When it comes to buying a home in Ghana, securing a mortgage can be a daunting task. With so many mortgage providers in Ghana to choose from, it can be challenging to know which one is the right fit for your needs. In this article, we’ll look at some of the top mortgage providers in Ghana and provide you with the information you need to make an informed decision.
What is a Mortgage?
A mortgage is a loan that is specifically designed for buying property. When you take out a mortgage, you borrow money from a lender (usually a bank or other financial institution) to buy a house or apartment. The property you’re buying acts as collateral for the loan, which means that if you can’t make your mortgage payments, the lender can repossess the property to recoup their losses.
Types of Mortgages in Ghana
There are several types of mortgages available in Ghana, and each has its own advantages and disadvantages. The most common types of mortgages in Ghana are:
1. Fixed-Rate Mortgages
These mortgages have a fixed interest rate that remains the same for the entire loan term. This means your monthly payments will always be the same, making it easier to budget and plan your finances.
2. Adjustable-Rate Mortgages
These mortgages have an interest rate that can change over time, depending on market conditions. This means that your monthly payments may go up or down over the course of your loan term.
3. Balloon Mortgages
These mortgages have lower monthly payments at the beginning of the loan term but require a large payment (or “balloon payment”) at the end of the term.
4. Interest-Only Mortgages
These mortgages allow you to pay only the interest on your loan for a set period of time (usually the first few years) before you start paying off the principal.
How to Apply for a Mortgage in Ghana
To apply for a mortgage in Ghana, you’ll need to meet certain eligibility criteria and provide the lender with several documents, including:
- Proof of income (such as payslips or tax returns)
- Bank statements and other financial records
- Proof of identity (such as a passport or driver’s license)
- Details of the property you’re buying (such as the purchase price and location)
Here are 8 mortgage providers in Ghana to finance your dream home.
1. First National Bank (FNB)
First National Bank is a leading mortgage provider in Ghana. It provides a wide range of home purchase mortgages, such as home construction mortgages, land purchase mortgages, homeowners mortgages, and save-to-own. Whether you are a first-time buyer, buying to let, or a home purchase loan, FNB can help you secure a loan for a home.
2. Stanbic Bank
Stanbic Bank is a financial institution that offers various home loan solutions that enable you to achieve your essential life ambition. Their home loan solutions include home purchases, developer construction, refinancing, equity release, home improvement, and many others.
You can enjoy loan choices, no maximum amount limitations, and payment on your own terms.
3. United Bank for Africa (UBA)
United Bank for Africa is a multinational bank providing exceptional customer service. Their mortgage loan is designed to part-finance the acquisition of residential real estate by salary earners whose employers are listed on the bank’s approved counterparty list. Home financing and equity release are the type of mortgage services they offer.
4. Absa Bank
Absa Bank home loan services make it easier, faster, and more convenient to own your dream home. It doesn’t matter whether you are buying a home, borrowing against a home you own, or upgrading your existing home, Absa has got you covered. Some of their home loan benefits include an annual percentage rate of 27.5%, an offer of up to 90% finance for home purchase and up to 70% for equity release and home improvement, lending you up to GHS5,000,000, an offer of a tenor of 5 to 20 years and many others.
5. Cal Bank
If you are thinking of buying a home or helping you finish your dream property, CalBank mortgage is your answer. CalBank offers various home loans that enable
you to buy or build the property of your dreams. This includes home purchase, developer or home completion, equity release, and refinancing. To be eligible for their home loans, you must be an income earner aged 22 to 60 and have other requirements.
6. Republic Bank
Republic Bank is one of the best financial institutions in Ghana that provides mortgages to its customers to own their dream homes easily. As a well-established bank, they have tailored mortgage solutions that suit every need. Their home loan solutions include home purchase mortgages, home equity mortgages, home completion home improvement, and others.
7. Fidelity Bank
Fidelity Bank has one of the best mortgage services in Ghana. Their home finance option offers loan amounts up to 80% and 20 years repayment plan. The home equity plan has 20 years repayment plan and a debt service ratio of up to 50%. Other mortgage plans they offer are home completion, home improvement, and serviced plat finance.
Whether you’re buying a new home, or renovating or refinancing the home you live in now, Ecobank’s mortgage loan is the ideal way to finance it. Ecobank mortgage loan offers a convenient repayment of up to 10 years.
That rounds up the top mortgage providers in Ghana. You can log on to their website to learn more and contact them today.
One of the trusted real estate developers in Ghana you can purchase your dream home is Lakeside Estate. Our 2, 3, and 4 bedrooms are gentle on your pocket and come with flexible payment plans. Reach out to us at +233 (0) 20 477 5043.
Securing a mortgage in Ghana doesn’t have to be a daunting task anymore. With the right information and a little research, you can find the right mortgage provider to fit your needs. We hope this article has provided you with valuable information to help you make an informed decision. Remember, choosing the right mortgage provider is an important decision that can have a significant impact on your financial future.