The 10% annual rent payment charged by housing agents is unlawful, according to the Rent Control Department.
Ashanti Regional Manager of the Department, Asare Osei Pensan, has therefore cautioned agents against charging more than 5%.
There has been an upsurge in demand for accommodation in urban areas as the ever-growing human population does not match available housing units.
The cost of renting has shot up, and some landlords demand two to three years rent advance.
Some also charge in foreign currencies, in violation of rent laws in Ghana.
Rent agents, who liaise between potential tenants and landlords, sometimes hijacked the few accommodation units in the system to make extra income.
Speaking with David Akuetteh on Luv In The Morning, Mr. Pensah observed a number of tenants have been duped or exploited by these middlemen.
“It is an offence for a broker to charge a certain amount as proceeds for a service rendered. It is an offense to charge more than 5% of an annual recoverable rent. This means the law recognizes agencies or agents. There is nothing wrong when someone acts as an agent. But an agent has to act professionally as the law demands.
“I have had a similar encounter which shocked me. Someone rented a place priced at ¢15,000. The agent was taking ¢1,500 from the tenant. The landlord was not even aware. The landlord mentioned that he did not give out any property to the agent. It was a wonder they got to know those premises were being rented out,” he said.
Landlords are also cautioned not to advertise a rental property without first getting an assessment certificate from Rent Control.
According to Mr Pensan, doing so is a breach of the Rent Act and landlords could face severe sanctions.
“Anyone having an interest in any property can call our office for an assessment of rent. The best thing a tenant can do if they want to rent a place is to come to the rent control office. We will assess and show you the amount to pay. It becomes an offense when you are charged more than you are supposed to, “ he said.
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