Government intends to review the current Rent Act to address the perennial landlord-tenant impasse in the country.
This is according to the Minister for Works and Housing, Francis Asenso-Boakye.
Many stakeholders in the real estate sector have over time, complained of the current Rent Act 1963, Act 220, saying that the act which has been in existence since 1963, has outlived its usefulness and created avenues for property owners to exploit its loopholes.
But the sector minister believes a review of the Act will address these issues by creating a system where both tenants and landlords can make proper checks on each other before going into a tenancy agreement.
He made these assertions during a breakfast meeting organized by the Real Estate Times Africa on Monday, April 12, 2021.
“The review of the Rent Act 1963, Act 220 is seriously on the agenda of the Ministry. The proposed review of the act will make provision for a tenancy system which will compel landlords and property owners to conduct proper checks on tenants before renting out their properties. It is envisaged that the full implementation of the new proposed rent act together with the planned digitization of the operations of the Rent Control Department will help create a database of both landlords and tenants within the real estate market.”
Mortgage Act
Also touching on another important aspect of the sector, the Minister disclosed that the government is planning to amend the Home Mortgage Finance Act to suit current trends.
“The issue for closure has been very topical in recent times within the mortgage market. The current laws governing these transactions are not robust enough to protect modern companies in the event of default. For this reason, government intends to review the Home Mortgage Finance Act 2008, Act 770 to ensure full closure processes are simplified.”