Dubai rents are set to increase even further by the the year. It has been predicted that renters will be hit with a 10% increase in the next six months.
In the first half of the year, some areas of Dubai saw increases of over 20%. This indicates that Dubai is becoming an ever more popular destination for people in the rental and purchasing markets. Dubai rents increasing shows demand is outstripping supply.
“With a 10% increase at the beginning of 2024, there is no reason to think that we won’t see a similar growth for the remainder of the year. With more handovers due in third and fourth quarters, we anticipate continued supply and steady growth of 5% to 10% over the next six months,.
Jacob Bramley, Senior Leasing Manager, Betterhomes
The areas that have been hit with the largest increases in the first half of 2024 were Jumeirah Beach Residence (JBR), Town Square, Dubai Production City, Dubai Healthcare City 2 and Meydan. These areas were being met with a 21% to 22% jump in rentals.
“More supply will be coming into the market, with over 10,000 expected in Q2 alone. The increase in supply is crucial as we expect to see further population growth. Over 30,000 new residents moved into the city in the first five months of 2024.
“A new report suggests over 6,700 millionaires are to enter the city, further fuelling both the population and the real estate market’s growth. As the number of residents continues to climb, we will see more units being handed over to meet the expected rising demand. Landlords are also offering flexible payment options such as multiple cheques, which would help tenants keep pace with the rising market,”
Lewis Allsopp, chairman of Allsopp and Allsopp
The Dubai rental sector for investors may seem complicated at first, but it is much more straightforward as long as you do your research. So, how do you navigate the Dubai rental sector?
