Real Estate Council: Catalyzing Business Growth in Malawi

Key Business Points

• Real Estate Regulation Delay The Real Estate Management Council established by law in January 2025 remains non operational, leaving the sector unregulated.
• Unlicensed Practitioners Active Real estate agents and brokers operate without valid licenses because the council meant to issue them is not yet functioning.
• Consumer Protection At Risk The delay allows unscrupulous operators to exploit buyers and tenants amid Malawi’s growing urban housing shortage.

The Real Estate Management Council meant to regulate Malawi’s rapidly growing property market remains paralyzed months after its legal creation.

Established under the Real Estate Management Act of 2024 the council was meant to begin work in January 2025. Its core duties include licensing real estate practitioners enforcing professional standards and protecting home buyers and tenants from fraud.

But nearly eight months later the council still cannot operate. Ministry officials say they are still resolving administrative issues. Minister of Lands Housing and Urban Development Chimwemwe Chipungu admitted in an interview that final preparations are underway.

"We will effect it as we are trying to tie up some loose ends," he said without giving a clear timeline.

In a written statement the ministry’s spokesperson Fostina Mkandawire said the original launch target of July or mid-August passed because the council must first be formally gazetted and officially inaugurated.

"The council can only commence its statutory functions after it has been formally gazetted and inaugurated," she explained. "The ministry is working to complete the remaining administrative processes."

Real estate consultant Prince Machika warned that the continued delay leaves the sector wide open to abuse. "As I am speaking I do not have a valid license to practice my profession because the council meant to issue licenses is yet to start its work," he said. "The absence of regulation creates a fertile ground for unscrupulous operators to exploit the real estate market."

Machika pointed to Malawi’s chronic shortage of affordable urban housing as a key driver of the problem. With cities like Lilongwe and Blantyre seeing rising demand for homes many people turn to private landlords and informal developers who may lack proper credentials.

He added that the long term fix lies in expanding affordable housing supply and ensuring all players in the market operate under the same legal framework.

Business chambers have started raising concerns over investor confidence. A well regulated real estate sector is crucial for mortgages pension fund investments and overall financial stability.

The delay also affects international partners considering property investments in Malawi. Foreign investors often require assurance that local regulations meet global standards.

Meanwhile ordinary Malawians continue to face high rents and unsafe housing conditions especially in urban areas. Without a functioning regulator complaints against rogue agents and fraudulent developers go unaddressed.

Local entrepreneurs in construction and property management say they are ready to support government efforts once formal structures are in place.

The Ministry of Lands has promised to fast track remaining procedures. However critics argue that months of delays suggest deeper systemic challenges within the public service.

Once operational the council is expected to license thousands of practitioners across the country. It will also mediate disputes between landlords and tenants and oversee fair practices in property sales.

For now traders and property dealers continue operating in a legal grey area. Many hope the council will begin work before the end of the year.

Until then Malawi’s real estate sector risks losing credibility both locally and abroad. The situation underscores the urgent need for functional oversight in one of the country’s most dynamic economic sectors.

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