Dubai Rental Prices Have Grown by 20%, Showing the Highest Numbers Since 2014

According to CBRE, a US-based commercial real estate services and investment firm, the rental prices in Dubai have grown significantly, which is the fastest jump rate since 2014.

The rental prices for apartments have increased by 21.2%, whilst villa rentals have grown by 24.7%. At the moment, the average price of renting an apartment is AED 85,294 (USD 23,200), while a villa can be rented for AED 256,000 (USD 70,000) per year. In the last 12 months to June 2022 the average rental prices have seen an increase of 21.7% in Dubai, while prices for properties have increased moderately.

The highest rental prices for apartments in Dubai can be found on Palm Jumeirah. The average price for renting an apartment here is AED 218,420 (USD 60,000) annually. The most expensive villas are located in Al Barari, where renting a unit might cost you AED 889,225 (USD 242,000) per year.

As Taimur Khan, the CBRE’s Middle East Head of Research stated, that while the rate of price growth has dropped to 10.1% in the year to June 2022, rents have increased by 21.6% over this period, adding that the numbers show the fastest rate since mid-2014.

The total volume of transactions in the real estate sector of Dubai reached 7,941 in June, which is 33.3% higher in comparison to the previous year. Moreover, the total number of transactions from the beginning of the year until June 2022 is 38,901, which is the highest since 2009.

Real estate properties in Dubai are in demand among locals and foreigners wishing to move to the UAE or make an investment. For instance, on the last day of June, the Dubai real estate market registered real estate transactions with a record AED 3.9B (USD 1.06B).