The Real Estate Dilemma: How VAT and Costs Affect Ghana’s Housing Sector

 The Ghana Real Estate Developers Association (GREDA) is advocating for significant changes in the real estate industry to improve affordability and growth. During the Graphic-GREDA Housing Fair, the association emphasized the need to scrap the 5% Value Added Tax (VAT) on real estate transactions, citing its impact on the cost of properties. GREDA argues that the removal of this VAT will make housing more affordable and stimulate industry growth.

Additionally, GREDA expressed concerns about the high cost of building materials, which continues to push property prices upward. They are urging the government to implement measures to address these challenges, such as reducing import duties on materials, enhancing local production, and encouraging public-private partnerships to develop affordable housing projects.

The fair also showcased innovative housing solutions, with developers and stakeholders discussing sustainable approaches to bridging Ghana's housing deficit. These discussions highlight the need for collaborative efforts between the government and private sector to create affordable and accessible housing.