
Douala maintains vacancy rates of 2-8% across different neighborhoods, with premium locations and well-maintained properties experiencing the lowest vacancy periods. Central business district apartments and properties near major employers consistently achieve full occupancy.
Yaoundé's key districts report vacancy rates below 10%, driven by steady demand from government employees, students, and international organizations. University areas and diplomatic quarters maintain particularly low vacancy rates throughout the year.
These low vacancy rates translate directly into higher effective yields for investors, as properties spend minimal time unoccupied between tenants. Quick tenant turnover and strong demand support asking rental rates without extended marketing periods.
Properties with modern amenities, reliable utilities, and strategic locations experience even lower vacancy rates, often securing new tenants before current leases expire through word-of-mouth referrals and repeat business.
Are there emerging trends that could drive higher rental yields in Cameroon's near future?
Several positive trends indicate potential for sustained or improved rental yields in Cameroon's property market over the coming years.
Rising urbanization continues accelerating as rural populations migrate to cities for employment and education opportunities. This demographic shift maintains pressure on urban housing supply and supports rental demand growth in major metropolitan areas.
A growing middle class with increased purchasing power drives demand for higher-quality rental accommodations, supporting premium rental rates for well-appointed properties. Infrastructure improvements in major cities enhance property values and rental appeal.
Expanding international business presence and diplomatic activity, particularly in Yaoundé and Douala, creates sustained demand for expatriate housing at premium rental rates. Regional economic integration efforts may increase cross-border business activity and housing demand.
It's something we develop in our Cameroon property pack.
Development of new business districts and commercial centers creates additional rental demand hotspots, while limited new construction maintains supply constraints that support rental rate growth.
What are the main risks in Cameroon property investment, and how can investors mitigate them for consistent returns?
Cameroon property investment involves several risk factors that require careful management to ensure consistent rental returns and capital preservation.
1. **Political instability** in certain regions can affect property values and rental demand, particularly in areas experiencing security concerns 2. **Legal bureaucracy** and enforcement challenges may complicate property transactions and tenant dispute resolution 3. **Currency risk** exposure for international investors due to CFA franc fluctuations against major currencies 4. **Lease enforcement** difficulties that can extend vacancy periods and reduce effective yields during tenant disputes 5. **Economic downturns** that may cause temporary vacancy surges and rental rate pressureRisk mitigation strategies include conducting thorough due diligence using local legal counsel familiar with Cameroonian property law and procedures. Targeting properties in high-demand, central urban neighborhoods reduces vacancy risk and maintains rental stability.
Working with established local property management companies provides ongoing market expertise and helps navigate regulatory requirements. Diversifying across multiple properties and locations within Cameroon reduces concentration risk.
Maintaining adequate cash reserves for vacancy periods and unexpected maintenance costs ensures operational continuity during challenging periods. Regular property inspections and proactive maintenance preserve asset value and rental appeal.
Building relationships with local real estate professionals, legal advisors, and property managers creates support networks essential for successful long-term property investment in Cameroon's evolving market.
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 rental market demonstrates exceptional yield potential for informed investors willing to navigate local market conditions.
With proper due diligence, strategic property selection, and professional local support, investors can achieve the attractive returns that make Cameroon one of Central Africa's premier real estate investment destinations.
Sources
- BambooRoutes - Average rent Cameroon
- TheAfricanVestor - Average rental yield Douala
- BambooRoutes - Average rental yield Yaoundé
- Simtrade - Cameroonian real estate market
- BambooRoutes - Average price per sqm Cameroon
- TheAfricanVestor - Cameroon property investment
- TheAfricanVestor - Average rent Douala
- Global Property Guide - Cameroon rental income tax
- Statista - Cameroon residential real estate outlook
- Global Property Guide - Cameroon price-rent ratio