• About us
  • Community
  • Terms
  • Privacy
  • Contact Us
Wednesday, February 1, 2023
  • Login
Dubai News TV - Dubai News
  • Home
  • UAE
    • Dubai
    • Sharjah
    • Abu Dhabi
    • Ajman
    • Ras Al Khaimah
    • Fujairah
    • Umm Al Quwain
  • REGION
    • Asia
    • South Asia
      • Pakistan
      • India
      • Bangladesh
      • Afghanistan
    • Middle East
    • GCC
    • MENA
    • Europe
    • Africa
  • Business
    • Global Business
    • Local Business
    • Markets
  • REAL ESTATE
  • Expo 2020
  • Meet The CEO
  • Horoscope
  • PR
  • more
    • Opinion
    • EDITOR’S CHOICE
    • The Big Read
    • Viewpoint
No Result
View All Result
  • Home
  • UAE
    • Dubai
    • Sharjah
    • Abu Dhabi
    • Ajman
    • Ras Al Khaimah
    • Fujairah
    • Umm Al Quwain
  • REGION
    • Asia
    • South Asia
      • Pakistan
      • India
      • Bangladesh
      • Afghanistan
    • Middle East
    • GCC
    • MENA
    • Europe
    • Africa
  • Business
    • Global Business
    • Local Business
    • Markets
  • REAL ESTATE
  • Expo 2020
  • Meet The CEO
  • Horoscope
  • PR
  • more
    • Opinion
    • EDITOR’S CHOICE
    • The Big Read
    • Viewpoint
No Result
View All Result
Dubai News
  • Top News
  • UAE
  • REGION
  • Business
  • World
  • REAL ESTATE
  • Entertainment
  • ENVIRONMENT
  • Expo 2020
  • FEATURED
  • Horoscope
  • Meet The CEO
  • Road To Financial Freedom
  • Opinion
  • PR
  • Sports
  • Tech
  • Video Posts
Home REAL ESTATE

Dubai rents to pick up further in 2022

by Dubai News
May 30, 2022
in REAL ESTATE, Top News
Reading Time: 12 mins read
928 70
A A
Dubai rents to pick up further in 2022
14.3k
VIEWS
Share on FacebookShare on Twitter

Up to 15% rise in villa rents seen in next two quarters as influx of new residents lift demand for residential properties

Rental market will balance out and start favouring the landlords after being tenant friendly in recent years, however, rental rises will not be uniform across the city, experts say.

Analysts, top executives and industry specialists said Covid-19 variant will continue to impact remote working, thus keeping demand for villas and larger unit strong.

RelatedPosts

Dubai’s rising population set to spur property market growth

Missile hits Kharkiv apartment block, killing at least one

UAE-UK travel set to soar during Spring break, visa processing time back to normal

“Villa developments, both mature and emerging, in particular recorded a surge in demand and consequently a rise in rental and occupancy rates as a result of changing working and living habits. Villa rents may go as high as 15 per cent in the coming quarters as demand is high due to influx of new residents,” according to the industry experts.

Influx of new residents

Richard Waind, group managing director, Betterhomes, occupancy levels across freehold Dubai now stand well above pre-pandemic levels, although old parts of Dubai continue to lag behind and landlords in older, leasehold areas are increasingly needing to look to upgrade their properties, or offer discounts, to attract new tenants.

“While the original recovery of demand seen at the start of this price cycle was driven by existing residents taking advantage of the value in the market, recent demand has largely been driven by the influx of new residents to Dubai. Population fell by eight per cent at the peak of the pandemic, but has rebounded by over 18 per cent to stand at 3.5 million at the start of 2022. These new residents, many expats attracted by the pandemic response in Dubai, have especially placed pressure on mid and upper leasing markets where we have seen substantial price increases,” Waind said.

Rents to sustain upward trend

Ata Shobeiry, chief executive of Zoom Property, said rents are expected to sustain an upward trend for properties in prime areas of Dubai as the emirate attracted worldwide investors following its successful drive against the Covid-19 pandemic and recent visa reforms.

“While the Dubai residential property market continues to attract foreign investment, the rental segment is also improving as several areas reported an increase in rents last month, with Jumeirah Islands and MBR City recording the highest increase. This growth pattern is expected to continue throughout the rest of the year as the market rebounds,” Shobeiry told Khaleej Times.

Interest rate hike impact

Ayman Youssef, vice-president, Coldwell Banker, attributed the increase in rents to inflation and higher cost of living and said rising interest rates will also support rent price increase in Dubai.

“Dubai reinforce its reputation as a safe heaven amid global tension rise with favourable tax system, high quality living standards, safety and security. Improving residency and corporate laws will also support population and demand for residential and commercial units,” Youssef said.

“Despite the delivery of 17,000 units to Dubai’s residential stock bringing total units to 657,000, residential rents increased in Dubai in almost every community some communities have seen a double-digit growth during the first quarter of 2022,” he said.

“We expect the rental price in to increase moderately till year end. Ultra luxury villas have seen muted increase as prices increased significantly in the last couple of years. Apartment rents are also picking up in many communities in Dubai as an increase of six per cent was registered in the last three months,” he added.

Tight housing market

Average rental prices picked up in first quarter on the back of an already tight housing market. According to Betterhomes, while apartments, townhouses, and villas rentals rose to 33 per cent, 25 per cent, and 64 per cent, respectively, they saw a cutback in the number of inquiries and active listings hitting the market.

Yousuf Fakhruddin, CEO of Fakhruddin Properties, said property leasing in Dubai’s rental market has seen a number of changes in recent months.

“Residential properties have remained in high demand, with occupancies averaging decently for good residential projects. For example, our projects have seen an average occupancy rate of 98 per cent,” Fakhruddin told Khaleej Times on Monday.

Elaborating, he said commercial and residential properties have both seen the same level of activity in the past quarter, with renewal values increasing at 5-10 per cent. Warehouse rents have also increased by approximately five per cent of the annual rent, while labour camp rates have remained stable as they have not changed since fourth quarter of the previous year, he said. “There’s good news for properties like villas, though, as villa rental rates are expected to increase by 10-15 per cent in the coming quarters. Short-term rentals, however, have decreased by 20-30 per cent since the Expo 2020 ended,” he said.

He said the summer season and Ramadan have also contributed to the dip in short-term rentals in this quarter.

“As of now, most of the demand is coming from long-term renters, but that will change as the weather improves and more kinds of tenants make their way back to the rental market. Average occupancies for short-stay properties are currently at 65-70 per cent, but this is expected to increase to 85-90 per cent by the end of the year. All in all, we have a positive outlook as to how the rest of the year will pan out for the rental market in Dubai,” he said.

Top 10 areas for rental residential units in Q1

1. Al Barsha

2. Jumeirah Islands

3. Umm Suqeim

4. Downtown Dubai

5. Dubai Marina

6. Meadows

7. Palm Jumeirah

8. Jumeirah Park

9. Dubai Hills Estate

10. Jumeirah Golf Estates

Source: khaleej times
Tags: Dubai rentDubai rents to pick up further in 2022zoom property
Share57Tweet36Share10Send
">
ADVERTISEMENT

Related Posts

property market , dubai property market
Local Business

Dubai’s rising population set to spur property market growth

January 31, 2023
4.2k
Missile hits Kharkiv apartment block, killing at least one
NEWS

Missile hits Kharkiv apartment block, killing at least one

January 30, 2023
2.2k
UAE-UK travel set to soar during Spring break, visa processing time back to normal
NEWS

UAE-UK travel set to soar during Spring break, visa processing time back to normal

January 29, 2023
2.2k
US fiscal standoff: Could the nation default on its debt?
NEWS

US fiscal standoff: Could the nation default on its debt?

January 28, 2023
2.2k
‘Oldest and most complete’ mummy found in Egypt
NEWS

‘Oldest and most complete’ mummy found in Egypt

January 27, 2023
2.3k
5 UAE laws to keep an eye out for in 2023
NEWS

5 UAE laws to keep an eye out for in 2023

January 25, 2023
2.4k

Popular News

  • UAE e-commerce business set to gain momentum in the post-Covid era

    UAE e-commerce business set to gain momentum in the post-Covid era

    142 shares
    Share 441 Tweet 276
  • ‘Start-up guide for Funding’ to resolve financial woes of founders and entrepreneurs

    24 shares
    Share 261 Tweet 163
  • Top nationalities continue to invest in Dubai real estate

    18 shares
    Share 243 Tweet 152
  • UAE remains top choice of investors as FDI inflows to hit $22 billion this year

    29 shares
    Share 273 Tweet 171
  • How to set up a real estate brokerage company in Dubai

    14 shares
    Share 155 Tweet 97
  • Dubai home sales surged 55.9% in April

    34 shares
    Share 195 Tweet 122
  • Investors to repose trust on UAE real estate market with more investments

    27 shares
    Share 151 Tweet 94
  • Dubai property market continues its upward trajectory in H1 2022

    25 shares
    Share 164 Tweet 103
  • Dubai’s luxury home market to continue its golden run in 2022

    327 shares
    Share 131 Tweet 82
  • Dubai set to be hub of metaverse, blockchain

    21 shares
    Share 48 Tweet 30
Currently Playing

Zoom Property Insights - How Expo 2020 is Shaping up the Dubai Property Market | Dubai News TV

Zoom Property Insights - How Expo 2020 is Shaping up the Dubai Property Market | Dubai News TV

00:03:34

Learn When is Best Time to invest in Real Estate Market

00:08:02

Managing Personal Liquidity in 7 Steps | Shailesh Dash | Dubai News TV

00:11:27

The World Plays The UAE National Anthem

00:02:13

Meet the CEO : BANKING ON RAJEEV KAKAR

00:25:20
United Arab Emirates Dirham Exchange Rate

About US

DubaiNews.Tv is a fast-growing Dubai-based digital platform that covers news, happenings and current affairs with a central focus on Dubai, UAE, Gulf, Middle East. It also features regional and international news activities in addition to exclusive reports, interviews and special videos.

info@dubainews.tv

dubainews.tv@gmail.com

Follow Us

Browse by Category

  • Abu Dhabi
  • Afghanistan
  • Africa
  • Ajman
  • Asia
  • Bangladesh
  • Business
  • CPEC
  • Dubai
  • EDITOR'S CHOICE
  • Education
  • Entertainment
  • ENVIRONMENT
  • Europe
  • EXCLUSIVE
  • Expo 2020
  • FEATURED
  • Featured Stories
  • Forex
  • Fujairah
  • GCC
  • Global Business
  • Health
  • heath
  • Horoscope
  • India
  • International
  • Iran
  • JOBS
  • Lifestyle
  • Local Business
  • Markets
  • Meet The CEO
  • MENA
  • Middle East
  • MORE
  • Movie
  • Music
  • NEWS
  • Opinion
  • Pakistan
  • Philippine
  • Philippines
  • PR
  • Ras Al Khaimah
  • REAL ESTATE
  • REGION
  • Road To Financial Freedom
  • Russia
  • Science
  • Science
  • Sharjah
  • South Asia
  • Space
  • Sports
  • Spotlight
  • Sri Lanka
  • Startup
  • STOCKS
  • Syria
  • Tech
  • The Big Read
  • Top News
  • Travel
  • Tunisia
  • turkey
  • UAE
  • Umm Al Quwain
  • Uncategorized
  • Video Posts
  • Viewpoint
  • Weather
  • World

Recent News

New Federal Personal Status Law takes effect in UAE on February 1: All you need to know

February 1, 2023
property market , dubai property market

Dubai’s rising population set to spur property market growth

January 31, 2023
Rhino poaching surges 93 percent in Namibia

Rhino poaching surges 93 percent in Namibia

January 31, 2023
UAE Corporate Tax: Big businesses, public companies get first shot at registering via EmaraTax

UAE Corporate Tax: Big businesses, public companies get first shot at registering via EmaraTax

January 31, 2023
Missile hits Kharkiv apartment block, killing at least one

Missile hits Kharkiv apartment block, killing at least one

January 30, 2023
  • About us
  • Community
  • Terms
  • Privacy
  • Contact Us

© 2022 DNTV - Powered By Dubai News TV.

No Result
View All Result
  • Top News
  • UAE
    • Dubai
    • Abu Dhabi
    • Ajman
    • Fujairah
    • Ras Al Khaimah
    • Umm Al Quwain
  • REGION
    • Middle East
    • GCC
    • MENA
    • South Asia
      • Afghanistan
      • Bangladesh
      • India
      • Pakistan
    • Asia
    • Africa
    • Europe
  • Business
    • Global Business
    • Local Business
    • Markets
  • World
  • REAL ESTATE
  • Entertainment
  • ENVIRONMENT
  • Expo 2020
  • FEATURED
    • Featured Stories
  • Horoscope
  • Meet The CEO
  • Road To Financial Freedom
  • Opinion
    • EDITOR’S CHOICE
    • The Big Read
    • Viewpoint
  • PR
  • Sports
  • Tech
  • Video Posts

© 2022 DNTV - Powered By Dubai News TV.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Add New Playlist

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.