How are mortgage payments calculated in Ghana?

This calculator uses the standard amortising formula M = P·r / (1 − (1+r)⁻ⁿ), where P is the loan, r is the monthly rate (annual rate ÷ 12) and n is the number of months. Each payment covers interest first, with the remainder reducing the balance.

Why are Ghanaian mortgage rates so high?

Ghana has had elevated inflation and policy rates, so mortgage rates are correspondingly high — roughly 18–28% with specialist lenders and 22–32% with commercial banks. Some lenders offer lower rates on US-dollar-denominated loans, which carry currency risk.

How much deposit do I need for a mortgage in Ghana?

Most Ghanaian lenders require a deposit of 10–20% of the property price, capping the loan-to-value ratio at around 80–90%. A larger deposit reduces the loan, the interest paid and the lender's risk.

What is the affordability stress test?

Lenders check that your repayment stays within a sensible share of income — commonly around 40% of gross monthly income. This calculator flags whether your instalment fits that limit and also recomputes the payment at a higher rate to test for rate rises.

Does this calculator store my data?

No. Every figure is computed locally in your browser and nothing is uploaded, so your details stay private.

Ghana Mortgage Calculator

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This Ghana mortgage calculator models a standard amortising home loan in cedis. Enter the property price, your deposit, the interest rate and the term, and it returns your monthly repayment, the loan-to-value ratio, the total interest, and an affordability stress test.

How it works

Each monthly repayment is fixed under the annuity formula:

M = P · r / (1 − (1 + r)⁻ⁿ)

where P is the loan (price minus deposit), r is the monthly rate (annual rate ÷ 12 ÷ 100) and n is the number of months. The loan-to-value ratio is the loan divided by the price; Ghanaian lenders typically cap this at 80–90%, so you usually need a 10–20% deposit. The tool also runs a stress test at the rate plus 4 percentage points and checks whether the instalment stays within roughly 40% of your stated monthly income.

Example

Buy a GHS 800,000 home with a GHS 160,000 deposit (20%) at 25% p.a. over 15 years. The loan is GHS 640,000, the loan-to-value ratio is 80%, and the monthly repayment works out at roughly GHS 13,800 — illustrating how high rates dominate the total cost.

Notes

This is a principal-and-interest estimate. It excludes legal fees, valuation, mandatory fire insurance and lender arrangement fees, all of which add to the true cost of borrowing. Dollar-denominated mortgages can quote lower rates but expose you to cedi depreciation, so weigh the currency risk carefully.