1 CHAPTER ONE GENERAL INTRODUCTION 1.1 Introduction Despite man's unprecedented progress in industry, education, and the sciences, the simple refuge in affording privacy and protection against elements of weather is still beyond the reach of most members of the human race. The unevenness of man's advance from the lower species is best illustrated in his struggle for shelter (UN-HABITAT, 2003). Shelter is recognised throughout the world as a basic human right and the adequacy or otherwise of housing is an important component of individual wellbeing (Korboe 1992). In view of this, the United Nations General Assembly unanimously adopted a resolution proclaiming 1987 as the International Year of Shelter for the Homeless (Manama and Antwi 2006). According to Mulder (2006), governments of nations are full of attempts to provide adequate shelter for the population. However, the housing production is slow and the dilemma of population forecasters illustrates the complex way in which population and housing are interrelated. The UN-HABITAT (2003) indicates that for the many years of effort and financial expenditure that so many governments have spent in trying to expand homeownership, rental housing still constitutes a large component of the housing stock in many countries. While the incidence of renting varies considerably across the world, rental housing accommodates a significant share of families in many countries. These include the world's most developed societies like Germany where rental housing constitute 60 per cent of house ownership (UNHABITAT 2003). The bulk of housing across the world has been provided by the private sector, and increasingly by small investors for their workers as part of their social obligation or for profit (UN-HABITAT 2003). According to UN-HABITAT (2003) the few institutions that used to provide housing has ceased to do so despite their unprecedented attraction of people into cities as evident during the industrial revolution hence rental housing becomes the solution to home ownership. Within the developing countries like Ghana, deteriorating housing in the rural areas and shortage in urban areas constrain the housing supply especially for the low and moderate income 1 2 households (Owusu l999) and an alternative solution to housing ownership is renting and sharing. According to UN-HABITAT (2010), housing ownership problems continue to increase and the only solace this is rental which represents 22.1 per cent of the housing stock in Ghana. According to Mulder (2006), population growth through immigration leads to growth in housing demand. The introduction of University for Development Studies (UDS) Wa campus as a growth pole has the tendency of influencing rental housing situation in Wa since 77.1 per cent of the entire student population depend on rental houses as means of accommodation. UNHABITAT (2010) indicates that, rental housing in Upper West Region constitute 13.3 per cent of housing stock in the region. It is, therefore, imperative to assess rental housing situation in Wa in relation to the establishment of UDS Wa campus on the daily lives of students, ordinary renters, landladies and landlords. The study highlights the economic effects rent charges on students and the current situation that emanate from the establishment of UDS Wa campus. 1.2 Problem Statement The centripetal nature of the cities creates intense pressure on the economic and spatial structure of urban systems such as on services and facilities like hospitals, educational institutions, housing, transport, telecommunication systems and energy supply. This is because the provisions of these facilities are expanding at rates slower than the rate of growth of the urban population thus creating a wide margin between demand and supply of urban infrastructural facilities and services (Olayiwola et al 2006). This assertion is of much relevance to housing and population situation in Ghana. According to UN-HABITAT (2010), Ghana housing problem is one of a national development crisis with a current annual need of 70,000 units and an accumulated delivery deficit of 250,000 units needed to de-crowd urban households from over 10 to a household occupancy rate of 7. An average annual delivery of 133,000 units are needed to provide adequate housing within the next twenty years, as against the current annual delivery of 28,000 units which yields a performance rate of 21 per cent. 3 As per the study area, Wa has a population of 96,818 people, 16,516 houses and a household size of 5.9 persons. Using the assumption that every household is to one housing unit or average household per house of 3.5 (Ghana Statistical Service 2000) this gives a housing deficit of 39,012 housing units hence renting and sharing is the only ameliorating factor which constitute 13.3 per cent (UN-HABITAT 2010) of housing stock in Upper West Region. The nature of the city land uses is a process that changes with the economy (Olayiwola et al 2006). The introduction of UDS as a growth pole in an area has effects on access to basic services and facilities including housing. With existing housing deficit of 39,012 in Wa and slow hostel development around the campus, the campus only accommodate 22.9 per cent of the entire student body. The remaining 77.1 per cent will have to seek accommodation in rental houses elsewhere either within the immediate surrounding areas or within Wa Township itself. This situation affects students and ordinary renters especially the poor in getting accommodations. The delivery of housing at rates that would be adequate to meet the rapid growing population has since been a major concern of governments and the public at large. In spite of efforts made by governments and private estate developers to provide accommodation for students, the problems continue to worsen. An immediate solution to accommodation problems on campus is rental housing which represents 22.1 per cent of the housing stock in Ghana (UN-HABITAT 2010). It is against this imperative background that, the study seeks to examine the plight of student in the light of rental housing in Wa. 1.3 Research Questions In view of the above circumstances, the study seeks to find out; 1. What are the housing needs of Students of UDS Wa campus? 2. What are the problems in renting accommodation on students’ lives? 3. Are students satisfied with the rent they pay in relation to the services and facilities provided by landlords? 4. What are the policy recommendations to rental housing? 4 1.4 Research Objectives From the above questions, the general objective of this study is to assess the effects of student intake on the trend of rental housing in Wa. The specific objectives are as follows: 1. To explore housing needs of students in UDS Wa campus. 2. To examine the problems of rental housing on students’ lives. 3. To assess housing satisfaction in relation to payments made for services and facilities provided by landlords. 4. To make policy recommendations concerning rental housing in Wa. 1.5 Justification of the Study The annual urban housing need in urban areas of developing countries alone is estimated at around 35 million units (during 2000-2010). The bulk of these, some 21 million units, are required to cater for the needs of the increasing number of households. The rest is needed to meet the requirements of people who are homeless or living in inadequate housing (UNHABITAT 2001). Students’ residential accommodation in universities is rapidly gaining grounds within the context of this problem This study unveils and highlights how rental housing situation is, after the establishment of UDS Wa Campus. Also the study identifies the relationship between rent paid and accommodation satisfaction, the housing needs of students, and the problems of students’ rental housing. It will also indicate the economic and social effects of students renting housing and how the current situation has been handled by the Rent Control Department (RCD). This study provides direct policy relevance to the way forward for rental housing by linking the corporate world with decision making through research findings and recommendations. Also the study will serve as an addition to academic knowledge in the field of housing and provide data base for Wa, RCD, the District Assembly and the University. The study will also improve the personal knowledge in the field hence help improve human resource base for the country. 5 1.6 Scope The scope of this study is divided into two; geographical scope, contextual and time scope. Geographically, the study area of performance is Wa which is located in Upper West Region under Wa Municipality. It shares boarders with the following settlements - to the north by Kperisi, south by Kpongu, east by Busa and to the west by Charia. Contextually, the study is to examine university students’ residential accommodation and rental housing in Ghana in relation to the establishment of UDS Wa campus. With reference to time line, the research was due to start in September 2010 to April 2011. 1.7 Research Methodology The methodology of this study will include the proposed research design, sampling and sampling method, data collection procedures and data analysis procedures 1.7.1 Sample Determination and Sampling Method On the basis of resource inadequacy and limited time, a sample was used as a fraction to present the study population. From the research questions and objectives purposively, the unit of analysis include landlords, student, and Rent Control Department (RCD) and the Municipal Assembly. In the determination of the sample sizes of the community, the formula below is used n= N 1+N(a2) Where n = sample size N = sampling frame 1 = constant a = confidence level The above is used because of data availability for all variables. As much as 77.1 per cent (6739) of the student population is not accommodated by the school. Using that as the sampling frame and a confidence level of 90% n= 6739 l+6739(0.12) n=98. 5 6 Rounded up to the nearest whole number, 100 household questionnaires were administered to students. Institutional questionnaire for RCD, Municipal Assembly and the university authority were also be administered. Since the study area is divided into five clusters (See table 2), onefifth of the number of questionnaires were administered in each cluster with the assumption of even distribution of population across space. Further, for the number of landlord to be interviewed in each cluster, one-fifth of the number of questionnaires in each cluster was interviewed. 1.7.2 Data Collection Both primary and secondary data were used for this study. For the primary data, questionnaires were designed and interviews conducted for students, landlord, and institutions such as RCD. Observation will also be used as an instrument for the primary data collection when necessary. The secondary data also include literature on concepts and issues related to the study. These were obtained from scholarly journals, official statistics, reference books and technical reports. Table 1 shows a detailed methodology to this study. 7 Table: 1. 1 Data Type and Instrument for Collection Research Issue Objective Data Required Data Source Mode of Collection What are the housing needs of students? To know the housing needs of students Student intake, housing stock, housing facilities, housing demand and supply UDS, Ghana Statistical Service Interview guides and literature review What are the problems students renting accommodations? To know the problems of rental housing in students’ lives Current rent charges, student’s budget, housing facilities, Landlords, students and Rent Control Department (RCD) Interview guides and Questionnaire Are students satisfied with the rent they pay in relation to the services and facilities provided by landlords To assess whether students are satisfied with the rent they pay in relation to the services and facilities provided by landlords. Housing characteristics, housing facilities and services, rent levels Students Questionnaire Is there any way forward to rental housing situation in the area? Recommendation to the forward to rental housing in Wa Students and landlords opinions Students and landlord Questionnaire Source: Author’s construct, 2010 According to Rice (1995), in central limit theorem if a sample size of at least 30 is selected and properly distributed, research findings are close to reality when dealing with small sample size. From this proposition the emphasis is on distribution of the sample size. In order to give a true representation of current situation of this study, the study area (Wa) is divided into five clusters as follows; 8 Table: 1. 2 Cluster and their Description Cluster Location Description Bamahu North Sombo West Jahan Kabannye East Central South Water No. of Students Where the permanent campus is located Were the temporal campus was located High class residential area Low class residential area Middle class residential area 20 No. of Landlords 4 20 4 20 20 20 4 4 4 Village Source: Author’s construct, 2010 The questionnaires were equally distributed among the clusters with the assumption that the houses are equally distributed across the spatial entity. Within each cluster however, convenient sampling was used. Observation skills were also use to collect sensitive data 1.7.3 Data Analysis The processed data becomes information upon which informed decisions can be made. Techniques in both qualitative and quantitative data analysis were employed. For the quantitative data, Statistical Package for Social Sciences (SPSS) was used to facilitate the generation of percentages and means. The qualitative data were analysed to establish trends and patterns. Cluster analysis was used to establish the extent of variation of major indicators within cluster and the possible reasons to these effects. 1.8 Research Limitations The main limitation of the research was the inability of some respondents to give accurate information with regards to the correspondence between current and previous answered questions in the same questionnaire. In view of this limitation, 120 questionnaires were administered to cater for internal and external validity instead of the calculated sample size of 100. 9 1.9 Organisation of Report The report is organised in four chapters. Chapter one is the general introduction which incorporates the problem statement, research questions and objectives and the methodology adopted. Chapter two is literature review on concepts related to the key issues of the research and chapter three indicates the profile of the study area. Chapter four incorporates the analysis of research data and presentation of data that addresses the key research questions and objectives. Chapter five gives summary findings and recommendations. 10 CHAPTER TWO LITERATURE REVIEW AND CONCEPTUAL FRAMEWORK 2.1 Introduction It is remarkable how research has been devoted to the relationship between population and housing. Adequate housing supply might attract immigrants or influence their choice of residential location. Housing supply may also play a decisive part in leaving the parental home and the formation of married and unmarried unions. It is possible that the supply of housing plays a part in the timing of fertility or the number of children people have (Mulder 2006). Contrary, on the other hand, population growth through immigration plays decisive part on urban housing supply as it puts pressure on existing housing stock compelling immigrants to relay on renting and sharing. A large proportion of residents in cities and towns of developed as well as developing countries are tenants (UN-HABITAT 2003). Twenty years ago, renting and sharing in the cities of developing countries were neglected topics. They were neglected in two senses. First, as UNHABITAT indicated that, there was profound ignorance about who most tenants and sharers were, about the conditions in which they lived, and “almost nothing is known about those who provide rental accommodation”. Second, governments were wholly uninterested in tenants and sharers, except to convert them into homeowners (UN-HABITAT 2003). This chapter therefore seeks to review literature, which provides readers with a background for understanding current knowledge on a topic, and illuminates the significance for the new studies. 2.2 Rental Housing in Global Perspective Rental housing stock varies between countries, within countries and between cities. In some countries, rental housing is provided mostly by the public sector, in others by private landlords. In developed countries, most forms of renting are subject to the legal process, whereas in most developing countries this is not the case (UN-HABITAT 2003). Rental housing for poor families differs remarkably both within cities and across countries and this is evident in both cities is the range of rental housing options available – by location, quality, level of services and rent. In this regards, UN-HABITAT identified the following kinds of rental accommodation: 10 11 Rooms in subdivided inner-city tenements; Rooms in custom-built tenements; Rooms, beds or even beds rented by the hour in boarding or rooming houses, cheap hotels or pensions; Rooms or beds in illegal settlements; Shacks on rented plots of land; Rooms in houses or flats in lower or middle-income areas; Accommodation provided by employers; Public housing; and Space to sleep rented at work, in public places, even in cemeteries UN-HABITAT in 2003 further categorized these based on range of characteristics and key variables. Table 3 shows the diversity in rental houses. 12 Table: 2.1. Diversity in Rental Housing Variable Size Shared room Construction None – lot only Ownership Private Ownership Private Small scale Lodging Income Rental period Rent Maintenance Very poor Hours Free Dangerous Landlord-tenant relationship Profitability Familial Legality Loss-making or Subsidized Illegal Range of Characteristics Room with Self-contained access to shared small services Shack/garage Deteriorating central area Tenement Social Employer One or two rental property Large scale individual Ownership Poor Middle income Monthly Yearly Cheap Moderate Substantial Minor problems Problems Informal Semi commercial Self-contained large High rise or detached Public Large scale Commercial High income Permanent Expensive No problems Commercial Low Medium High Legal contract in illegal dwelling No contract in a legal dwelling Fully legal Source: UN-HABITAT (2003) 12 13 As the nature of rental houses various as cross countries, the role and importance of rental housing also varies significantly. Table 2.2 shows selected countries and proportion that use rental houses. Table 2.2 Proportion of rental Housing Usage Country African Benin Egypt Nigeria South Africa Year Ownership (%) Renting (%) Others (%) 1994 1996 1998 1996 63 69 93 77 37 31 7 33 - 87 81 75 11 19 25 72 74 61 20 25 35 3 8 1 4 50 40 66 69 54 80 50 60 34 31 47 20 - Asia India 2001 Iran 1996 Republic of Korea 1995 Latin America Chile 2002 Brazil 1998 Colombia 1997 Developed Countries Australia 1999 Germany 1998 United States 1997 United kingdom 2000 The Netherlands 1999 Ireland 1999 Source: Adopted from UN-HABITAT (2003) In parts of West Africa and South Asia, the incidence of renting is generally extremely high. In Abidjan, Côte d’Ivoire, 80 per cent of households were tenants in the 1980s and in Port Harcourt, Nigeria, 88 per cent of households were renting accommodation in 1984 (Arnaud 1994). In the rental housing model, homogeneous landlords post rents and make take-it-or-leave-it offers to the tenants, who are heterogeneous in income. These landlords face a trade-off between setting a higher rent and finding a tenant more quickly. Their optimizing behaviour is based on their knowledge of the market state, both in terms of rent offers and corresponding times-on-the- 14 market. They withdraw from the market if their expected benefit from participation is negative (Mc Breen et al 2009). Tenants are supposed to observe a sample of the offer distribution and to visit one randomly chosen residence. They accept offers based on an optimizing behaviour that trade-offs a quicker match, and therefore reduced search costs, against a lower rent. Tenants must decide their reservation utility- that is the minimum utility they are willing to accept from a residence. This reservation utility is chosen to determine whether a residence they have viewed is better in expectation than the outside opportunity, which is to continue searching with the associated costs. Each iteration, housed tenants have an exogenous probability to leave their apartment and become searchers (Mc Breen et al 2009). In rental housing, rent is seen as a function of vacancy rate within a specific time frame. Utility for both landlords and tenants are satisfied when vacancies are occupied and tenants are housed. The time taken by tenants to search for a particular choice of residence is equal to the time waited by that prospective landlord’s vacancy to be occupied. 2.3 Concept of Housing Needs The concept of housing need varies considerably in its conceptualization, measurement, application to policy and expression across space. After the Great Depression and World War II, many countries faced severe housing shortages. Consequently, a prime component in the definition of housing need was the quantity of units required to house the current population and to replace physically inadequate units (Koebel and Renneckar 2003). The concept of housing need is predominately normative. Relationships between housing conditions and physiological needs are difficult to establish. Housing, however, clearly has an impact on quality of life, be it measured in economic or psychological terms. Housing conditions and neighbourhood characteristics are highly interrelated therefore conceptualization of housing needs goes beyond physical quantities of houses needed to satisfy a given population. Housing needs are met through a variety of means including subsidizing private rental housing costs, or providing direct assistance through government-owned or-sponsored social housing and individual investment. 15 Housing needs provide detail about people's aspirations including key estimates on the numbers and types of households, incomes, affordability of housing, suitability of existing housing and the scope of alternative housing solutions. Aside housing aspirations, housing condition, housing need is one of the criteria use for justifying intervention in housing policies. According Sumner (2005) housing need is more amenable to quantification than housing aspiration, because it deals with the household in the context of its dwelling requirements. It integrates housing condition, but relates the condition of the dwelling to the household inhabiting it. Housing need varies continuously because households are dynamic entities hence there are two approaches to the measurement of housing needs. The first is a cross-sectional measurement at a moment in time; the second is the measurement of rate of change over a period of time. Examples of cross-sectional measurements are surveys, or the census. An example of the rate of change method is tracking households coming into and out of need to determine if need is increasing or decreasing (Sumner 2005). The cross-sectional measurement recommended by Sumner (2005) can be represented as: Existing households in unsuitable housing (minus). Those of the above households who pass a means test (plus). Concealed households needing to move but unable to afford market housing (plus). The homeless, including those in temporary accommodation or “homeless at home”. Housing economists frequently use some variation of the discrepancy model to look at relative need – the gap between standards and actual characteristics (needs) for some or all parts of the population. The discrepancy model involves: goal setting, performance measurement, and discrepancy identification. From the above, housing needs is the gap between the total number of households and number of dwelling units or houses deem habitable. It refers to the quantity of houses that are required to adequate house an entire population. Housing needs assessment therefore involves complete enumeration of existing housing stock. This is expressed in three forms: existing housing need, replacement need and future housing need. In assessing existing housing need, current housing stock is compared with the number of households as explained above by Sumner (2005). The replacement need is calculated by using the replacement rate. This takes into consideration the 16 average life span of houses. The United Nations for instance indicates that the life span of houses range between 25 years to 100 years. The replacement rate is determined by dividing the upper limit by the lower limit expressed as a rate. The replacement housing need which is indicates the number of houses to be replaced each year is thereby determined multiplying the rate by the number of households. Future housing need on the other hand is the estimation of the number of housing needed to adequate house the population in future through projection of current population and current housing stock. 2.4 Rental Housing Market in Ghana Ghana rental housing market is characterized by state provision, real estate developers, individual developers and financial institutions as player. Data on the distribution of housing in Ghana reports that there are 2,181,975 houses countrywide even though a total of 3,877,418 dwelling units or places of abode are recorded. This implies that, about 1,695,443 ‘houses’ or places of abode inhabited by a number of households are not conventional houses (Bank of Ghana 2007). Ghanaians are reported to be living in rooms in a compound, the separate house (detached house), semi-detached house, several huts/buildings, improvised house (kiosk/container), living quarters attached to a shop, camps or tent, hotel or hostel, flat or apartment. Of these, compound houses accounted for 45 per cent and emerged as the most common dwelling unit in both urban and rural areas. Separate or detached houses (24.1 per cent) is found to be the second most common dwelling type in all regions (ranging from 15.9% - 27.2 per cent) except the Volta Region (44.7 per cent) where it is predominant. Semi-detached house (15.2 per cent) is the third most common type in all regions and in rural (15.6 per cent) and urban (14.8 per cent) localities. Flats or apartments ranked fourth in the country (4.2 per cent) and in urban localities (7.2 per cent). ‘Improvised house (kiosk/container) and living quarters attached to a shop’ were found mainly in urban localities of the Greater Accra and Ashanti Regions due to rural-urban migration (Bank of Ghana 2007). The private sector has been in the forefront of addressing the housing needs of the nation, as the state and parastatal agencies like the Tema Development Company (TDC), Social Security and National Insurance Trust (SSNIT), State Housing Company (SHC) have slowed down in their 17 direct construction of the housing units for the populace. As part of government commitment to housing development, in 1986, a National Housing Policy Committee was formed by the Ministry of Works and Housing (MOWH) to examine the housing situation in Ghana. This was geared towards an appropriate Government Policy and Action Plan that seeks to provide adequate and decent housing units in order to improve the quality of life of people in urban and rural areas. The committee drew a National Housing Policy and Action Plan covering the period 1987 through to 1990. Prior to the Action Plan, the MOWH had identified the need for a comprehensive National Shelter Strategy (NSS) and an enhancement of the Ministry’s planning capacity to implement housing policies. The Ministry of Water Resources, Works and Housing is currently pursuing various affordable housing programmes through agencies such as the TDC, and the SHC. Under the National Housing Programme, apartments and unit flats are currently being constructed in Accra, Tema, Cape coast, Sekondi-Takoradi and Tamale. 2.5 Rent Control Rent control exists in many nations around the world. Rent control laws vary from one country to another, and may vary in context within a country. Discourse over rent control is extensive because they assume much flexibility. Unregulated rent upsurges allow tenants to move thereby creating vacancies. Rent control is the act of a principal frameworks applying control over how much landlords may raise rent (Krugman 2000). It is based on this that arguments in favor and against rent control ranges from economic to social viewpoints as follows; Economic With rent control, tenants can request that hidden defects, if they exist, be repaired to comply with building codes requirements, without fearing retaliatory rent increases. Rent control could thus compensate somewhat for inefficiencies of the housing market. Although some opponents contend that rent control decreases housing investment, in reality rent control laws often exempt new construction. In jurisdictions where rent stabilization has exempted new construction for so long, construction trends in more recent decades must be related to other factors. 18 The economic arguments against rent control are often based on vacancy decontrol and exempting new construction. Rent control may influence housing investment either positively or negatively, depending on how it affects the local economy and public. Most economists believe that a ceiling on rents reduces the quality and quantity of housing available. This view is based on analysis of empirical evidence as well as the understanding generated by theoretical models. Krugman (2000) have cited rent regulation as poor economics which, despite its good intentions, leads to the creation of less housing, raises prices, and increases urban blight. A survey regarding rent control finds that economists consistently and predominantly agree that rent control does more harm than good. The survey encompasses particular issues, such as housing availability, maintenance and housing quality, rental rates, political and administrative costs, and redistribution (Krugman 2000) If a price is forcibly kept low, there will be higher quantity demanded for housing. When quantity demand exceeds quantity supplied, a shortage presents. But, while builders are restricted in the rents they may charge, they are less willing to construct more housing. Since supply is perpetually low, landlords worry less about tenants leaving, causing little incentive to maintain the property. Social Rent control is considered necessary to protect the public and to prevent landlords from imposing rent increases that cause key workers or vulnerable people to leave an area. Homeowners who support rent control point to the neighborhood instability caused by high or frequent rent increases and the effect on schools, youth groups, and community organizations when tenants move more frequently. Tucker (1997) has argued that rent control has the perverse effect of creating less affordable housing. By artificially lowering rents on some units with long term tenants, even in some cases forcing landlords to maintain that at a loss, rent control forces landlords to recoup this lost income on newly vacated units, thus increasing rent for new tenants beyond what is necessary. By creating a disincentive to move from units where they enjoy artificially low rent, such rent regulation will actually limit individuals’ mobility, and thus either prevent them from taking 19 advantage of employment opportunities that may require relocation, or force them into longer commute times, with all of the financial, environmental, and personal impacts thus created. Such economists point to policies such as housing vouchers as both more equitable and more successful in ensuring housing for poorer renters, without many of the damaging externalities created by imposing price regulation on landlords (Tucker 1997). Furthermore, rent control may not be effective at lowering rents in the area under control. A rent control board or regulatory agency may be captured or politically influenced by the land owners or "landlords", and may be able to influence the regulatory process or "game the system" to the extent that the rent-controlled increases are more than what they would have been in the free market without the rent control law (Tucker 1997). Moral Friedman and Stigler (1946) "Rent ceilings, cause haphazard and arbitrary allocation of space, inefficient use of space, retardation of new construction and indefinite continuance of rent ceilings, or subsidization of new construction and a future depression in residential building. Although those paying lower than market rent are "protected," most economists argue that newer residents actually pay higher rent due to reduced supply. In a 1992 survey, 93.5 per cent of economists asked agreed that "A ceiling on rents reduces the quality and quantity of housing available." Only 6.5 per cent disagreed with the assertion (Friedman and Stigler 1946). From the above issues on economic behavioural studies the myths of rent control with regards to the social, economic and moral arguments both in favour and against rent controls as follows; Private landlords cannot afford to build new rental housing because of rent controls. Rent controls must have an annual guideline rent increase. Shelter allowances are a good substitute for rent control Free markets will provide fair rents. Without controls lots of apartments will be built and then prices will drop. Landlords are losing money because of rent controls. 20 Landlords could not afford to do repairs and other maintenance because of rent controls Vacancy decontrol doesn't hurt because it doesn't affect tenants who remain in their apartments Loosening rent controls have improved the vacancy rate and lowered rents. Rent regulations primarily benefit the rich. These myths are, however, debatable and must be subject many to critical hypothetical analysis. 2.6 Types of Rent Control There exist several forms of rent controls used by different countries. These include; Tenancy rent control The most common form of rent control is where rents are initially freely negotiable but there is a limit on the amount of rent increase (‘tenancy rent control’ or ‘second-generation rent control’). The maximum allowable increase is either: A fixed percentage (e.g. Dubai, Philippines, Pakistan, Tunisia), Or a fraction of the construction cost index (e.g. France) or consumer price index or CPI (e.g. certain cities in the US, Italy, Netherlands, Spain, Switzerland, Colombia, Uruguay) Or a combination of the two (e.g. Canada). Tenancy rent control is typically accompanied by vacancy decontrol – when the unit is vacant, rents can be increased by any amount. Newly constructed buildings are usually exempt from rent control (Malpezzi et al 1992). Maximum rent systems Sometimes the authorities determine the maximum rent, and apply it equally to new and old tenancies. Often, the maximum allowable rent is a certain percentage of the property value (enforced in India, Taiwan, Luxembourg, Jamaica, Dominican Republic, Syria, and Costa Rica). The property valuation is typically based on historical cost and not on the current property value, so that real rental returns fall over time (Malpezzi et al 1992). 21 Rent freeze systems (“absolute” rent control or “first generation” rent control) Sometimes rents are kept at a pre-determined level, typically that of the year when the law was introduced (such is the case in Qatar). For newly constructed units, no rent increases are allowed after the unit is rented out. Such laws were implemented mainly after World War II to avoid rapid increases in rent due to increased demand from refugees or from returning soldiers. This type of rent control has mostly been abolished, relaxed or is largely not enforced (e.g. US Virgin Islands). Split systems Here only a certain portion of the housing market is under rent control ; typically, rental units for poor households or de-nationalized buildings (e.g. US, Philippines, Cyprus, Czech Rep., Dominica, Aruba, Bahamas, Bermuda, Trinidad and Tobago, and Honduras). Ineffective systems While most rent control laws are biased towards tenants, some are actually benign due to the way in which they are implemented – or not implemented, as the case may be. Non-implementation is a surprisingly widespread phenomenon. In some countries, there is a prescribed amount of rent increase - but the parties are free to accept it or not. If one of the parties feels that the increase is too much or too little, they can ask for the rental authority to adjust the rent (enforced in the province of Quebec, Canada). In others, the landlord can apply for a rent increase higher than the prescribed amount, if he would otherwise experience hardship, or for capital recovery or renovation. Inflation is also significant. In the Philippines average inflation is around 4% - 5% but the annual rent increase cap is 10%. This is largely benign, and gives landlords plenty of room for capital recovery. In other cases, the rent control law is largely unimplemented (US Virgin Islands, Taiwan). In the Bahamas, for instance, rents for houses worth B$25,000 and below are government-determined, according to a 1975 law, but no house in the Bahamas is now worth so little (Ballesteros 2001). 22 2.7 Nature of Rent Control in Ghana The Rent Control Act 220 of 1963 and subsequent ancillary legislative interventions such as the Rent Control law (1986) PNDC 138, as amended by law 163 was enacted and promulgated to regulate the relationship between tenants and landlords, thereby ensuring sanity and peaceful coexistence. The Act makes it clear, among other things, that landlords can only charge 6-months’ rent advance and succeeding rents are due every six months. Clearly this law sought to restrain the hand of a wicked, callous landlord who would demand for rent advance for a longer period from a poor, unsuspecting would be tenant. Ironically, this is exactly what is happening in Ghana today. Lack of enforcement of The Rent Control Act has only succeeded in presenting a very chaotic situation but also leaves tenants to the mercy of the market forces. Rental contracts last for the duration of the advance payment, usually one to three years. An option to renew can be included in the contract. If the tenant wishes to pre-terminate a contract, he must inform the landlord three months in advance. In most cases, the tenant must look for someone to take over the lease for the duration of the contract, or wait for the repayment since the landlord may have invested or spent the money already. According to Malpezzi et al (1990) Act states that rents are to be fixed by the Rent Officer taking into account the following: (a) Ratable value, (b) Land value, (c) The rates payable, (d) Recoverable rent assessed for similar premises where they have been assessed by the minister (e) Estimated cost of repairs or maintenance (f) Amount of rent for like premises, (g) Current rate of interest charged by the Ghana Commercial Bank for overdrafts, (h) Obligations of landlord, tenant or other interested parties under the lease, (i) Justice and merits of each case. 23 For many years, tenants of houses owned by State Housing Corporation or other government agencies have been profiting from the very low rents by moving out and letting the whole of their dwelling to another household for a higher rent than they have to pay, or by subletting part of their house to another household for more than a fair proportion of their total rent (Malpezzi et al 1990). In 1973, the Rent (Amendment) Decree sought to control this. By Section 7, occupants of houses built by TDC, SHC, or any government agency should not charge, demand, or receive on subletting, a monthly rent in excess of an aggregate of: (a) The instalment payable per month to TDC, SHC, etc.; (b) The equivalent of property rates payable; and (c) 20% of the total of (a) and (b) 2.8 Conceptual Framework Consumer satisfaction or dissatisfaction is a core concept in marketing. It is determined based on the overall feelings or attitude of a person about a product or service after it purchased or experienced. Consumers are engaged in a constant process of evaluating things they bought these products are integrated with their daily consumption activities (Mustafa, 2009). The issue of dissatisfaction among the students commonly results from house quality and service quality. The houses and service quality are important factors that contribute to the rent determination from the perspective of students, hence ultimately influence their satisfaction and landlords profit and market share. The inconsistency and discrepancy between renters’ expectations and the landlords’ perceptions in rental housing market determines the market outcomes that assert whether renters are satisfied with the rent they pay or not. In relation to the above, numerous studies have been conducted. For example, Chee and Peng (1996) examined the marketing of houses in Malaysia by focusing on the relationship between customer orientations and important component of the marketing concept, by analyzing the house buyers' satisfaction (Mustafa, 2009). According to the Expectancy Disconfirmation Paradigm (EDP) theory, when purchasing a product or service, the customer forms expectations concerning the future performance of the item. If the product or service performs as well as, or better than expected, the customer will be 24 satisfied. If performance is below expectations, dissatisfaction will result (Mustafa, 2009). The rationale for adopting the EDP theory in the research is offered based on that. Renter satisfaction and problems is as a function of the expectations, direction and magnitude of disconfirmation. Studies on customer satisfaction suggest that the primary backgrounds of satisfaction are product and service performance, and the renters' expectations regarding that performance. In this context, a Conceptual Framework on House buyers’ satisfaction in Housing Projects is adopted and re-modified to suit the purpose of this study. The framework highlights issues of price, location, service quality, buyers’ expectation and developers’ perception. These variables are, however linked to buyers’ satisfaction. As per the objectives of this study, emphasis is on the demand side of the equation, hence, housing as a noun is the subject of analysis. With the upward surge of rent in Wa, students within a given budget constraint want to maximize satisfaction from the rent they pay irrespective of location, housing type, quality of services. From the demand side of the equation, it is backed by external influences of influx of students and their eagerness to have shelter over their heads. This coupled with current housing deficit from the supply side make transactions in the rental housing market very rigorous to the mercy of the invisible hand (market forces of demand and supply) with or without little policy guidance and intervention. The expectation of students and the perception of landlords and their interaction in the market regulated or not regulated by policies, determine the market outcomes. These outcomes have bearings on renters’ satisfaction. A house buyers’ satisfaction in rental housing conceptual framework, which integrates the demand and supply sides of rental housing market and its outcomes constitute scheme underlying the study is shown in figure 2.2. 25 Figure2.2: Renters Satisfaction Conceptual Framework Housing Supply Housing Stock New residential development Rent Location Landlords’ reception of renters’ expectations Market Outcomes Affordability Choice Profit Homelessness Rent Surge and Exploitation RENTAL HOUSING MARKET POLICY AREAS Rent policy Urban policy Housing policy Labour policy Real estate policy Fiscal policy Renters’ perception of house Housing Demands Transportation Satisfaction House quality House design House materials Services Availability Accessibility Reliability Responsiveness Quality Renters Characteristic s Housing need Population Source: Author’s Construct (2011) Form figure 2.2, the framework seeks to establish relationship between rent, location, transportation and housing services within the rental housing market which should be regulated by policies. It also relates these variables to the perception of renters and expectation of landlords to the rental housing market on the basis of renters’ characteristics, rental housing demand and supply. These therefore establish the extent of satisfaction of renters in the market. The following constructs are applied in this framework; 26 Rent The amount renter and landlords agreed on in exchange of room form the landlord for payment from renters. Rent is seen as a function of location and the availability of services and facilities. All other things being equal, it is presumed that high rent payers have greater satisfaction, better housing environment, both in terms of physical structure and social environment. Location The location of rental housing determines the rent levels. Using UDS as a growth pole, it is assumed that rents vary inversely with distance from the University campus. Transportation Tenants at various locations will commute to campus using various means of transport. The location of a student will determine the kind of transportation means to use and the associated cost. Transportation cost will have influence on rental location. It is assumed that student will prefer locations with the least transport cost. Services The level, availability and use of services and facilities provided in the house have great influence on rent levels and students satisfaction. Houses with better services and facilities will be preferred by all which goes with corresponding cost base on house location. Renters Characteristics At the core of this study is to assess the characteristics of rents and the conditions in which the live. These may include income and basic demographic data that influences their choice of residential location and its relationship with the other variables. Rental Housing Market The rental housing market will seeks to address the various actors in the market and their roles and interests. This market is assumed to be regulated by government interference through policies to correct market failures. The interaction therefore will determine the market outcomes base on the demand and supply forces. 27 2.9 Nature of University Students’ Residential Accommodation in Ghana A salient feature in recent times in public universities in Ghana is the growing recognition of the increasing number of admissions in relation to slow development of infrastructure. Experience over the years show that, no public university in Ghana in recent times is capable of accommodating all its’ students. Various universities in this respect have put in policies to reduce the pressure on existing facilities. For the purpose of this study, emphasis is placed on experiences of University of Ghana, University of Cape Coast and University of Science and Technology. University of Cape Coast University of Cape Coast has a total student population of 35,922. The breakdown is as follows: 14,815 Regular Undergraduate Students, 2,146 Sandwich Students and 18,018 Distant Learning Students. The University of Cape Coast admitted a total of 4,251 students into its various programmes for the 2009/2010 Academic Year. These were selected from a total of 11,730 candidates who applied for admission to the University. The university has 6 halls of residence and namely; Adehye Hall, Atlantic Hall, Casely-Hayford Hall, Kwame Nkrumah Hall, Oguaa Hall, Valco Hall. The University authority, following the recommendations made by the Residence Committee, began in 2007/2008 academic year, “IN-OUT-OUT-OUT” Student Residential Policy. The new policy replaces the (IN-OUT-OUT-IN) which has been in operation since the beginning of the 2002/2003 academic year. Under the new policy, the first option for residential status will be given to Level 100 students. Junior Common Room executive members, physically/visually challenged persons and active sports men and women are considered for residential accommodation. Other categories of students are considered subject to the availability of bed spaces. This is against the background that the halls cannot cater for the accommodation needs of the students, hence, majority leave their fate to the mercy of the market forces- the invisible hand. Immediate solution is to this renting and sharing where over 80 per cent of the student population is accommodated in rentals houses. 28 University of Ghana (Legon) The authorities negotiated for a GH¢50 million loan facility from CAL Bank, Fidelity Bank, Eco bank Ghana, SG-SSB, Agricultural Development Bank and International Commercial Bank for the construction of four separate four-storey students' hostels expected to accommodate about 1,600 students in each block. The present Halls and Hostels are as follows: Legon Hall (males and females) Akuafo Hall (males and females) Commonwealth Hall (males only) Volta Hall (females only) Mensah Serbah Hall (males and females) Valco Trust Hostel Annex (postgraduate students only) International Students Hostel (mainly for International Students) SSNIT Hostel (males and females) Jubilee Hostel (males and females) Each Hall consists of junior members (students) and senior members (academic and senior administrative and professional staff), and is managed by a Council comprising members elected by persons belonging to the Hall. It is, however, sad that these residential facilities are not able to meet the accommodation needs of student since 70 per cent seek solace outside the school premises. University of Science and Technology (UST) On the average, there has been 10% annual increase in students admitted to the Universities in Ghana without a corresponding increase in the physical development. This has led to overcrowding in the halls of residence. Facilities include modern internet cafe, Communication centre, Badminton court, Games room, Gym, Chapel, Salon, Gift Shop, Shopping mall, kitchen that serves food etc are increasingly been put on high pressure. The current situation of accommodation in the halls is as follows. Africa hall has 192 inhabitable rooms and presently the total student population is about 514. Independence hall consists of 198 rooms in the main hall and 96 rooms in the annex, thus accommodating a student population of 840. 29 Queen Elizabeth II Hall has student population of 840 with 294 rooms. Republic Hall is a mixed Hall with about 850 students It has 198 rooms in the main, 96 in the annex block. Unity Hall is the largest hall with an original accommodation capacity of 448 rooms but presently has 36 extra flats, and has 1000 students University has 198 rooms, and the annex has 95 rooms. The actual number of students who stay in these halls of residence exceeds the authorized numbers known. This is a clear indicate of the extent of accommodation problems in all public universities in the country. Majority between 80 to 90 per cent in public universities in Ghana depend on rental housing. 2.10 Case of Nigeria Public Universities Every society is faced with the problem of producing human habitation in sufficient quantity, and obtaining the kind of quality desired, at prices that individuals and families can afford (Handler 2001). The problem arises from the phenomenal increase in populations in many countries particularly in the developing ones, vis-à-vis availability of resources, rising cost of building and competition with existing and emerging needs in areas such as health, education, the environment, the economy and security among others (Ubong, 2007). As a result of the above, Nigeria has a large and ever-increasing housing deficit which stood at approximately 8 million housing units in 1991 and 12-14 million housing units in 2007 (Aikhorin,2008). A more recent estimate puts the figure even higher at 16-17 million housing units (Onyike, 2008). At an average cost of N2.5million per housing unit, Nigeria would require N35trillion to fund a housing deficit of 14million housing units (Onyike, 2008) The student population is rapidly increasing, while the infrastructural amenities are declining in supply and their stock depreciating, hostel facilities are in deplorable states and are overcrowded (Akpan 1998). Accommodation of students in Nigeria became a topical issue following the decision of the Federal Government in 2003 to increase hostel fees to N10, 000.00 (about $73.43) per academic year (Ubong, 2007). 30 Despite the fact that campus hotels and hall facilitates reading/learning, co-curricular activities, security and national Integration, nevertheless, major of students seek accommodation in rental houses. In the Federal College of Education, Omoku, The accommodation capacities according to Records Department, Registry, FCE (T), Omoku for four halls of residence in 2003/2004 are as follows: Table 2.2 Registered Student 2003/2004 Sex Female Male Hall Number of Students Abuja 344 Lagos 270 Port Harcourt 195 Enugu 230 Total 1039 Source: Ubong, (2007) The rooms occupy between two and six persons while the flats occupy between 18 and 72 persons. However, with ‘squatters’, the rooms and halls could take two times their official number. While the bed spaces have remained constant over the years, the student population has been increasing yearly. The population of the students registered in 2003/2004 was 2813, hence, 1774 students had to seek accommodation in rental houses around campus. The number of students in the hostels vis-à-vis the designed capacity has implied considerable stress on facilities including beds and toilets. This situation led to a great debate in Nigeria university education. Proponents of greater funding of education by government which includes accommodation argue, according to Okoh (2001), that tertiary education aims at meeting the manpower needs of the country aside from being beneficial to the learner; that high fees would be discriminatory and would limit access to education for the poorer citizens; that uneducated citizens could pose a problem to national security; and that if misappropriated funds were put in the education sector, there would be less need for high fees. 31 Those who believe that appropriate fees should be charged including accommodation argue that many parents are paying high fees in private schools; that charging appropriate fees would make resources available for purchase of more and better quality facilities and for research; that students who pay high fees are likely to be more serious with their studies; and that government revenue from crude oil will dry up one day, among other arguments. Specifically on hostel accommodation, Okoh states that the near-zero accommodation fee that attracts resale by students is exploitative and fraudulent on the part of students and should be stopped. Meanwhile, the students could as well be living with their parents or be accommodated by them as a filial responsibility. University accommodation in Nigeria are in short supply; demand far outstrips supply, reason there is overcrowding, collapsing facilities in the hostels and fraudulent sale of bed space by students to fellow students; the governments that own the public universities indicate that they are financially unable to increase the stock of hostels/halls and cannot fund maintenance of existing ones; any attempt to increase charges for bed space by government or the institutions so as to raise funds to maintain the hostels meet stiff opposition from students (Ubong, 2007). Nigerians have deluded themselves with the fact that the good things of life should be given free of charge just because there is a wasting asset called crude oil. As a result of such misconceptions, citizens are highly sensitive to charges on things perceived to be public good that should be doled out free to citizens as of right for instance education. 32 2.11 Lessons Learnt The literature review highlighted certain salient issues. These issues are the basis from a conceptual framework is drawn as show in figure 2.2. They also serve and basis from which survey instruments are designed for specific units of observations. These issues include: The price and demand for rental housing changes as the distance from the Central Business District (CBD) increases. In the light of students’ residential accommodations and rental housings, students will, however, compete for close residence to university campus in an attempt to maximize utility. This therefore increase rent around campus. Rental accommodation in rental housing in Ghana includes the following. Students in rental houses use one of the options below: Rooms in subdivided inner-city tenements; Rooms in custom-built tenements; Rooms, beds or even beds rented by the hour in boarding or rooming houses, cheap hotels or pensions; Rooms or beds in illegal settlements; Shacks on rented plots of land; Rooms in houses or flats in lower or middle-income areas; In view of high rent cost and low supply of accommodation by schools authorities, students seek accommodation in cheaper locations that are far away from the institution. This has effects on their transportation to and from school and hence their performance. Ghana housing market is characterized by state provision, real estate developers, individual developers and financial institutions as player. It is possibility of joint ownership of hostels including those off campus – by private developers and university authorities Institutions want ensure that a minimum level of services such as sanitation, electricity, water supply, and security are provided to students. However, public universities are not able to accommodation all students, hence, ensuring this level of services in rental housing in very difficult. 33 The inconsistency and discrepancy between renters’ expectations and the landlords’ perceptions in rental housing market determines the market outcomes that assert whether renters are satisfied with the rent they pay or not. Hence, housing services, location and quality determines the market outcomes that consumers expect such as affordability. Experience over the years show that, no public university in Ghana in recent times is capable of accommodating all its’ students. Various universities in this respect have put in policies to reduce the pressure on existing facilities. “IN-OUT-OUT-OUT” and “IN-OUT-OUT-IN” student residential policies are now common in all public universities in Ghana and Nigeria. 34 CHAPTER THREE PROFILE OF STUDY AREA 3.1 Introduction The Ghanaian societal context, occasioned by urbanization and improved technology, is dynamic with increasing diversity. Migration patterns positively respond to the urban realm where service facilities are readily accessible. This increasingly put a stress on access to the supply side factor of the housing market, which includes land, finance, material use and infrastructure. The citizenry have increasingly become impatience at the rate at which right to housing is on the mercy of the hands of the market forces. Housing may attract migrants or prevent out-migration, and a lack of housing may prevent migrants from entering or lead to out-migration. The question is, of course, under which circumstances this link works and under which it does not. A credible hypothesis about these circumstances is, the less urgent the migration, the closer the relationship with housing (Mulder C. H 2006). In this regards, this chapter seeks to review literature on the profile of the study area (Wa) including, demographic characteristics, micro economy, geophysical characteristics among others. This serves as the basis for comparative analysis and an over view of the status-quo of Wa and UDS, Wa campus. 3.2 Background of UDS PNDC Law 279 established university for Development Studies in May 1992 with the motto “Knowledge is the greatest wealth”. It started academic work in September 1993 with the admission of thirty-nine (39) students into the Faculty of Agriculture (FOA), Nyankpala. It is a multi-campus institution currently ran in Northern Region, Upper East Region, and Upper West Region excluding Brong-Ahafo Region as initially planned. It is the fifth public university to be established in Ghana. The mission of the University is to run programmes that will effectively and efficiently combine academic work with community-participation and extension. The University’s principal objective is to address and find solutions to the environmental problems and socio-economic deprivations that have characterized northern Ghana in particular and are found in some rural areas throughout the rest of the country. Accordingly, UDS consciously and systematically run programmes that are targeted to preparing the individuals to establish their own careers in 34 35 specialized areas. Further, it equips these practitioners with requisite knowledge to enable them to live and function in any deprived community in the country. The university presently runs six faculties, one school and two centres of excellence. Further, there are Masters Programmes in the social sciences, and sciences leading to the award of doctorate degrees. The UDS also runs a community-technical interface programme. This is a combination of the academic and community-based field practical work known as the Third Trimester Field Practical Programme (TTFPP). It covers a trimester in each academic year and cuts across all faculties in its integrated approach, and ensures that students live and work closely in communities to formulate specific interventions to address specific challenges Centre for Continuing Education and Inter-disciplinary Research (CCEIR) at Navrongo Campus ensures coordination of all research activities of the University. The Gender Programmes Unit also leads in the process of gender mainstreaming in the policies and programmes. Also at the Navrongo Campus is the French Language Centre of the University. The University has established academic and research linkages with a number of Universities and Research Institutions both locally and internationally. It is also a member of the Association Commonwealth Universities (ACU), and the Association of African Universities (AAU). UDS will always remain grateful to the Government of Ghana and all other stakeholders for their tremendous support and goodwill. The School of Medicine and Health Sciences which offers courses in medicine and the three other health related programmes is located in Tamale, the capital of Northern Region of Ghana. The Faculties of Agriculture and Renewable Natural Resources are located in Nyankpala within the Tolon/Kumbumgu District, about 20 km south-west of Tamale. The faculty of agriculture which offers four-year programmes in B.Sc. Agriculture Technology and B.Sc. Agribusiness is arguably the largest Agric Faculty in the Country. In the faculty of renewable natural resources, the only programme offered is BSc. Renewable Natural Resources. The Faculty of Applied Sciences, a center of excellence for the sciences is at Navrongo in the Upper East region. At the undergraduate level, four-year degree programmes are offered with various areas of specialization. 36 The Department of Applied Mathematics and Computer Science was established in 2002, under the Faculty of Applied Sciences initially with the aim of providing Mathematics education in the University. The Department has been involved in the teaching of Mathematics in the Faculties of Applied Sciences, Integrated Studies, Agriculture and School of Medicine. Owing to the growth of the Department, the Department was upgraded into a Faculty named Faculty of Mathematical Sciences in 2009. The Faculty currently runs six programmes namely: Mathematics, Financial Mathematics, Mathematics with Economics, Computer Science, Statistics and Actuarial Science. The Wa campus is where majority of our students are based presently. The six prevailing academic programmes on this campus are being run under three faculties in Integrated Development Studies, Planning and Land Management, and Education, Law and Business Studies with most students in the faculty of Integrated Development Studies. Both M.Sc. and MPhil programmes are also offered. Wa Campus during 2010/2011 Matriculation, 4,878 fresh students were formally initiated into the University’s community to undertake various course at the under Graduate and Post Graduate level. A major problem according to Reverend Professor Abraham Berinyuu, Dean of the campus aside inadequacy of infrastructure is that landlords are demanding huge rent advances from the students did not even have simple facilities like toilet, water and electricity in the houses they were renting out to the students and lecturers. 3.3 Brief History of Wa Wa has been inhabited for several hundred years, first by Lobi and Dagaare people, and then by Islamic scholars and traders who settled there in order to participate in the trans-Saharan trade. These newcomers adopted the Dagaare language and to some extent simplified its grammar, as well as incorporating numerous loan words from Hausa. The name of the town means 'come' in the Waali language. Wa also holds the mortal remains of Sir Ekum Ferguson, the British-Fante who worked to bring the north under British Jurisdiction as well as that of Babatu, a notorious slave raider well known for his raids in this region during the late and early 19 century. Wa is the capital of the Upper West Region of Ghana and is the main city of the Wala people. The majority of the inhabitants are Muslim. It is the seat of the Wa-Na, the Paramount Chief of the Wala traditional area. Features of the town include several mosques, the Wa-Na Palace, a museum and a nearby hippopotamus sanctuary. The town serves as a transportation hub for the northwestern 37 part of Ghana, with major roads leading south to Kumasi, north to Hamile and Burkina Faso, and northeast to Tumu and the Upper East Region. 3.4 Location and Size of Wa Wa is the capital which is located in Upper West Region under Wa Municipality. It shares boarders with the following settlements - to the north by Kperisi, south by Kpongu, east by Busa and to the west by Charia. It lies between 10° 4′ 0″ N, 2° 30′ 0″ W. Figure 3.1 shows the map of Wa indicating the location of UDS and the various residential clusters used in analysis. Figure 3.1: Map of Wa and UDS Source: Adopted from Wa Municipal Assembly (2011) 38 3.5 Geo-Physical Characteristics 3.5.1 Physical Features The land is generally undulating with height between 180-1300m above sea level. Drainage in the Wa is of the dendrite type. Wa has several water bodies which are smaller that serves as sources for water using housing construction. Most of the rivers and small streams over flow their banks during the raining seasons causing havoc to homes and other property especially in the peripheral locations and waterlog areas. The floods also make these parts of the Wa inaccessible. The rivers and their courses dry up during the dry season but offer still great opportunities for bricks molding for new local house construction. 3.5.2 Climate The climate is tropical continental equatorial type, which prevails throughout the northern part of Ghana. Temperatures are high all-year, ranging between 15°C-45°C. The temperatures are lowest in December/January, while the highest occur in March/April. The average annual and average monthly temperatures are 21°C and 38°C respectively. The high temperatures cause roofs to get heated during the day time and make room hot at night. The humidity is therefore very low, less than 50 per cent during most times of the year. As in any other part of the West African Sub-region, the Wet South-West Monsoon and the Dry North-East Trade Winds are the two major prevailing winds that influence the climatic conditions in Wa. As a result of the rather interior location of Wa, it is more under influence of the Dry North-East Trades Winds than the Wet South-West Monsoon Winds blowing from the Gulf of Guinea. The homeless are the much affected group during this period. The rainy season in Wa is a single rainfall regime (May-October) compared to the double maxima rainfall pattern experienced in the southern parts of Ghana. Is rainfall however cause disasters like floods that make people homeless. The other half of the year is very dry when Wa comes under the influence of the Dry North-East Trades Winds which is popularly called the Harmattan. The Harmattan is characterized by cold, dry dusty weather during the night becoming hot and very dry during the day occurring between November and April each year. The average annual rainfall is about 1,200mm/year and they are torrential, erratic and stormy. This nature causes houses to collapse. 39 3.5.3 Vegetation The vegetation is guinea savannah, depicted by isolated woodlands, short thick trees, shrubs and grasses of varying heights. The collection of trees cater for the domestic requirements wood for construction fuel wood, charcoal and wood for the construction of kraals and fencing of gardens. The tall grasses are for the thatching of roofs and short shrubs provide for animal fodder. These serve as sources for raw material like wood for construction. 3.5.4 Geology and Soils Wa is mostly underlain by pre-cambrian rock, granite and metamorphic rock types. The soils are mostly the savanna ochrosol, savanna glycol and ground water lateritic type. These soil types are used in construction of new housing. 3.6 Demographic Characteristics The estimated population of Wa for 2010 is 96,818 with an annual growth rate of 1.7%. Thus, Wa population growth rate is lower than the national growth rate of 2.6%. The population structure has a sex ratio of 100 males to 108 females. The population is youthful comprising 47% (between 0-14 years), 49% between 15-60 years and 4% over 60 years old. 3.7 Culture The major ethnic groups in the region fall under the broad generic categories of the Mole Dagbon (75.7%) and Grusi (18.4%). The major languages of the region are Dagaare, Sissali, Wale and Lobi. There are three major religious groupings in the Region, Christianity (35.5%), Islam (32.2%) and Traditional religion (29.3%). Cultural practices of the people are syncretic in nature. Islam has a great influence on the lives of the people. One of the fallouts of this influence is that women are hardly included in decision-making. 3.8 Household Composition and Structure For the purpose of this study, households are classified based on people living together under the same house keeping arrangement with a recognized head. The average household size in Wa is 5.9 persons which is greater than the regional household size of 7.2 persons. This is attributed to preferences for large families as source of labour, early marriages and practice of extended family concept. 40 3.9 Household Structure Heads of household constitute 6.6 percent of households in Wa which is lower than the regional figure of 12.5 percent. This is due to the large household size in Wa. On average the composition of a typical household in Wa comprise 1.1 adult males; 1.4 adult females, 2.1 children and 1.3 seasonal migrants. 3.10 Household Headship The head of a household is generally the person identified by members of household as the one responsible for the upkeep and maintenance of the household, including the exercise of authority over household resources. The proportion of household members who are heads of households is 6.6 percent. This is less than both the regional (12.5percent) and national (18.3 percent) figures. 3.11 Economic Characteristics The three major occupations in Wa are Agriculture and related work, Sales work (5.2%), Production, and Transport Equipment work (12.1%). Together, the three account for 89.5 per cent of the workforce in Wa, with the highest proportion (72.2%) in Agriculture. The substantial lack of formal sector, office-based bureaucratic occupations, is reflected in the fact that administrative and managerial capacity is extremely limited in Wa, accounting for not more than 0.2 per cent in any district. Clerical and related workers make up 1.6 per cent of occupations in Wa. The proportion unemployed constitutes 15.0 per cent, which is higher than the national figure of 12.5 per cent. 3. 12 Housing Characteristics Residential houses which include any type of shelter used as living quarters such as huts, or group of huts, kiosks, enclosed compound, cargo containers, tents. These are structurally separate and independent places of abode such that a person or a group of persons can isolate themselves from the hazards of the climate such as storms, rain or the sun. Wa has an estimated 16,516 houses and a household size of 5.9 persons. Using the assumption that every household is to one housing unit or average household per house of 3.5 (Ghana Statistical Service 2000) this gives a housing deficit of 39,012 housing units. Renting and sharing is the only ameliorating factor which constitute 17.6 per cent and Rent-free (6.9 per cent), however, people using houses owned by household member constitute 74.8 per cent. 41 CHAPTER FOUR ANALYSIS AND PRESENTATION OF DATA 4.1 Introduction Various actors in rental housing make their well-worn path on intervention depending on their perception of housing development. According Blair (1973) administrators take the measure of the problems with their cost yardsticks; entrepreneurs claim the build houses better, cheap and attractive than local authorities. Planners seek practical solution and a balanced view. Scholars speak of the unanticipated perils of planning actions and strive to humanize decision making. Community activists and social workers, the new clergy of the planning game, become heated and wax lyrical about the plight of the homeless and the poor. Interestingly, politicians pledge everything to everyone. This dichotomy in perceptions relegates to the background, their approaches and interventions to housing development. It is within these contradictions that the chapter seeks to analyze the perception of landlords and the expectation of renters in a housing satisfaction model using cluster analysis method. Analyses are made within clusters and their relative differences and similarities between them and the entire sample size are established. Clusters as per this study is a group of relatively homogeneous cases or observations. The homogeneity is with regards to the type of residential class and average distance from campus within each cluster is similar. These clusters are shown in table 3.1. Table 4.1 Residential Clusters S/N C1 Cluster Bamahu, SSNIT and their environs C2 Sombo, Kpaguri, Kambali residential C3 Jahan, Nurses quarters, T.I Amas and their environs Kabannye, Zongo, Limanyiri, Nayiri and their environs Water Village, Dobile, Dori, Air strip and their environs C4 C5 Source: Author’s construct, 2011 41 Description Where the permanent campus is located (Middle class) Were the temporal campus was located (Middle class) High class residential area Low class residential area Middle class residential area 42 4.2 Students and Landlords Characteristics 4.2.1 Sex Composition Currently, we live in a society that has over the years regarded the innate characteristics of sex as one of the clearest legitimisers of different rights and restrictions both formal and informal. While the legal sanctions that uphold male dominance are being eroded for the past century and more rapidly in the last 20 years, the heavy weight of traditions combined with the effects of socialisation still works powerfully to reinforce sex roles that are commonly regarded as of equal prestige and wealth. There has being an increasing concerns by the international community on the disproportionate participation of the sexes in say education, policies, governance, religious activity, employment among others. As per this study, sex composition varies within the clusters and that of the entire population. Table 1 shows sex composition of students in UDS. Table 4.2: Sex Composition of Students Gender Male Female Total C1 (%) 40 60 100 C2 (%) 65 35 100 C3 (%) 55 45 100 C4 (%) 60 40 100 C5 (%) 70 30 100 ALL (%) 58 42 100 Source: Field Survey, January 2011 Form table 4.2, males represent 58 per cent of the entire population while females represent 42 per cent. However, the male dominance occurs in all clusters expect C1 (Bamahu, SSNIT and their environs) where the females dominate the student population in that zone. As described in 4.1, that cluster in the closest to campus. The sex ratio is 74 females to 100 males as against the regional figure of 92 males to 100 females according to Ghana Statistics Service 2000. In view of security, and other risks, females prefer to stay closer to the campus that their male counterparts. With regards to landlords, sex composition shows that, as much as 70 per cent are males and 30 per cent are females. Within, the clusters, however, the situation varies. Table 4.3 shows the sex composition of landlords in Wa. 43 Table 4.3: Landlords Sex Composition Gender Male Female Total C1 (%) 50 50 100 C2 (%) 75 25 100 C3 (%) 100 100 C4 (%) 100 100 C5 (%) 50 50 100 ALL (%) 70 30 100 Source: Field Survey, January 2011 From table 4.3, cluster 1, has equal distribution of sexes in houses ownership. This is because, that cluster is closer to the original campus where all potential investors are competing for space to build new houses. In other places like, Sombo, Kpaguri, Kambali Residential (C2), the males outwit the females’ in house ownership, while in Jahan, Nurses Quarters, T.I Amas and their environs (C3) and Kabannye, Zongo, Limanyiri, Nayiri and their environs (C4), males are dominant. This translates into and overall situation of males’ dominance with regards to house ownership. A relationship between marital status and sex composition of landlords shows that as much as 70 per cent of female landlords are widows. This indicates that, they acquire their houses through the death of their husband and hence, this justifies why females has less ownership. The situation in 2000 Population and Housing Census, is that 85 per cent of landlords are males in Upper west Region. The trend so far with regards to this study is even reducing, hence attributed to the continuous education and eradication of the belief that females can own certain social and economic assets. 4.2.2 Age Distribution Age has of late, gained a profound impact on societies and occupies a core area of increasing attention for policymakers. Nevertheless, as age distribution shifts upward, societies must reorient themselves to ensure that persons of all ages, including growing numbers of older persons, have the means or the support needed to maintain a decent standard of living. Major issues of nutrition, sanitation, medicine, health care, education, knowledge and economic wellbeing in general have impact on age distribution. The demographic transition in Ghana currently involves rejuvenation of the age distribution as the proportion of children rises because of increased survival at younger ages and rise in fertility levels, hence, increase in median and mean age. The otherwise of the case raised above is seen in the age structure of students and landlords in Wa. According to the survey, all students within 15-24 and 25-34 age cohorts. Table 4.4 shows the age distribution of students by clusters. 44 Table 4.4: Age Distribution of Students Age 15-24 25-34 Total C1 (%) 90 10 100 C2 (%) 85 15 100 C3 (%) 90 10 100 C4 (%) 75 25 100 C5 (%) 65 35 100 ALL (%) 80 20 100 Source: Field Survey, January 2011 It can be inferred from table 4.4 that majority (80 per cent) of the students are within the age cohort 15-24. The situation runs throughout all the clusters with a mean age ranging between 20 years to as high as 23 within the clusters. However, the entire mean age of students is 20.5 years. With regards to age distribution of landlords, as much as 40 per cent are between age cohorts 4554 with fewer (15 per cent) between 25-34 years. The mean age of landlords in Wa is 48 years. Table 4.5 shows the age distribution of landlords. Table 4.5: Age Distribution of Landlords Age 25-34 35-44 45-54 55-64 Total Frequency 3 3 8 6 20 Percentage 15 15 40 30 100 Source: Field Survey, January 2011 Age-sex disaggregation has become a salient issue in recent literature. Concerns raised among others include: participation and empowerment, fighting neglect and abuse, labour supply and productivity growth, changing consumption patterns, savings, poverty and income security, universal access to social services, sustainable pensions systems and health and long-term care. Gender-age disaggregation provides basis from which these concerns can be inferred. In this regards, table 4.6 shows the age-sex distribution of students. 45 Table 4.6: Age-Sex Disaggregation of Students Cluster C1 C2 C3 C4 C5 ALL Age Sex Total (%) Male (%) Female (%) 15-24 44 56 100 25-34 - 100 100 15-24 59 41 100 25-34 100 - 100 15-24 61 39 100 25-34 100 - 100 15-24 46 53 100 25-34 100 - 100 15-24 62 38 100 25-34 86 14 100 15-24 54 46 100 25-34 84 16 100 Source: Field Survey, January 2011 From table 4.6, cluster 1, has much females than males and this is due to its closeness to the main campus, hence girls seek closest distance to campus in view of security and transportation. In the other clusters, however, the proportion of males is greater than females and majority are within the age cohort 15-24. With regards to the entire sample size, the student within 15-24, as much as 54 per cent are males and 46 per cent are females. For cohort 24-34, majorities (84 per cent) are males and 26 per cent are females. This disaggregation is due to the fact that there are many males on campus as well as in the sample than females. The situation of landlords is not far different, table 4.7 show the gender disaggregation of landlords cross classified by age groups. 46 Table 4.7: Age-Sex Disaggregation of Landlords Age Sex Total (%) Male (%) Female (%) 25-34 100 - 100 35-44 100 - 100 45-54 63 37 100 55-64 50 50 100 Source: Field Survey, January 2011 The age-sex disaggregation shows that, some landlords prefer renting a particular sex or age group with ethnically and religious considerations. This situation affects the perfection of rental housing market through manipulations that can subsequently bring disequilibrium in the market. 4.2.3 Religion Religion has great effects on rental housing in certain places around the country. The issues of religion are sometimes used as basis for renting houses to people since it is believed that people of the same religious affiliation can live in peace and harmony and enforcement of security. Pertinent to this study, an assessment of students and landlord religious affiliations gives an indication of the preference of tenants. The study identified only two religious affiliations of students. In view of this, table 4.8 shows the religious affiliation of students. Table 4.8: Religious Affiliation of Students Religion Islam Christianity Total C1 (%) 25 75 100 C2 (%) 40 60 100 C3 (%) 25 75 100 C4 (%) 55 45 100 C5 (%) 55 45 100 ALL (%) 40 60 100 Source: Field Survey, January 2011 From table 4.8, Bamahu, SSNIT and their environs (C1), Sombo, Kpaguri, Kambali Residential (C2) and Jahan, Nurses Quarters, T.I Amas and their environs (C3) have many Christians than Muslims. This is because the types of residential areas are at the peripheral and peri-urban area where many natives of Wa are not staying. In Kabannye, Zongo, Limanyiri, Nayiri and their environs (C4) and Water Village, Dobile, Dori, Air Strip and their environs (C5), however, Muslims are more than the Christians because those areas are noted to be the original settlement 47 of Wa and dominated by Muslims. In this regards, most of the students are natives of Wa. For the entire sample, 40 are Muslims and 60 per cent are Christians. Though Wa, in noted to be dominantly a Muslim community, the influx of students from other regions that are Christians outnumber the Muslims. This is justified by a cross classification of religion over students origins. Table 4.9 shows the relationship between religion and origin. Table 4.9: Religion-Origin of Students Cluster Religion Natives Wa (%) C1 C2 C3 C4 Islam 100 100 Christianity 13 87 100 Islam 12 88 100 Christianity 8 92 100 Islam 40 60 100 Christianity 7 93 100 Islam 10 90 100 - 100 100 36 64 100 - 100 100 Islam 20 80 100 Christianity 7 93 100 Islam Christianity ALL Others (%) - Christianity C5 Total (%) Source: Field Survey, January 2011 From table 4.9, for Bamahu, SSNIT and their environs (C1) for instance, of those that are Muslims, none is native of Wa and for those that are Christians, 13 per cent are natives of Wa and 87 per cent are from other districts and regions. With regards to landlords, 65 per cent are Muslims and 35 per cent are Christians. Out of the landlords, 70 per cent are natives of Wa of which 79 per cent are Muslims and this indicates the dominance of Muslims in house ownership. 4.2.4 Ethnicity Ethnicity has a great influence on the lives of the people. One of the fallouts of this influence is on women and ownership of houses. Cultural practices of the people are syncretic in nature. As 48 much as 8 different types of tribes were identified among students. Table 4.10 shows the distribution of ethnicity of students. Table 4.10: Ethnicity of Students Ethnicity Waali Dagbani Sissala Grusi Akan Ga Ewe Frafra Total C1 (%) 15 15 15 40 10 5 100 C2 (%) 20 20 5 10 25 20 100 C3 (%) 5 15 25 35 5 5 10 100 C4 (%) 30 5 5 20 5 35 100 C5 (%) 20 15 10 25 5 5 20 100 ALL (%) 18 14 1 13 29 4 4 17 100 Source: Field Survey, January 2011 From table 4.10, the dominant ethnic group is Akan, which represent 29 per cent of the student population and the least is Sissala which indicating 1 per cent. The clusters that are however, a native dominates, have majority being the Northern ethnic groups such as Waali, Dagdani and Frafra. These scenarios are seen in cluster 4 and 5. 4.2.5 Marital Status The study indicates that only two marital statuses are identified among students, as much as 92 per cent of students are single and only 8 percent are married. Only Kabannye, Zongo, Limanyiri, Nayiri and their environs (C4) and Water Village, Dobile, Dori, Air Strip and their environs (C5) have students that are married and his areas are noted to places of permanent natives of Wa. With regards to landlords, majority (65 per cent) are married people. Figure 4.1 shows the marital status of landlords. 49 Figure 4.1: Marital Status of landlords Marital Status 70 65 60 50 40 Percentage 30 20 20 10 10 5 0 Single Married Divorced Widowed Source: Field Survey, January 2011 From the analysis of students’ and landlord demographic characteristics, it can be said that there are gender and ethnical discrimination in rental housing market which are of economic importance and implications. First, if students from other regions find it difficult to find a rental apartment, then this affects potential labour mobility since students and immigrants cannot find shelter and consequently employment and welfare in Wa can decrease. Secondly, discrimination on the basis of gender and ethnical differences could result in students having to relocate in less attractive neighbourhood segregations. This leads to security, sanitation and transportation problems that affect rental housing market outcomes such as affordability. Finally, the segregation of students at various clusters could also have welfare consequences that cannot be managed by school authorities other than if all were staying at campus. 4.3 Rental Housing Characteristics 4.3.1 Housing Typology and Age Various types of houses are identified in Wa. Students are left with a choice to make in relations to other factors such as affordability. Table 4.11 shows the residential housing types cross classified by clusters that students use. 50 Table 4.11: Housing Typology for Students Type Compound house Detached Semi-detach Storey building Flat Total C1 (%) 55 C2 (%) 80 C3 (%) 35 C4 (%) 80 C5 (%) 75 ALL (%) 5 35 10 5 - 15 5 40 5 5 10 10 5 7 5 5 100 5 100 5 100 100 10 100 65 18 5 100 Source: Field Survey, January 2011 From table 4.11, places that are closer to campus are mostly storey buildings and this is indicated in Jahan, Nurses Quarters, T.I Amas and their environs (C3) and Bamahu, SSNIT and their environs (C1) where 40 per cent and 35 per cent of the students live in storey buildings respectively. This is because the proximity to campus makes the cost of land around the immediate surroundings of campus high. In order for landlords to maximize rent on land, they build upwards. In other clusters, however, compound houses are dominantly used by students, for instance in Kabannye, Zongo, Limanyiri, Nayiri and their environs (C4) and Water Village, Dobile, Dori, Air Strip and their environs (C5) where 80 and 75 per cent of students live in compound houses. This is because those places are low and middle class residential areas of Wa. In general assessment, as much as 65 percent seek residential accommodation in compound houses since it is the dominant housing type in the region (65 per cent, Ghana Statistics Service 2005). This is backed by the supply side of landlords, where as much as 70 per cent of houses in the market available for renting are compound houses. The houses in the rental market have various age categories and that shows the direction of urban development in Wa. The ages range as low as one year to as high as 20 years. Much as 50 per cent is between 6-10 years old. The average age of housing in the market is 10.25 years. All the houses around campus are between 1-5years and this indicates direction of urban growth. 4.3.2 Room Occupancy Rate Students in rental houses either live in single rooms, chamber and hall or flats. Much as 91 per cent live in single rooms and this is due to the compound houses system that is sub-divided into many single room and hence the dominant housing type in Wa. Also, 6 per cent live in chamber and halls and 3 per cent live in flats. In view of cost, security and availability of rooms, one or 51 more students live together. Table 4.12 shows that number of students per room in the various clusters. Table 4.12: Number of Students per Room Number 1-3 4-6 7-9 Total C1 14 5 1 20 C2 20 0 0 20 C3 12 8 0 20 C4 16 2 2 20 C5 18 2 0 20 ALL 80 17 3 100 Source: Field Survey, January 2011 In table 4.12, the least number of students per room is one to as high as 9 persons. In all the clusters, however, majority are between 1-3 persons per room. The average occupancy rate in the clusters range as low as 2 persons per room to as high as 3.2 persons per room. Bamahu, SSNIT and their environs (C1) and Jahan, Nurses Quarters, T.I Amas and their environs (C3) have the highest occupancy rates of 3 and 3.2 persons per room respectively. This is due to their closeness to campus, hence students will prefer rooms at that locations irrespective of the number of people in these rooms. Clusters far away from campus have low occupancy rates of 2, 2.5 and 2.3 persons per rooms as in Sombo, Kpaguri, Kambali Residential(C2) , Kabannye, Zongo, Limanyiri, Nayiri and their environs (C4) and Water Village, Dobile, Dori, Air Strip and their environs (C5) respectively. The average occupancy rate for the entire clusters is 2.7 persons per room rather than the United Nations standard of 1.5 persons per room. This is implies shortage of accommodation for students in Wa. The trend can lead to increase in rent of rental houses, health implications due to congestion and extortion of students by landlords. 4.3.2 Materials Used Landlords’ offerings in the rental market only in terms of materials used for construction of walls in Wa include landcrete, sandcrete, wattle and daub, mud and wood. Interestingly, students tend to choose houses of durable quality materials. The kind of materials used therefore is a major criterion for students in choosing rooms. Students only rent place build of sandcrete and landcrete where as much as 80 per cent and 20 per cent students live in houses made of these materials respectively. 52 In term of material used for roofing, 90 per cent live in houses made of aluminum and 10 per cent made of Iron sheets. This shows the quality of houses students want to live in due to security purposes. 4.3.4 Housing Facilities and Services Housing facilities that students use among other include bathroom, toilet, kitchen, storeroom, water and electricity. The availability or otherwise of these facilities and services varies in their conditions be it good, fair or in a poor state. Table 4.13 shows the availability and conditions of services and facilities the students use. Table 4.13: Housing services and Facilities Facility Bath Toilet Kitchen Storeroom Water Electricity Availability (%) 95 54 47 30 71 100 Good 50 50 52 43 63 82 Condition (%) Fair 40 30 29 20 28 12 Poor 10 20 19 36 9 6 Source: Field Survey, January 2011 In table 4.13 above, 95 per cent of the students assert that their houses have bathrooms. Also all residential houses that students use have electricity. This implies that the availability of certain services and facilities determines the residential choices of students. In terms of their housing needs in general, students will prefer houses with at least four of these facilities thus – bath, water, toilet and electricity. This is because, in all cases, more than half the student population asserts the availability of these facilities in their residential homes. 4.3.5 Accessibility of Housing Facilities The availability of the facilities and services further raise concerns on the nature of accessibility to them. In view of time constrains, student prefer houses with certain facilities that can be accessed within a limited time frame. It assessment is done through the use of waiting times to access services and facilities. Figure 4.2 shows the waiting times for various facilities within specific time frames. 53 Figure 4.2: Waiting Time 80 70 72 71 68 60 50 Bath (%) 40 Toilet(%) 30 Water (%) 23 20 19 12 12 12 10 3 5 1 2 0 1-5mins 6-10mins 11-15mins 16-20mins Source: Field Survey, January 2011 In figure 4.2, majority of the students wait between 1-5 minutes before using a facility. The highest accessible facility is bathroom, where 72 per cent can use it by waiting within five minutes. The least accessible facility is water. This implies poor and inadequate water supply in Wa. The average waiting time for bathroom is 4.8 minutes, 5.9 minutes for toilet and 6.5 minutes for water. These averages show the highly accessible facility to be bathroom and water to be the least. With a room occupancy rate of 2.7 persons per room, it will take 13 minutes for all students in one room to bath before school, 15.9 minutes for toilet and 17.6 for water. The waiting time is based on the assumption that they are more than one household in the house using the same services and facilities. This waiting time in accessing facilities can affect students in their daily activities such as going early for lectures. 4.3.6 Housing Conditions The condition of housing is also an important factor that determines students’ choice and residential locations. This is with regards to sanitation, risk features such as exposed foundations and cracked walls. From the perspective of students, figure 4.3 shows the various housing conditions observed in their residential rental homes. 54 Figure 4.3 Housing Conditions 100 91 88 86 90 80 70 61 60 50 39 40 YES (%) NO (%) 30 20 14 12 9 10 0 Exposed Foundation Cracked Wall Leaking Roof Poor Sanitation Source: Field Survey, January 2011 In figure 4.3, as much as 88 per cent of houses do not have cracked walls, 91 per cent do not have leaking roofs and 86 per cent do not have exposed foundation. The commonest housing problem is, however, poor sanitation. This is due to poor waste disposal systems, poor drainage, inadequacy of toilet and sanitary facilities. Students are compelled to live in such places because of inadequacy of rooms in Wa. The residential cluster noted for poor sanitation is Kabannye, Zongo, Limanyiri, Nayiri and their environs (C4), where most inhabitants of Wa live. Since supply is perpetually low, landlords worry less about tenants leaving, causing little incentive to maintain the property. 4.4 Residential Housing Stock and Housing Needs Assessment As per the study area, Wa has a population of 96,818 people, 16,516 houses and a household size of 5.9 persons. Using the assumption that every household is to one housing unit or average household per house of 3.5 (Ghana Statistical Service 2000) this gives a housing deficit of 39,012 housing units hence renting and sharing is the only ameliorating factor which constitute 13.3 per cent (UN-HABITAT 2010) of housing stock in Upper West Region. With the influx of students, the population increases every year. The university has five halls of residence for students namely: Liman, Cardinal Dery, Jubile, Royal and Upper West Hall. Each hall is a two storey building of 36 rooms with an occupancy rate of four persons per room. The 55 total number of students accommodated is 725. The number has been constant still 2008 where the halls were commissioned for use while the student population has been increasing. Table 4.14 shows the trend on enrolment and accommodation. Table 4.14 Enrolment and Accommodation Year First Years Total Students No. Accommodated 2005 801 - 55 2006 950 - 55 2007 1,242 - 115 2008 1,888 4,881 725 2009 2,583 6,663 725 2010 3,165 8,878 725 Source: Office of Dean of Students, UDS, Wa Campus (2011) From table 4.14, as at 2010 admission, only 22.9 per cent of the first years could be accommodated by the campus halls. The remaining 77.1 per cent (2440 students) need additional 610 rooms to accommodate them thus assuming an occupancy rate of four per room. The relationship between enrolment and accommodation is shown in figure 4.4. Figure 4.4: Trend of Accommodation No. Accommodated Trend of Accommodation 1000 900 800 700 600 500 400 300 200 100 0 y = 0.3378x - 198.34 R² = 0.809 0 500 1000 1500 2000 No. of First Years Source: Field Survey, January 2011 2500 3000 3500 56 The figure shows that, correlation coefficient is 0.809 indicated that 81 per cent of students accommodated depends on the enrolment level. However, in the past three years, enrolment was increasing with accommodation been constant. This shows that there is no relationship between enrolment and accommodation in the last three years as shown in figure 4.5 below. Figure 4.5 Past Three Years Enrolment and Accommodation Number Accommodated No. Accommodated 800 y = 725 R² = #N/A 700 600 500 400 300 200 100 0 0 500 1,000 1,500 2,000 2,500 3,000 3,500 No. of First years Source: Field Survey, January 2011 The figure shows that number of students accommodated is independent hence has no relationship with enrolment level. This is because the number of rooms available for the past three years is constant. The university authority charge GH¢270 per student for rooms provided which other universities like KNUST charge GH¢350 per student. Authorities would wish landlords in Wa to charge between GH¢200 and GH¢270 for single rooms and between GH¢300 and GH¢400 for chamber and halls. The authorities wish also rental houses should at least have electricity, water, toilet and security. 57 4.5 Rent 4.5.1 Yearly Rent Charges Yearly rent paid by students varies with respective to type of rooms. The type of rooms identified include, single room (12m×13m), chamber and hall and flats (living room, bedroom with bath and toilet). As much as 91 per cent use single rooms, 6 per cent use chamber and halls and 3 per cent use flats. The yearly rent students pay varies and ranges between GH¢100 to GH¢700. Of those that use single rooms, 46 per cent pay between GH¢201-300 as yearly rent. The average rent for single room is GH¢269.With regards to chamber and hall, majority (33.3 per cent) pay between GH¢301-400 with an average rent been GH¢334. The less patronized rooms are flats, which have an average yearly rent of GH¢417. The yearly rent, however, varies between clusters. Those far away from campus have different characteristics likewise those closer to campus. For instance Bamahu, SSNIT and their environs (C1) where the permanent location of the campus is has an average rent of a single room been GH¢298 which is slightly higher than the average of the entire study area. This is attributed to the closeness to campus. Also, residential locations far way form campus have average rent lower than that of the entire study area. For instance, Kabannye, Zongo, Limanyiri, Nayiri and their environs (C4) has an average for single room being GH¢230. This situation reflects in the room occupancy rate and housing facilities. For instance Bamahu, SSNIT and their environs (C1) have a high room occupancy rate of 3, and all houses have basic services (water, toilet, bathroom, electricity, storeroom, and kitchen). This results in rent pegged at GH¢298 for single rooms. The variation in yearly rent is due to location, type of room and access to basic services. The market forces of demand and supply, especially of land is the basic factor that influencing variation in rents values From the perspectives of landlords, of those that rent out single rooms to students, 60 per cent receive between GH¢201 to GH¢300 as yearly rent. The average rent received by landlords for single room is GH¢226. This is less than the actual amount (GH¢298) students pay to landlords for single rooms. This is because, rental housing market in Wa has other players such as the middlemen. These middlemen will take higher than the actual amount the landlords will take and that constitutes their profit. With regards to chamber and hall, majority (55 per cent) received 58 between GH¢301-400 and on an average of GH¢356. Similarly, the difference exist as students pay GH¢356 and landlords receive GH¢334. 4.5.2 Factors that Influence Rent Various factors influence rent levels in Wa. According to the survey, cost of production and maintenance of houses, demand, location, level of services and facilities and category of renters. Landlords take advantage of the influx of student, increase in population coupled with slow growth of housing development to peg rent on the basis of demand representing 45 per cent and category of renters representing 20 per cent of landlords. Landlords look at the category of renters available thus student, civil servants and natives and prefer to rent to students since they have ready cash to pay. This is because, as much as 50 per cent prefer to rent to students. On the demand side, increase in student population and the inability of the university authority to accommodate all students, landlords peg rents on this basis. This rent is peg on “take it or leave it”. Students are compelled because housing in short supply. Relationship between a landlord and a student most often put the former in a stronger bargaining position. This is because the provisions of houses are expanding at rates slower than the rate of growth of Wa’s population thus creating a wide margin between demand and supply of housing infrastructural facilities and services. Other factors include location which influences 15 per cent of landlords in pegging rent. Locations which are close to campus have high rents than distanced areas. For instance Bamahu, SSNIT and their environs (C1) where the permanent location of the campus is has an average rent of a single room been GH¢298. locations far way form campus have average rent lower than that of the entire study area for instance, Kabannye, Zongo, Limanyiri, Nayiri and their environs (C4) has an average for single room been GH¢230. Another factor is the level of services and facilities offered by landlords. As much as 15 per cent of landlords are influenced on the basis of services and facilities. This services and facilities include water, toilet, bathroom, electricity, storeroom, and kitchen. The study shows that houses without water supply has an average rent of GH¢150.5 which is far lower than the averages in the various clusters for single rooms. All houses that have water, toilet, bathroom, electricity, storeroom, and kitchen have average rent of GH¢269 for single rooms. The cost of production 59 and maintenance of houses constitutes 5 per cent of landlords’ perception of pegging rent. Of these people 100 per cent do maintenance of their houses every year. 4.5.3 Rent Advance Payment The Rent Control Act 220 of 1963 makes it clear, among other things, that landlords can only charge 6-months rent advance and succeeding rents are due every six months. As much as 48 per cent of students do advance payment and 52 per cent do not. This is why landlords prefer to rent to students first before other renters. From the perspective of landlords, however, 55 per cent of landlords request for advance payments whilst 45 per cent do not request for advance payment. This implies that rent will form a major component of students’ expenditure and has effects on the actual amount for other needs. The inability of students to meet rent advance payment often results to unlawful ejection and utility payment problems. 4.5.4 Rent Revision and Housing Maintenance Rents are revised to reflect current market situations. Students report that 89 per cent of landlords revise rents every year, 10 per cent every two years and 0ne per cent every three years. With increasing demand and low supply of housing, rents are revised upwards with an average increment of GH¢50. On the contrary, 65 per cent of landlords report that they revise rent every two years, 35 per cent annual and 5 per cent every three years. Students whose rents are revised annually are those closer to campus due to demand for houses closer to campus. For instance, of those students, majority (29 per cent) live in Bamahu, SSNIT and their environs (C1) which is the closest to campus. Landlords that mostly revise rents every two years have their houses far away from campus. 4.6 Transfer Money and Expenditure Students monthly transfer money for expenditure ranges at an average low of GH¢50.5 of which 67 per cent receive that amount and to average high as GH¢650.5 of which 2 per cent receive that amounts. The mean average monthly transfer money to students is GH¢125.5. 60 With regards to expenditure, students spend on food, clothing, health, water and sanitation, transportation, energy (cooking and lighting) and remittance. Table 4.15 shows the expenditure components and amount spent. Table 4.15: Monthly Expenditure Item Food Clothing Energy Health Transportation Water and Sanitation Remittance Rent Total (GH¢) Lowest (GH¢) 10.5 5.5 3 3 0 0 0 4.2 26.2 Average (GH¢) 40 9.7 6.3 3.6 3.3 1.6 1.6 22.4 88.5 Highest (GH¢) 130.5 35.5 13 13 18 11 18 54.2 293.3 Source: Field Survey, January 2011 From table 4.15, the highest expenditure component is food. On the average monthly expenditure (GH¢88.5), is represents 45 per cent. The next highest component of students’ expenditure is rent which represents 25.3 per cent of total average monthly expenditure. However, certain expenditure components as at the time of this study were zero. For instance, students that walk to school do not incur cost and likewise student who did not remit any part of their money as at the time of study. For food, 34 per cent spend below the lowest monthly amount of GH¢50.5. The highest expenditure on food is GH¢130.5 of which 5 per cent of the students spend monthly. The relationship between income and expenditure indicates that, all other things being equal, students with low income will have low expenditure. In that regards, student who have lowest monthly income of GH¢50.5 will spend GH¢26.2 hence with a potential savings of GH¢24.3. Students on the average can save GH¢37 thus GH¢88.5 out of GH¢125.5. At the highest level, savings can be GH¢357.2. These savings figures give a trend that the higher the student’s income, the more the potential of saving. Figure 4.6 shows the relationship between income and expenditure with expenditure being dependent. 61 Figure 4.6 Income and Expenditure Relationship Monthly Income and Expenditure Relationship 350 y = 0.4249x + 18.946 R² = 0.988 Expenditure (GH¢) 300 250 200 150 100 50 0 0 100 200 300 400 500 600 700 Income (GH¢) Source: Field Survey, January 2011 From figure 4.6, the correlation coefficient (r) is 0.993 which indicates the degree of association between income and expenditure. As it is closer to one, the relationship between income and expenditure is strong. However, the coefficient of determination (r²) is 0.988 (98.8 per cent) which indicates that 98.8 per cent of variation in expenditure (Y) can be explained by changes in income (x). The remaining 1.12 per cent can be attributed to other factors such taste and preference, inflation and interest rates. As per this study, one key component of expenditure is monthly rent. Students’ income can influence their residential accommodations. The degree of relationship or otherwise is show is figure 4.7 below. Analysis is based on single rooms monthly rent since it is the dominantly used by 91 per cent of students. 62 Figure 4.7: Monthly rent and Income Monthly Rent and Income Relationship 60 y = 0.0749x + 6.2853 R² = 0.9374 Rent (GH¢) 50 40 30 20 10 0 0 100 200 300 400 500 600 700 Income (GH¢) Source: Field Survey, January 2011 With rent (Y) being dependent on income, there is a strong association with income since correlation coefficient (r) is 0.968 and almost close to one. The coefficient of determination (r²) is 0.937 indicating that 93.7 per cent of change in rent is attributed to change in income. Students in this regards changes residential accommodations with change in their incomes. The higher the income goes up, the high tendency to move for more costly residential accommodations. The remaining 6.3 per cent is attributed to other factors such as increase in production and maintenance of houses, demand for houses, vacancy rate, and change in residential location. 4.7 Housing Location and Transportation 4.7.1 Factors that Influence Locations of Students The influx of students into Wa creates intense pressure on the spatial structure of the urban systems such as on tertiary education, housing and transportation. Residential pattern is a product of internal and external forces in relation to demand and supply of rental houses in Wa. The study identified certain factors that students take into consideration in locating their residential accommodations. Table 4.16 shows the various factors that influences students’ residential accommodations. 63 Table 4.16: Locational Factors Factor Location Accessibility to Services Housing Typology Peace and Security Affordability Total Percentage (%) 22 29 6 3 20 100 Source: Field Survey, January 2011 Students are concern about the location of their residential homes. This is in view of distance and transportation issues and security. For instance, of those that give priority to location in choosing their residence, 40 per cent are located in Bamahu, SSNIT and their environs (C1) which is the permanent location of UDS. Accessibility to basic services such as university facilities, water and sanitation facilities, electricity and other energy supply systems, transportation routes are key issues of consideration to 29 per cent of students. For instance, 34 per cent these students live at the temporal location of UDS where most campus facilities such as library and reading rooms are still located. Another key factor of concern to students is affordability. Students try to relate their utility derived against the price paid for room they intend to or occupy. In this regards, the level of incomes of students is central to this decision. Of those students 30 per cent live in a low class residential area thus Kabannye, Zongo, Limanyiri, Nayiri and their environs (C4). 4.7.2 Distance to Campus In view of students living at various locations, the distances to campus varies within their residential clusters. Majority (54 per cent) travel 1-3km to get to campus. The highest distance ranges 7-9km of which 18 per cent of students cover daily. The average distance covered daily by students is 3.9km. Of all students in Bamahu, SSNIT and their environs (C1), 95 per cent travel 1-3km to get to school. This shows that Bamahu, SSNIT and their environs (C1), is the closest to campus. Also of those that travel 1-3km daily to get to campus, 35 per cent live in Bamahu, SSNIT and their environs (C1). Students that pay yearly rent of GH¢300-400, 5]]4 per cent travel 1-3km to get to campus. Again, of all those that travel 1-3km to get to campus, 52 per cent pay rent of GH¢300-400 yearly. However, 60 per cent of student that pay less than or equal 64 to GH¢100, travel as far as 7-9km. This is an indicative of the relationship between distance and rent. Students far away from campus are likely to pay less rent than those closer to campus. In high residential areas like Jahan, Nurses Quarters, T.I Amas and their environs (C3), however, of those that pay GH¢300-400, 93 per cent travel 4-6km to get to campus. The relationship between distance and rent paid is illustrated with the graph in figure 4.8 below. Figure 4.8: Rent and Distance Correlation Yearly Rent and Distance Relationship 400 350 Rent (GH¢) 300 250 200 150 100 y = -50x + 473.33 R² = 0.935 50 0 0 2 4 6 8 10 Distance (Km) Source: Field Survey, January 2011 In figure 4.8, there is a negative relationship between distance and rent. The closer the distance to campus is, the higher the rent and vice versa. As much as 93.5 per cent of rent is determined by distance to campus (location). The remaining 6.5 per cent is determined by other factors including the level of services and housing facilities. In view of this, students that stay far away from campus pay high transportation cost. 4.7.3 Means of Transport The commonest means of transport to campus is the use of commercial vehicles which represents 40 per cent of students’ patronage. Walking represents 30 per cent, 25 per cent for the use of motor bicycles, 4 per cent for bicycles and 1 per cent use private cars. Bamahu, SSNIT and their environs (C1), being the closest to campus, 45 per cent of students there walk to campus. Also, of those in Water Village, Dobile, Dori, Air Strip and their environs (C5), 50 per cent use public 65 commercial vehicles because it is far from campus. A relationship between means of transport and distance covered indicates that, of those the walk to school, 90 per cent cover a distance of 13km. Out of those that cover 1-3km daily, 50 per cent walk to school. From this, it can be deduced that the shorter the distance to campus, the more likely student will take the least cost transportation means. This is because all those that walk to campus have zero expenditure for transportation as at the time of the study. 4.8 Market Outcomes 4.8.1 Rent Affordability, Satisfaction and Choice Students might huddle into various residential locations for needs sake (accommodation), and the landlords cling to quest for the sake of profit. But in each civilization, as it advanced, those who could afford it chose to match utility against price. Rent affordability as per this study is deduced as per cent of students monthly income used on rent which should not be more than proportion on income spent on food. This is because food is the major component of students’ expenditure. Other expenditure components are assumed to be less than the expenditure on food. In view of this, using the average monthly income of GH¢125.5 and average monthly rent of GH¢22.4, the proportion of rent is 18 per cent of monthly income whilst food represents 32 per cent. Rent in this regards in affordable since it is less than the proportion on income spent on food. UN-HABITAT (2003) defines ‘affordable housing’ as a home which costs less than 30 per cent of a family’s income, in either rent or a monthly mortgage, then students rent on housing is affordable since it represents 18 per cent of monthly income. The higher students’ monthly income is, the lower the percentage and the vice versa. Students are however not satisfied with this situation. As much as 41 per cent wish to have paid less than GH¢100 for yearly rent of room they occupy. Also, 62 per cent regards current rent levels in Wa as being high and as much as 75 per cent are not satisfied with the rent they pay in relation to the services and facilities that landlords offer. Of those that are not satisfied with rent against the level of services, 53 per cent wish to have paid less than GH¢100 instead of GH¢200300 they currently pay. Out of the students that are not satisfied with rent against the level of services, 81 per cent sees current rent levels being high. 66 From the perspective of landlords however, 65 per cent consider current rent levels as being moderate, 25 per cent sees it as being high and 10 per cent consider to cheap. As against that background, 85 per cent are satisfied with the rent they receive as against the services and facilities they offer and 15 per cent wish to increase further increase rent. The tendency there is the choice of renter to offer that new price tag to. Landlords that wish to rent to students constitute 50 per cent. Reasons attributed to this choice of renter among others including: Students are most in need for room Students have ready cash to pay on the “take it or leave it market” Students can be controlled Their duration of stay is shorter hence returns to investment are high There are no rules and regulations renting to students since tenancy agreement are not always signed Household formation rate is low as compared to other tenants such as civil servants and natives Rent revision for students can be done with ease Students are always ready to make advance payment if requested 4.9 Rent Control 4.9.1 Awareness of Rent Control Departmnet The RCD is created under Rent Control Act 220 of 1963 and sought to restrain the hand of a wicked, callous landlord who would demand for rent advance for a longer period from a poor, unsuspecting would be tenant. RCD is responsible for monitoring and establishment of guidelines relating to the regulations of landlords/tenants relationships to create enabling environment for socio-economic development of Wa. However, awareness of the mere existence of such a Department in Wa is low by those often affected negatively concerning rent issues. In the survey, 66 per cent of the students are not aware of the operations and existence of RCD. Also, only 55 per cent of landlords are aware of the existence and operation of the Department. This implies that rent cases are resolved at home which leads to landlords extorting students because high demand for accommodation. 67 4.9.2 Capacity of RCD The Department in Wa Municipality currently operates under the Municipal Assembly though not one of the statutory sub units of the assembly. This is because the department has not office space to facilitate its work. In assessing its capacity for performance, key issues include; human resource, logistics and materials, financial capacity and legal framework and policy. The following table 4.17 shows the situational analysis. 4.17 Capacity of RCD Item Personnel Desktop Computers Printers Photo copier machine Office Desk Vehicle Internet access Required 5 5 3 1 5 1 Existing 1 0 0 0 1 0 No Backlog 4 5 3 1 4 1 Source: RCD, Wa Municipal Assembly (2011) In table 4.17, in terms of human resource requirement, the department required 5 persons (Director, Accountant, Secretary, Messenger and a Cleaner). Director should have a minimum educational qualification of a first Degree, Accountant and Secretary should have a minimum of HND and Messenger and a Cleaner should be at least DBS holders. The existing situation is that, only one person is at post (Director). RCD has no office space in the Municipality hence shares with other department in the Assembly. Financial capacity of the Department indicates that, the flow of the consolidated fund to the national entity under the Ministry of Water Resources, Works and Housing is low. There is no regular flow of funding from the DACF to the department at the local level. This makes it difficult to undertake programmes such as awareness raising on their functions and mandate, sensitization programmes. It is also unable to buy stationery. The department has no rent control policy in place to guide its operations. 4.9.3 Reported and Resolved Cases At the time of study, data indicates that as at March 2011, only 55 cases were reported. Out of this, 90 percent of complainants are students and 10 percent are landlords. Resulting from this, 3 cases where resolved and 15 case led to ejection of students by landlords. The nature of problems is as a result of rent advance payments, inadequate maintenance of houses on the part of students 68 and landlords, inadequate housing facilities, regular rent revision and payment of utility bills. Data of previous years could not be obtained due to poor records keeping through the filling system, lack of office space and other logistics and stationery. 4.9.4 Landlords Associations In order to strengthen rent control in Wa, identifiable associations such as Wa Landlords Association is key to resulting pertinent landlord/tenant disputes. 55 percent of landlords recognized the availability and operations of such landlords association. Out of these people, 15 percent are members to the association. The inadequacy of awareness has effects on rent levels. For instance of those that are not aware these associations, 85 percent request for rent advance payment. The consequence of inability to meet advance payments leads to ejection. 4.9.5 Problems of Rent Control The key problems of rent control in Wa according to RCD of Wa includes: Inadequacy of proper documentation on the part of landlords for instance tenancy agreements, hence difficult to handle rent cases; Reviewing of rent advance payment by landlords at a time the agreement is not yet expired Notices without copies of ejection of tenancy agreement been attached by landlords; Inadequate co-operation from landlords Landlords associations are ineffective Landlords fix rent other than collaborating with RCD 4.10 Problems of Rental Housing 4.10.1 Problems of Rental Housing From the perspective of students, the following are the problems they encounter in their residential accommodations: Sanitation: The nature of housing facilities is of concern to students. Facilities such as toilets and bathroom are potential sources of disease outbreak in Wa. Refuse dumps are left unkempt, bush surrounding as also to grow. This situation serves as breeding places for mosquitoes and other dangerous species like snakes. 69 Peace and Security: Students in rental houses are not also secured since attempts on robbery keep increasing each day. Some locations are noisy for students to student. Congestion: Due to the increasing nature of demand for accommodation by student in relation to short supply, students live in 3 or 4 in one living room. This congestion creates inconvenience amongst them and can easily leads to spread of disease faster. Housing facilities and Services: The accessibility to housing facilities such as toilet and bathrooms are difficult since one has to waiting for an average time of 4.8 minutes to access a bathroom and 5.9 minutes for toilet. This implies that in a house with average number 15 persons per house, a student is compelled to wait for 72minutes to access a bathroom and 89 minutes for toilet. This implies that students must wakeup this mush time earlier to access these facilities and prevent lateness to school Rent advance Payment: landlords demand necessary advances even when the years are not approaching. The rent advance payment is a problem to students as it affects their budget and sometimes leads to ejection from the house. From the perspectives of landlords, high cost of maintenance is a key problem because students to not use facilities wisely. This is because students have the idea that they have paid for everything. Due to the high cost of maintenance, students indirectly bear the cost. Landlords and students fail to pay utility bills such as water and electricity. The use of high electricity consumption gadgets such as cookers and kettles results in high bills that other students within such appliances are unwilling to pay likewise the landlords. This leads to disconnection from major utilities. 70 CHAPTER FIVE FINDINGS AND RECOMMENDATIONS 5.1 Introduction Many parts of Wa currently manifest a diversity in development where many different people live. These people and residential zones are different not only in their origins, but also in terms of their residency status. Within zones, there is also great diversity in relation to ethnicity, language, religious practice, household composition, employment experiences and educational qualifications. In Wa, there are local variations in a community’s composition. These factors affect a person’s place and type of accommodation. Population diversity also places new challenges on rental housing sector, particularly in relation to students. It is within this purview that the chapter seeks to highlight major finding with regards to university students and rental housing in Ghana, taking UDS Wa campus as reference point. The chapter also gives policy recommendations for development. 5.2 Findings The findings are categorized under the various centrals themes contained in the conceptual framework and research objectives. Students and Landlords Demographic Characteristics Rental discrimination on the basis of gender, religious and ethnical differences exist between students and landlords. They believed that people of the same affiliations can live in peace and harmony and enforcement of security. These affiliations give an indication of the preference of tenants. For instance 65 percent of landlords are Muslims and 90 percent out of this prefer Muslim students. Female landlords give preference to girls. Students are compelled to allocate in less attractive neighbourhood segregations due to discriminations. This leads to security, sanitation and transportation problems that affect rental housing market outcomes such as affordability. 70 71 Rental Housing Characteristics The commonest housing type is compound housing (65 percent) of which 91 percent of students use single rooms with room occupancy rate of 2.7 persons per room. Houses are built of sandcrete blocks with aluminium roofing. Toilet is the less accessible housing facility with an average waiting time of 5.9 minutes. Residential Housing Stock and Housing Needs Assessment The campus has five halls that accommodated 725 students yearly. As the halls are constant in number over a period of time, accommodation by the campus halls does not depend on enrolment levels. The authorities charge GH¢270 per student using campus halls of residence. The remaining 77.1 per cent (2440 students) need additional 610 rooms to accommodate them thus assuming an occupancy rate of four per room. Authorities would wish landlords in Wa to charge between GH¢200 and GH¢270 for single rooms and between GH¢300 and GH¢400 for chamber and halls. The authorities wish also rental houses should at least have electricity, water, toilet and security. Rent Average yearly rent is GH¢269 and demand is the key factor that affects rent. Rents are revised annually with an average increment of GH¢50. Rent advance payment is compulsory upon students who want their room secured. Income and Expenditure Average monthly income is GH¢125.5 with food component constituting greater portion of students expenditure. Income is positively correlated with expenditure with a correlation coefficient of 0.993. The higher students’ income is, the more their expenditure and the vice visa. Rent and income are also positively correlated with correlation coefficient of 0.968. The more students’ income is, the more tendency to go for an accommodation with high rent and the vice visa. Housing Location and Transportation Residential pattern is a product of internal and external forces in relation to demand and supply of rental houses in Wa. Students’ residential distribution in space is much influenced by 72 accessibility to services and facilities. There is a negative relationship between rent and transportation distance. The closer the distance to campus is, the higher the rent and vice versa since coefficient of correlation is 0.967. The commonest means of transport to campus is commercial vehicles (40 percent of students). Market Outcomes Rent on housing is affordable since it represents 18 per cent of monthly income of students. The higher students’ monthly income is, the lower the percentage and the vice versa. Students are however not satisfied with this situation. As much as 41 per cent wish to have paid less than GH¢100 for yearly rent of room they occupy. Also, 62 per cent regards current rent levels in Wa as being high and as much as 75 per cent are not satisfied with the rent they pay in relation to the services and facilities that landlords offer. Rent Control RCD has no office space to facilitate its work. There is no regular flow of funding from the DACF to the department at the local level. The department is institutional capable of handling its mandates as shown in situational analysis in table 4.16. Landlords associations are ineffective in rent control issues and resolving of tenancy disagreements. Problems of Rental Housing Sanitation: The nature of housing facilities is of concern to students. Facilities such as toilets and bathroom are potential sources of disease outbreak in Wa. Refuse dumps are left unkempt, bush surrounding as also to grow. This situation serves as breeding places for mosquitoes and other dangerous species like snakes. The accessibility to housing facilities such as toilet and bathrooms are difficult since one has to wait for an average time of 4.8 minutes to access a bathroom and 5.9 minutes for toilet. This implies that in a house with average number 15 persons per house, a student is compelled to wait for 72minutes to access a bathroom and 89 minutes for toilet. This implies that students must wakeup this mush time earlier to access these facilities and prevent lateness to school Landlords demand necessary advances even when the years are not approaching. The rent advance payment is a problem to students as it affects their budget and sometimes leads to ejection from the house. 73 5.3 Recommendations RCD should be given well furnished office space and recruit four additional staff (Accountant, Secretary, Messenger and a Cleaner). The flow of funds for implementation of programmes should be channeled directly to agencies. The university Estate Office should go into partnership with landlords association in rent negotiation for students. The authority should identify all landlords that wish to rent houses to student, assess the housing services and facilities and negotiate for students to occupy such houses. University management should also reduce yearly enrolment to range between 1,000 and 1,500 students. To order to solve issues of accessibility and extortion form landlords, site and services schemes should be provided by the Assembly in collaboration with the university authority for private sector investment in hostels around campus. RCD and the Assembly should organize sensitization programmes for landlords associations on the legal framework regarding rent advance payment and revision as contained in the Rent Control law (1986) PNDC 138. Ghana should prepare and adopt a rent control policy that will serve as a framework for rent control. The split system should first be used to segregate portions housing market is under rent control. The tenancy type of rent control policy should be adopted where rent increase is a fixed percentage, or a fraction of the construction cost index, or a combination of the two With regards to sanitation and accessibility to housing facilities, new compound house construction should not be given permit by Town and Country Planning if proposed building has no provision for toilets, bath, water supply and electricity. The university authority and the Assembly should negotiate for part of affordable housing project to be allocated to the school to reduce the accommodation situation. 74 5.4 Conclusion Provisions of t facilities are expanding at rates slower than the rate of growth of the urban population thus creating a wide margin between demand and supply of urban infrastructural facilities and services. An average annual delivery of 133,000 units of housing infrastructure is needed to provide adequate housing within the next twenty years, as against the current annual delivery of 28,000 units which yields a performance rate of 21 per cent. The introduction of UDS as a growth pole has effects on access to basic services and facilities including housing. With existing housing deficit of 39,012 in Wa and slow hostel development around the campus, it has become imperative to assess students residential accommodation in such market. Total of 100 questionnaires were administered to students. Institutional questionnaire for RCD, Municipal Assembly and the university authority were also be administered. It was found out that the phenomenal rise in population and size of Wa over the past few years have manifested in the acute shortage of dwelling units which resulted in overcrowding, high rents, poor urban living conditions, and low infrastructure services and indeed high crime rates. Rental housing discrimination on the basis of gender, religious and ethnical differences exist students and landlords. These affiliations give an indication of the preference of tenants. The commonest housing type is compound housing (65 percent) of which 91 percent of students use single rooms with room occupancy rate of 2.7 persons per room. Average yearly rent is GH¢269 and demand is the key factor that affects rent. Rents are revised annually with an average increment of GH¢50. Average monthly income of students is GH¢125.5 with food component constituting greater portion of students expenditure. Income is positively correlated with expenditure with a correlation coefficient of 0.993. Students’ residential distribution in space is much influenced by accessibility to services and facilities. There is a negative relationship between rent and transportation distance. Rent on housing is affordable since it represents 18 per cent of monthly income. Students are however not satisfied with this situation. As much as 41 per cent wish to have paid less than GH¢100 for yearly rent of room they occupy. RCD has no office space to facilitate its work. There is no regular flow of funding from the DACF to the department at the local level. The marked 75 increases in prices for rented accommodation, the poor quality of rented housing and the role of temporary contracts, combined with the lack of security of tenure, in the circumstances of a tight housing market, it is the combination of these three phenomena which creates the core problem. 76 REFERENCES Aikhorin A. (2008, January 10).Mortgage facilities: Panacea for Mass Housing Development. In Nigerian Tribune: Property and Money. Akpan, G. E. (1998). The effect of student income support on academic performance. The Nigerian Journal of Economic and Social Studies, 40 (2). Alhashimi H. and Dwyer W. (2004): Is there such an entity as a housing market? 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S. and Angela Lee(2010); Misunderstanding of Housing and its Influence on the Success of Low Cost Housing; University of Salford, Maxwell Building 79 APPENDIX I SURVEY INSTRUMENTS KWAME NKRUMAH UNIVERSITY OF SCIENCE AND TECHNOLOGY COLLEGE OF ARCHITECTURE AND PLANNING FACULTY OF PLANNING AND LAND ECONOMY DEPARTMENT OF PLANNING STUDENTS’ QUESTIONNAIRE TOPIC: UNIVERSITY STUDENTS’ RESIDENTIAL ACCOMMODATION AND RENTAL HOUSING IN GHANA: CASE STUDY OF UDS WA CAMPUS BASIC DEMOGRAPHIC DATA 1. Name of respondent …………………………………………………………………. 2. Sex of respondent (a) Male (b) Female 3. Respondent’s age group (a) 15-24 (b) 25-34 (c) 45-44 (d) 45-54 (e) 55-64 4. Which level are you (a) L100 (b) L200 (C) L300 (d) L400 (e) Postgraduate 5. Which part of Wa is your residence located? Cluster Bamahu, SSNIT and their environs Sombo, Kpaguri, Kambali residential and their environs Jahan, Nurses quarters, T.I Amas and their environs Kabannye, Zongo, Limanyiri, Nayiri and their environs Tick Water Village, Dobile, Dori, Air strip and their environs 6. What is your religious affiliation? (a) Islam (b) Christianity (c) Traditionalist 7. What is your ethnic affiliation? (a) Wala/Dagaati (b) Dagbani (c) Sissala (d) Grusi (e) Akan (f) Ga (g) Ewe (h) others specify……………………. 8. What is your marital status? (a) Single (b) Married (c) Divorced (d) Consensual union (e) Widowed 9. Are you a native of Wa? (a) Yes (b) No 80 10. If No where you do come from (a) Within Wa municipal (b) Outside Wa municipal but within Upper West Region (c) outside Upper West Region HOUSING 11. Are you accommodated by the University (a) Yes (b) No 12. If No, are you accommodated in rental house? (a) Yes (b) No 13. What is the type of housing you occupy (a) Compound house (b) Detached (c) Semi-detach (d) Storey building (e) Flat 14. What is the type of room you occupy? (a) Single Room (b) Chamber & Hall (c) Flat 15. How many are you in your room (a) 1-3 (b) 4-6 (c) 7-9 (d) 10 & Above 10 16. Tick the availability and condition of the following services and facilities in your house Facility Availability Condition Good Fair Poor Bath Toilet Kitchen Storeroom Water Electricity 17. What is the average waiting time for accessing the following services and facilities? Facility Time 1-5mins Others 6-10mins 11-15mins 16-20mins Bathroom Toilet Water 18. Tick any of the following observations in your place of residence Item Tick Exposed foundation Cracked walls Leaking roofs Unpainted Poor sanitation 81 19. What is the main factor that influences your residential location? (a) Location (b) Accessibility to services and facilities (c) Housing typology (d) Peace and security (e) Affordability 20. What is the distance from your place of residence to campus (a) 1-5km (b) 6-10Km (c) 1115km (d) 16-20km (e) others specify……………. 21. What is your means of transport to campus? (a) By Foot (b) Bicycle (c) Motor bicycle (d) Private car (e) Public transport 22. Place indicate your monthly income (a) GH¢1-100 (b) GH¢101-200 (c) GH¢201-300 (d) GH¢301-400 (e) GH¢401-500 (f) GH¢501-600 (g) others specify………………………. 23. Place indicate your monthly expenditure by ticking the appropriate category Item Amount (GH¢) 1-100 101-200 201-300 301-400 401-500 501-600 Others Food Clothing Energy Health Transport Water and sanitation Remittance 24. How much is your yearly rent paid ………………………. 25. How much would you have wished to pay for the room you occupy? ………………………. 26. Are you satisfy with the rent you pay in relation to the services and facilities provided by the landlord/ladies (a) Yes (b) No 27. Is there any arrangement for advance payment (a) Yes (b) No 28. What is your judgment on the rent you pay (a) High (b) Moderate (c) Cheap 29. Who long does your landlord revises rent? (a) Yearly (b) two years (c) Every three year (d) Every four years (e) Others specify……………. 30. Are you aware of the existence and operation of rent control department is Wa (a) Yes (b) No 31. What problems do you face in residential accommodation? I……………………………………………………………………………………………………. II……………………………………………………………………………………………………. 82 III…………………………………………………………………………………………………… IV………………………………………………………………………………………………….. V………………………………………………………………………………………………….. 32. What attempts have you made to address these issues? I……………………………………………………………………………………………………. II……………………………………………………………………………………………………. III…………………………………………………………………………………………………… IV………………………………………………………………………………………………….. V………………………………………………………………………………………………….. 33. How can the above problems be solved? I……………………………………………………………………………………………………. II……………………………………………………………………………………………………. III…………………………………………………………………………………………………… IV………………………………………………………………………………………………….. V………………………………………………………………………………………………… 83 KWAME NKRUMAH UNIVERSITY OF SCIENCE AND TECHNOLOGY COLLEGE OF ARCHITECTURE AND PLANNING FACULTY OF PLANNING AND LAND ECONOMY DEPARTMENT OF PLANNING LANDLORDS QUESTIONNAIRE TOPIC: UNIVERSITY STUDENTS’ RESIDENTIAL ACCOMMODATION AND RENTAL HOUSING IN GHANA: CASE STUDY OF UDS WA CAMPUS BASIC DEMOGRAPHIC DATA 1. Name of respondent …………………………………………………………………. 2. Sex of respondent (a) Male (b) Female 3. Respondent’s age group (a) 15-24 (b) 25-34 (c) 45-44 (d) 45-54 (e) 55-64 (f) 65 & Above 4. Where is your house located in Wa? Cluster Tick Bamahu, SSNIT and their environs Sombo, Kpaguri, Kambali residential Jahan, Nurses quarters, T.I Amas and their environs Kabannye, Zongo, Limanyiri, Nayiri and their environs Water Village, Dobile, Dori, Air strip and their environs 5. What is your religious affiliation? (a) Islam (b) Christianity (c) Traditionalist 6. What is your ethnic affiliation? (a) Wala/Dagaati (b)Dagbani (c) Sissala (d) Grusi (e) Akan (f) Ga (g) Ewe (h) others specify……………………………………… 7. What is your marital status? (a) Single (b) Married (c) Divorced (d) Consensual union (e) Never married (f) Widowed 8. Are you a native of Wa? (a) Yes (b) No 9. If No where you do come from (a) Within Wa municipal (b) Outside Wa municipal but within Upper West Region (c) outside Upper West Region 84 HOUSING 10. What is the type of your house (a) Compound house (b) Detached (c) Semi-detach (d) Storey building (e) Flat 11. How old is your house? (a) 1-5 (b) 6-10 (c) 11-15 (d) 16-20 …………………………….. (e) others specify 12. How many habitable rooms are there in the house (a) 1-5 (b) 6-10 (c) 11-15 (d) 16-20 (e) others specify …………………………….. 13. How many households are there in the house? (a) 1-5 (b) 6-10 (c) 11-15 (d) 16-20 (e) others specify …………………………….. 14. Tick the building materials used Wall Land Crete Sand Crete Wattle and daub Roof Aluminum Iron Tiles Mud Wood 15. Tick the availability and condition of the following services and facilities in your house Facility Availability Condition Good Fair Poor Bath Toilet Kitchen Storeroom Water Electricity 16. Tick any of the following observations in the house Item Tick Exposed Cracked Leaking Unpainted foundation walls roofs Poor sanitation 85 17. Indicate how much rent to charge per the following Item 1-100 101-200 201-300 Amount (GH¢) 301-400 401-500 501-600 Others Single room Chamber & hall Flat 18. What is the main factor the influences your level of rent? (a) Cost of production and maintenance (b) Demand (c) Location (d) level of facilities (e) Housing Typology (f) Category of renters 19. Which of the following people would you prefer to rent out your place to? (a) Students (b) Natives (c) Public servants 20. Why the above choice?................................................................................................................ 21. Do you accept advance payment (a) Yes (b) No 22. What is your judgment on the rent you pay (a) High (b) Moderate (c) Cheap 23. How long do you often revise your rent? (a) Yearly (b) Two years (c) Every three year (d) Every four years (e) Others specify……………. 24. Within the last five years, which of the following maintenance work do you do? Year Works Roof Plastering Painting 1 2 3 4 5 25. Are you satisfy with the rent you receive in relation to the services and facilities provided (a) Yes (b) No 26. Are you aware of the existence and operation of rent control department in Wa (a) Yes (b) No 27. Are they any landlords/ladies association in Wa? (a) Yes (b) No 28. If yes, are you a member of any landlords/ladies association in Wa? (a) Yes (b) No 86 29. What problems do you face in residential accommodation? I……………………………………………………………………………………………………. II……………………………………………………………………………………………………. III…………………………………………………………………………………………………… IV………………………………………………………………………………………………….. V………………………………………………………………………………………………….. 30. How can the above problems be solved? I……………………………………………………………………………………………………. II……………………………………………………………………………………………………. III…………………………………………………………………………………………………… IV………………………………………………………………………………………………….. V………………………………………………………………………………………………….. 87 KWAME NKRUMAH UNIVERSITY OF SCIENCE AND TECHNOLOGY COLLEGE OF ARCHITECTURE AND PLANNING FACULTY OF PLANNING AND LAND ECONOMY DEPARTMENT OF PLANNING UNIVERSITY AUTHORITY’S QUESTIONNAIRE TOPIC: UNIVERSITY STUDENTS’ RESIDENTIAL ACCOMMODATION AND RENTAL HOUSING IN GHANA: CASE STUDY OF UDS WA CAMPUS 1. Name of respondent………………………………………………………………… 2. Position/Title of respondent…………………………………………………………. 3. Please indicate the number of students admitted each year and the number that was accommodated by the university. Year 2005 2006 2007 2008 2009 2010 No. First Years Total Student Population No. Accommodated 4. What attempts have been made to accommodate the remaining student?..................................... ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… 5. Will the university be ready to lease out portions of its land on pre-agreed terms and partner with private sector for hostels development (a) Yes (b) No 6. If No Why?.................................................................................................................................... ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… 7. How much does the university levy per student in university halls of residence……………….. 88 8. How much would the university wish landlords to charge per Single room……………………. Chamber & hall…………………….. 9. How can the response in question 8 be enforced?......................................................................... ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… …………………………………………………………………………………………………… 10. What is the university judgment on the rent landlords charge? (a) High (b) Moderate (c) Cheap 11. What strategies can the authority develop to partner with private sector to improve accommodation situation? ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… 12. What specific facilities and services will the authority want all landlords to have in their houses for students? ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… …………………………………………………………………………………………………….... ……………………………………………………………………………………………………… ……………………………………………………………………………………………………... 89 13. What problems do students face in rental housing? ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… 14. What attempts have been made to solve them? ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… 15. How can the above problems be solved? I……………………………………………………………………………………………………. II……………………………………………………………………………………………………. III…………………………………………………………………………………………………… IV………………………………………………………………………………………………….. V………………………………………………………………………………………………….. 90 KWAME NKRUMAH UNIVERSITY OF SCIENCE AND TECHNOLOGY COLLEGE OF ARCHITECTURE AND PLANNING FACULTY OF PLANNING AND LAND ECONOMY DEPARTMENT OF PLANNING RENT CONTROL DEPARTMENT QUESTIONNAIRE TOPIC: UNIVERSITY STUDENTS’ RESIDENTIAL ACCOMMODATION AND RENTAL HOUSING IN GHANA: CASE STUDY OF UDS WA CAMPUS 1. When did rent control start operation in Wa?……………………….. 2. Assessment of capacity. Indicate the items needed by the department, the current situation and the required number of such items Item Current situation Required Staff 3. Number of cases reported and resolved Years 2005 2006 2007 2008 2009 2010 Cases reported Cases resolves 4. How should rents be determined………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… 91 ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… 5. Who should determine rents level in Wa?…………………………………………………….. ............................................................................................................................................................ 6. Who currently determines rent levels in Wa…………………………………………………….. 7. How long should rent levels be revised…………………………………………………………. 8. Are they any recognized landlords association in Wa that the Department work with (a) Yes (b) No 9. What policies and legal frameworks in Ghana regulate rental housing? I……………………………………………………………………………………………………. II……………………………………………………………………………………………………. III…………………………………………………………………………………………………… IV………………………………………………………………………………………………….. V………………………………………………………………………………………………….. 10. What problems do you face discharging duties? I……………………………………………………………………………………………………. II……………………………………………………………………………………………………. III…………………………………………………………………………………………………… IV………………………………………………………………………………………………….. V………………………………………………………………………………………………….. 10. How can the above problems be solved? I……………………………………………………………………………………………………. II……………………………………………………………………………………………………. III…………………………………………………………………………………………………… IV………………………………………………………………………………………………….. V…………………………………………………………………………………………………. 92 KWAME NKRUMAH UNIVERSITY OF SCIENCE AND TECHNOLOGY COLLEGE OF ARCHITECTURE AND PLANNING FACULTY OF PLANNING AND LAND ECONOMY DEPARTMENT OF PLANNING MUNICIPAL ASSEMBLY’S QUESTIONNAIRE TOPIC: UNIVERSITY STUDENTS’ RESIDENTIAL ACCOMMODATION AND RENTAL HOUSING IN GHANA: CASE STUDY OF UDS WA CAMPUS 1. Name of respondent…………………………………………………………………………… 2. Position/Title of respondent…………………………………………………………………. 3. Is the assembly aware of any rent surge for UDS students in Wa? (a) Yes (b) No 4. If Yes, what has the assembly done about the situation………………………………………. ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… 5. What are the mandates of the assembly in rent control?............................................................... ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… 6. Will the assembly be ready to invest into hostel development? (a) Yes (b) No 7. Will the assembly be ready to partner with private sector in hostel development? (a) Yes (b) No 8. If yes what will be the mandate of the assembly in this regards?................................................ ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… 9. What is your judgment on the rent students pay (a) High (b) Moderate (c) Cheap 93 10. How much will Assembly want landlords to charge as rent for the following? Single room…………………… Chamber & hall……………… 11. Give solutions that can solve students exploitation by landlords…………………………….. ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ……………………………………………………………………………………………………… ………………………………………………………………………………………………………