Ghana’s real estate market has experienced significant growth over the last ten (10) years, with Accra leading the way as the primary investment destination. However, the increasing saturation of properties in Accra has led to lower rental yields and a growing demand for alternative investment hubs. As investors look to diversify their portfolios and maximize returns, Kumasi presents itself as an emerging real estate hotspot with promising opportunities.
Real Estate Market Trends in Ghana
The Ghanaian real estate market has remained resilient despite economic fluctuations, boasting an average return on investment (ROI) of 8-12% in key areas such as Accra and Tema. However, as competition increases and saturation becomes more evident, investors are now exploring new cities that offer better long-term growth potential.
Why Kumasi is the Future of Ghanaian Real Estate
Kumasi, Ghana’s second-largest city, is rapidly gaining attention as a prime destination for real estate investment.
Here’s why investors should turn their focus to Kumasi, the hub of Ghana’s middle belt.
- Strong Rental Demand and Appreciation Potential
With the recent construction of Prempeh I International Airport, the city is becoming a major travel hub, attracting both local and international business visitors. There are now over 600 domestic flights per month, increasing connectivity and boosting the demand for rental properties. As a result, rental yields in Kumasi are projected to surpass Accra’s current figures, making it an attractive choice for investors.
- Booming Economy and Cultural Hub
Kumasi is not only a business hub but also the cultural heart of Ghana. The city hosts numerous annual cultural events such as the Akwasidae Festival, which attracts thousands of visitors and creates demand for short-term rental properties. Additionally, Kumasi’s strategic location as the epicentre of the Asante Kingdom makes it a sought-after location for businesses and expatriates looking for an authentic cultural experience.
- Infrastructure Development
The city has seen massive investments in infrastructure, including improved road networks, shopping malls, and educational institutions such as the Kwame Nkrumah University of Science and Technology (KNUST) and Kumasi Technical University among others. These developments have spurred interest from both homeowners and investors seeking long-term gains.
- Mining and Commercial Expansion
The Ashanti region is home to some of Ghana’s largest gold mining operations, bringing a steady influx of professionals and expatriates in need of high-quality housing. This provides a lucrative market for premium townhomes and apartments in secure gated communities.
- Lifestyle and Entertainment
Kumasi offers an exciting lifestyle with a mix of traditional and modern experiences. From the famous Kejetia Market, one of the largest in West Africa, to a growing number of high-end restaurants and hotels, the city caters to diverse tastes and lifestyles, making it an attractive destination for families and business professionals.
Investment Opportunities in Kumasi
As the demand for quality housing continues to grow, developments like The Greenwich at Airport Residential Kumasi and The Kensington Heights offer a unique opportunity for investors seeking to capitalise on the city’s growth.
With Kumasi’s expanding infrastructure, cultural vibrancy, and booming economy, the city offers an exciting opportunity for real estate investors looking to diversify their portfolios beyond Accra. Whether you’re looking for rental income or long-term appreciation, Kumasi is the place to invest in 2025 and beyond.
