The National Housing Fund (NHF) in Ghana has announced a reduction in the interest rate on its National Mortgage Scheme from 13.5% to 8.4%. This move aims to make homeownership more affordable for Ghanaians. The Chief Executive Officer of the NHF, Prosper Hoetu, made this disclosure at the opening of the National Conference on Housing Finance on October 7, 2026.
In addition to the reduced mortgage interest rate, the NHF has also lowered the interest rate for developer financing to 10.4%. This has been achieved through a blended financing arrangement between the NHF and its partner financial institutions. According to Hoetu, the response to these changes has been encouraging, with a significant number of applications from prospective homeowners who previously could not qualify for mortgages.
The NHF has received a considerable number of applications from Ghanaians seeking to own homes. The reduced interest rates have made it possible for more people to consider a mortgage. Furthermore, several financial institutions have expressed interest in participating in the programme, necessitating an increase in investment to accommodate more applicants.
The NHF has successfully piloted the National Mortgage Scheme and the Rent-to-Own Scheme. Over the last year and a half, the Fund has reviewed these schemes to make them more affordable and accessible. Hoetu emphasized that the housing challenge should not be viewed solely as a social issue but also as an important part of Ghana's economic development.
To address the housing finance challenge, the NHF, together with various government ministries and institutions, convened the National Conference on Housing Finance. The two-day conference aims to explore ways of expanding access to housing finance, addressing constraints on housing supply, promoting green and climate-smart housing, and increasing the use of non-interest banking and green financing for housing.
As part of its efforts to develop a comprehensive strategy for the housing sector, the NHF commissioned a rapid diagnostic assessment of Ghana's housing sector in August 2026. The assessment, conducted in partnership with Shelter Afrique Development Bank and the Ministry of Works, Housing and Water Resources, used Shelter Afrique Development Bank's VIRAL Diagnostic Toolkit to examine the Vision, Institutions, Regulations, Actors and Local initiatives within the housing ecosystem.
The diagnostic report has been completed, and a high-level summary is set to be presented at the conference. The NHF intends to develop a Country Housing and Urban Development Partnership Strategy (CHUDPS) based on the findings, with the aim of creating a framework for mobilising resources and investment into the housing sector.
Key points
- The National Housing Fund reduces mortgage interest rate to 8.4% to make homeownership more affordable for Ghanaians.
- The Fund has also lowered the interest rate for developer financing to 10.4% through a blended financing arrangement.
- The NHF is set to present a high-level summary of a diagnostic report on Ghana's housing sector at the National Conference on Housing Finance.
