Two Years Rent Advance Making Ghanaians Poor

It is to be observed that despite a growing urban migration, very little, has been done on the part of successive governments to address accommodation problem.

This unfortunate situation, has gone to further the greed of landlords and landladies, who are drawing blood out of their tenants.

Government, can continue to tout its micro-economic achievements, those figures only look good in our books, but in reality, things are still the same.

The staggering figure of about 85 percent of Ghanaians, unable to own their own homes, should be enough to awaken any government to its responsibilities.

Ghana currently has a housing deficit of 1.7 million which tilts the power to the supply side of the housing sector. With landlords at the supply end, tenants at the demand end, and demand exceeding supply, landlords have become incredibly powerful and thus dictate the terms of the rental agreement.

Over the years, we have all complained about the two-year rent advance, which is rendering many Ghanaians penniless.

This is because, the moment you are able to raise the two years advance, you start saving again to able to meet the expected increment, when that expires.

Savings is a big problem in this country, because 80 percent of workers salary is spent on rent.

The Rent Control Act 220 , restricts Landlords from charging rent payments in advance beyond six months.

Act 220 which replaced the Rent Ordinance Law, was tactically enacted to take care of exigencies of potential tenants and tenants to ensure that Landlords did not put too much financial strains on tenants who requested to hire their properties.

Something urgent must be to stem the tide where homes owners take advantage of their tenants by demanding for two years advance, this situation that has led to high rate of youth sleeping in the open.

Source: The Herald