DETERMINANTS OF MORTGAGE LOAN REPAYMENT IN GHANA

Authors

  • Justice Agyei Ampofo University for Development Studies, Tamale, Ghana, University of Education, Winneba-Ghana and Ghana Education Service, Upper West Region, Wa, Ghana
  • Isaac Mantey Mendel University, Czech Republic

DOI:

https://doi.org/10.51594/farj.v3i4.266

Abstract

The housing deficit in Ghana is an issue of concern for all. This study sought to analyse the determinants of the repayment of mortgage loans in Ghana. The study used both secondary and primary data. The mixed-method approach was used for the study. The data collection instruments were interviews, focus group discussions and questionnaires. The study revealed that socio-demographic characteristics of respondents, sex distribution of respondents, educational level of respondents, marital status of respondents, occupational status of respondents, household size of respondents, the income of respondents are some of the factors that affect the repayment of mortgage loans in Ghana. The study revealed that borrowers who earned higher income had a better repayment performance as compared to low income earning borrowers. In addition, higher household sizes have lower repayment capacity and lower household sizes have higher repayment capacity. The study recommends that the government of Ghana should institute state bodies responsible for providing liquidity to mortgages and mortgage properties and buying mortgages during periods of rising interest rates is a way of creating a secondary mortgage market for the Ghanaian mortgage industry.

Keywords:  Determinants, Mortgage, Repayment, Ghana.

Author Biography

Justice Agyei Ampofo, University for Development Studies, Tamale, Ghana, University of Education, Winneba-Ghana and Ghana Education Service, Upper West Region, Wa, Ghana

Justice Agyei Ampofo is a Built Environment Specialist with a special research interest in buildings maintenance or facility management or real estate management research/studies, land-use change or land management studies environmental management and sustainability research, and educational research.

Published

2021-12-19

Issue

Vol. 3 No. 4 (2021)

Section

Articles

Copyright (c) 2021 Justice Agyei Ampofo, Isaac Mantey

Creative Commons License

This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.

Fair East Publishing has chosen to apply for the Creative Common Attribution Noncommercial 4.0 Licence (CC BY) license on our published work. Authors who wish to publish their manuscript in our journal agree on the following terms:
1. Authors retain the copyright and grant us (Fair East Publishing and its subsidiary journals) the right for first publication with the work licensed under a Creative Commons Attribution (CC BY) License which permits others to share the work with an acknowledgment of the work’s authorship and initial publication in this journal. Under this license, author retains the ownership of the copyright of their content, but anyone is allowed to download, reuse, reprint, modify, distribute, and/or copy the contents as long as the original authors and source are cited. No permission is required from the publishers or authors.
2. Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the journal’s published version of the work (for example, publishing it as a book or submitting it to an institutional repository), with an acknowledgment of its initial publication in Fair East Publishing owned journals.
3. We encourage our authors/contributors to post their work online (such as posting it on their website or some institutional repositories) prior to and during the submission process since it produces scholarly exchange and greater and earlier citation of published work.