Top 5 major African cities with the best mortgage values

Mortgage as a Percentage of Income is a ratio that compares the monthly mortgage payment to the family’s take-home income, with a lower percentage being better.

A decent mortgage-to-income ratio, in which mortgage payments account for a smaller share of family income, provides various benefits for both individuals and the greater economy in African cities.

For starters, a lower mortgage-to-income ratio reduces housing costs, enabling more individuals to buy homes.

This has the potential to increase homeownership rates, which is significant in African cities where housing affordability is a concern.

Owning property allows families to accumulate long-term wealth. Homes appreciate over time, allowing homeowners to profit from the increased value of their property.

Furthermore, a favorable mortgage-to-income ratio indicates that households spend less of their income on housing, freeing up funds for other needs such as education, healthcare, savings, and investing.

This alleviates financial hardship and improves their general level of living, as well as present other economic advantages to any given region, including the reduction of slums and attraction of foreign investments.

According to Numbeo, this is calculated by assuming a 100% mortgage over 20 years for a 90-square-meter home.

The home price is based on the average cost per square meter, taking into account both city center and suburban prices. The family’s income is estimated using the average monthly salary.

With that said, here are the 5 African cities with the best mortgage to income ratio, according to Numbeo.