Assessing The Level Of Patronage Of Estate Houses: A Case Study In Cape Coast Ghana

Abstract

Policy debates have established that urbanization is an irreversible phenomenon with more than undesirable externalities. The largest issue with urbanization, though is that it has not kept up with the housing demands of city residents, which has led to complaints about the lack of housing options in metropolitan regions. The study aimed at examining the level of patronage of estate housing development in Cape Coast, Ghana. The study used a cross-sectional design and a mixed-method approach with both quantitative and qualitative data collected. Simple random, convenient, and purposive sampling techniques were employed in the study. In all, 444 participants comprising 312 household heads, and 132 of those who have expressed interest in the estate houses for the past five years as well as 13 key informants were involved in the study. Rental apartment patronage theoretical framework underpinned the study. The study’s key findings are that, the institutional arrangement for estate house development in Cape Coast is not the best. Inadequate support on the part of the Government to both financial institutions and developers are among the challenges that prevent proper estate housing development, thereby leading to the low patronage of estate houses in Cape Coast, Ghana. Furthermore, the interest of lenders in estate housing development is low due to factors such as the unawareness of estate residents of the existence of mortgages in Cape Coast and how it works, high-interest rates, and higher terms of conditions. It is recommended that developers, lenders, and the Government should collaborate to regulate the estate market in Cape Coast to ensure high patronage of estate houses in the area. The study has however, increased our knowledge of the variables that can influence consumers decision regarding estate home deliveries (residential or office).