Dubai’s Most Sought-After Neighborhood For Rental Properties Is Still Palm Jumeirah.
According to Zoom Property Insights, the Dubai rental market is still on the rise. As average rent increases by 27% this year. In addition, demand increases significantly in line with the emirate’s robust economic activity.
The average cost of renting an apartment has risen to Dh91795. While the cost of renting a villa has increased to Dh274740. According to the poll, this demonstrates a growth of 27.5% and 25.7% in the corresponding industries.
Renters are hesitant to relocate, though, because of the growing costs. Because fewer new contracts are being signed, the number of renewals is higher. According to Zoom Property CEO Ata Shobeiry, the rental property market will end the year strongly.
The latest figures show that the Dubai rental industry is booming, he claimed. The top regions are doing incredibly well, which is wonderful news for the market. These places include Palm Jumeirah, Downtown Dubai, Dubai Marina, and JBR. As the FIFA World Cup 2022 Qatar is giving the short-term rental industry a fantastic boost. I think 2022 will end on a very good one for the rental market.
Demand For Popular Regions
The Palm Jumeirah neighbourhood in Dubai remains the most sought-after location for rental homes, upholding its reputation. According to data from Q3, 2022, Zoom Property Insights, average rent for properties on the Palm Jumeirah increased by 22%. The community’s villa category also experienced an increase of about 32%.
Additionally, Downtown Dubai saw a significant spike in average apartment rental costs of 24%. On the other hand, Dubai Hills Estate saw the greatest increase in rental villa prices, up 33%. Along with the aforementioned, additional regions that have seen an increase in demand for rental properties include JBR, Dubai Marina, Al Barari, Emirates Hills, and Jumeirah Bay.
Forecast For 2023
Dubai’s rental industry appears to have a promising 2023. According to Zoom Property Insights, Dubai’s rent for apartments and villas will remain high. Over the course of the following year, paving the way for an even more successful 2023.
Due to its stability and greater returns, Dubai real estate market is drawing HNWIs and overseas investors, which will have an effect on the rental market as well. Despite the rise in rent, individuals will continue to move to Dubai. Take advantage of its opulent lifestyle, and investigate career and business options. Which will ultimately help the economy as a whole, Shobeiry said.
- Price has increased by 27.5% for flats.
- A decrease in new contracts reported as a result of rising rents
- The top areas in Dubai with the highest demand for rental properties include Palm Jumeirah, Downtown Dubai, Dubai Marina, Al Barari, JBR, Dubai Hills Estate, Jumeirah Bay, and Emirate Hills.