Bayut & dubizzle’s Q3 2021 Dubai rental report: Property boom continues into the second half of the year

• Affordable Apartments
• Luxury Apartments
• Affordable Villas
• Luxury Villas

With the third quarter of this year wrapped up, we at Bayut & dubizzle have compiled our comprehensive Dubai rental property market report for Q3 2021 with insights into the asking rents for villas and apartments across the emirate.

To identify the prevailing rental trends and consumer preferences for the Q3 2021 Dubai real estate market report, our data experts have compared the rental prices observed on Bayut & dubizzle during Q3 2021 (excluding room share) with the rent trends identified during the second quarter of 2021.

A look at the consumer trends in popular locations revealed that tenants looking for affordable housing have remained inclined towards well-established, suburban neighbourhoods like Jumeirah Village Circle (JVC), Al Nahda, Mirdif and DAMAC Hills 2 (Akoya Oxygen). The historically popular residential districts of Jumeirah, Al Barsha, Dubai Marina and Downtown Dubai have also continued to attract a high volume of tenants interested in luxury properties.

Based on the trends observed on Bayut & dubizzle, the Dubai rental market has seen further growth in Q3 2021. There has been a general uptrend in the rental prices in Dubai, with the prices for affordable properties increasing by up to 14% and luxury housing prices rising by almost 30% in certain popular areas. 

The overall increase observed in the prices for rental properties in Dubai can likely be attributed to the continued growth in demand for larger homes. In addition, Dubai’s image as an ideal place to live has been further strengthened by the government’s decision to widen eligibility for the Golden Visa scheme and lower the requirements for long-term residency visas based on property ownership.

Bayut & dubizzle’s combined report compares the asking rents from Q3 2021 to Q2 2021, to provide the average rental prices in Dubai for apartments and villas. We have further segmented the popular areas for rental apartments and villas into ‘Affordable’ and ‘Luxury’ categories to provide a more tailored view of the Dubai rental market.

What follows is an in-depth analysis of rents observed in popular residential districts for villas and apartments for this quarterly Dubai property market report 2021. 

JUMEIRAH VILLAGE CIRCLE CONTINUES TO BE THE MOST POPULAR AREA FOR AFFORDABLE APARTMENTS

AVERAGE RENTS IN DUBAI FOR AFFORDABLE FLATS IN POPULAR LOCATIONS – BAYUT & DUBIZZLE’S Q3 2021 MARKET REPORT

The combined data collected for Bayut & dubizzle’s Q3 2021 Dubai rental property market report has shown that Jumeirah Village Circle (JVC) maintained its position as the most searched for area among tenants interested in budget-friendly apartments for rent in Dubai. The average rent for flats in JVC has increased across the board during Q3 2021. Tenants who wish to rent apartments in JVC can expect to pay AED 28k for studios, AED 43k for 1-bed and AED 62k for 2-bed units.

Based on the analysis of trends for rental prices in Dubai, Al Nahda has taken the second spot for affordable flats in Q3 2021. Consistent with the trends observed in the overall performance of Dubai’s real estate market, the prices for rental apartments in Al Nahda have seen moderate upticks of 9.25% and 3.35% for studio and 1-bedroom flats, respectively. The studio flats for rent in Al Nahda have an asking price of AED 23k in Q3 2021, while the rent for 1-bed units has averaged at AED 31k. The average rent for 2-bedroom apartments in Al Nahda has remained steady at AED 43k during Q3 2021.

Besides these areas, tenants have also shown an inclination towards the affordable suburb of Dubai Silicon Oasis and the older, established areas of Deira and Bur Dubai. Based on the rental trends in Dubai, the average rents in these neighbourhoods have remained largely unchanged, with minor increases of under 6% for certain units.

DUBAI MARINA HOLDS THE TOP POSITION FOR LUXURY APARTMENT RENTALS

RENTAL PRICES IN DUBAI FOR LUXURY APARTMENTS FOR RENT – BAYUT & DUBIZZLE’S Q3 2021 PROPERTY MARKET REPORT FOR DUBAI

A firm favourite among those in search of luxury flats for rent, Dubai Marina has remained the top choice for tenants as per Bayut & dubizzle’s Dubai real estate market report for Q3 2021. Prices for apartments for rent in Dubai Marina have increased across the board by 6% to 12%, averaging at AED 67k for 1-bed, AED 103k for 2-bed and AED 156k for 3-bed flats. The overall increase could be driven by landlords capitalising on the area’s ideal location for luxury rentals in lieu of Expo 2020.

Downtown Dubai has been another highly searched-for area when it comes to luxury apartments for rent in Dubai. The area has seen a considerable increase in prices for all popular bed types. The rent for 1-bed apartments in Downtown Dubai has gone up by 10.33% to an average of 89k. The 2-bed flats for rent have an average price of AED 147k after an uptick of 16.9%. Following the release of new, higher-priced inventory from prime projects like The Address BLVD Sky Collection, Vida Residence Downtown, The Address The BLVD and The Address Residence Fountain Views, the prices for 3-bed flats for rent in Downtown Dubai have seen a massive increase of 30.66%, to average at AED 314k in Q3 2021. 

The real estate trends in Dubai observed at Bayut & dubizzle have also revealed that tenants’ interest in waterfront districts like Jumeirah Beach Residence (JBR) and Palm Jumeirah remains steady. Prices for upscale rental flats have increased between 5% and 14% in these areas, showing that there is a boom in established areas as well. City Walk has emerged as the only popular area for luxury apartments where rents have decreased, dropping by 9.76%.

Apartments for Rent in Dubai

View all

AED 100,000 Yearly

• STUDIO
• |
• 1 BATH
• |
• 473 SQFT

UPSIDE, Business Bay, Dubai, UAE

AED 75,000 Yearly

• 1 BED
• |
• 1 BATH
• |
• 810 SQFT

SH Living 1, JVC District 14, Jumeirah Village Circle (JVC), Dubai, UAE

AED 90,000 Yearly

• 2 BEDS
• |
• 3 BATHS
• |
• 967 SQFT

Verve Mirdif, Mirdif, Dubai, UAE

AED 85,000 Yearly

• 1 BED
• |
• 2 BATHS
• |
• 867 SQFT

Eleganz by Danube, JVC District 14, Jumeirah Village Circle (JVC), Dubai, UAE

AED 75,000 Yearly

• 1 BED
• |
• 1 BATH
• |
• 819 SQFT

SH Living 1, JVC District 14, Jumeirah Village Circle (JVC), Dubai, UAE

AED 115,000 Yearly

• 1 BED
• |
• 2 BATHS
• |
• 829 SQFT

Botanica Tower, Dubai Marina, Dubai, UAE

AED 77,000 Yearly

• 1 BED
• |
• 2 BATHS
• |
• 859 SQFT

Belselah Residence, Al Barsha 1, Al Barsha, Dubai, UAE

AED 72,000 Yearly

• 1 BED
• |
• 2 BATHS
• |
• 917 SQFT

Al Naim Residence, JVC District 10, Jumeirah Village Circle (JVC), Dubai, UAE

AED 67,000 Yearly

• 1 BED
• |
• 2 BATHS
• |
• 863 SQFT

Al Naim Residence, JVC District 10, Jumeirah Village Circle (JVC), Dubai, UAE

AED 77,000 Yearly

• 1 BED
• |
• 2 BATHS
• |
• 838 SQFT

Belselah Residence, Al Barsha 1, Al Barsha, Dubai, UAE

MIRDIF IS THE MOST POPULAR FOR RENTING AFFORDABLE VILLAS IN DUBAI

POPULAR AREAS TO RENT VILLAS IN DUBAI –BAYUT & DUBIZZLE’S Q3 2021 DUBAI REAL ESTATE MARKET REPORT

During Q3 2021, Mirdif has continued its reign as the most popular area for affordable rental villas in Dubai. Based on Bayut & dubizzle’s analysis of rental prices in Dubai, properties in this family-friendly suburb have remained largely stable, with some slight fluctuations. While the rent for 3-bedroom villas has stayed constant at AED 84k, the prices for 4-bedroom villas for rent in Mirdif have decreased by 2.4% to average at AED 104k. Tenants interested in renting 5-bed homes in Mirdif can expect to pay an average of AED 111k per annum.

DAMAC Hills 2 (Akoya Oxygen), which consistently remains one of the best areas to rent reasonable villas in Dubai, has also drawn high levels of interest from tenants. There has been a general increase in rents for all bed types.  The prices for 3-bedroom villas for rent in Akoya Oxygen have increased from AED 50k to AED 57k in Q3 2021. The rents for 4-bed and 5-bed homes in the area have averaged at AED 80k and AED 90k respectively, following an increase of up to 11%.

Dubai rental trends for Q3 2021 have also shown that tenants interested in cheap villas have mainly focused their searches on affordable suburban communities such as Jumeirah Village Circle, Reem and Dubai South. JVC, in particular, has seen the 5-bed units become more expensive, mainly due to the influx of a new higher-priced rental inventory of properties released in District 16. As per our Dubai real estate market report 2021 for Q3, all other price fluctuations were under 7%.

JUMEIRAH STAYS THE TOP FAVOURITE FOR LUXURY VILLAS FOR RENT IN DUBAI

POPULAR COMMUNITIES TO RENT LUXURY HOUSES IN DUBAI – BAYUT & DUBIZZLE’S Q3 2021 DUBAI PROPERTY MARKET REPORT

As the Dubai real estate luxury segment continues to boom, landlords have also started increasing the asking rents. Bayut & dubizzle’s combined market report on rental prices in Dubai during Q3 2021 has revealed that Jumeirah remained the top choice for tenants looking for luxury villas. The villas for rent in Jumeirah have experienced increases of under 6% across the varying bed types. The asking rents for luxury homes in Jumeirah during Q3 have averaged at AED 178k for 4-bed, AED 224k for 5-bed and AED 323k for 6-bed units. 

Our Dubai rental property market report has also shown the luxury villas in Al Barsha remained popular in Q3. The villas in this well-established, family-friendly district have seen an increase of up to 12% across the different bed types. Tenants interested in renting villas in Al Barsha can expect to pay AED 169k for 4-bed homes, whereas the 5-bed and 6-bed units demand average prices of AED 260k and AED 392k, respectively.

Umm Suqeim, Arabian Ranches and Dubai Hills Estate have also garnered interest from tenants interested in upscale villas for rent in Dubai. The 4-bed villas in Umm Suqeim have seen a small rise in rental costs of under 6%, whilst the average yearly rent for 6-beds has decreased by 1% to AED 409k. Average rents for 4-beds and 6-beds in Arabian Ranches have decreased to 274k and 389k respectively, with 5-beds registering an average of 338k. Dubai Hills Estate has seen rises in rental prices for the various villa configurations of 14% and under.

Villas for Rent in Dubai

View all

AED 440,000 Yearly

• 4 BEDS
• |
• 5 BATHS
• |
• 6132 SQFT

Murooj Al Furjan, Al Furjan, Dubai, UAE

AED 280,000 Yearly

• 3 BEDS
• |
• 3 BATHS
• |
• 2561 SQFT

Murooj Al Furjan, Al Furjan, Dubai, UAE

AED 160,000 Yearly

• 2 BEDS
• |
• 3 BATHS
• |
• 1691 SQFT

Al Reem 2, Al Reem, Arabian Ranches, Dubai, UAE

AED 300,000 Yearly

• 3 BEDS
• |
• 3 BATHS
• |
• 3164 SQFT

Saheel 1, Saheel, Arabian Ranches, Dubai, UAE

AED 1,600,000 Yearly

• 5 BEDS
• |
• 6 BATHS
• |
• 7075 SQFT

Garden Homes Frond K, Garden Homes Palm Jumeirah, Palm Jumeirah, Dubai, UAE

AED 149,999 Yearly

• 3 BEDS
• |
• 4 BATHS
• |
• 1872 SQFT

Shams Townhouses, Town Square, Dubai, UAE

AED 275,000 Yearly

• 3 BEDS
• |
• 3 BATHS
• |
• 2455 SQFT

The Springs 15, The Springs, Dubai, UAE

AED 153,000 Yearly

• 4 BEDS
• |
• 5 BATHS
• |
• 1446 SQFT

Seasons Community, JVC District 15, Jumeirah Village Circle (JVC), Dubai, UAE

AED 359,000 Yearly

• 4 BEDS
• |
• 5 BATHS
• |
• 3049 SQFT

Maple 1, Maple, Dubai Hills Estate, Dubai, UAE

AED 160,000 Yearly

• 4 BEDS
• |
• 4 BATHS
• |
• 2486 SQFT

Expo Golf Villas 2 (Parkside 2), Expo Golf Villas, Emaar South, Dubai South, Dubai, UAE

Commenting on the findings, Haider Ali Khan, the CEO of Bayut & dubizzle and the Head of EMPG MENA said: 

“The trends we have observed on Bayut & dubizzle definitely confirm the overall market sentiment that there is growth in the Dubai real estate market, fuelled by multiple factors including the launch of the much awaited Expo 2020. 

Other strategic reforms such as the introduction of remote work visas, expansion of the Golden Visa criteria for greater inclusivity and reduction in the amount required for an investor’s visa have also been pivotal in improving the country’s business infrastructure, attracting investors and buyers and subsequently increasing the appetite for real estate. We have seen a steady growth in traffic for Bayut & dubizzle too, generating over 22 million sessions in the last quarter alone. 

Now that the global attention has turned to Dubai with the EXPO 2020, we can expect this interest to sustain and even grow further in the upcoming months, with both local and global investors, buyers and tenants wanting to take advantage of the booming market and economy in the region.” 

That brings us to the end of our Dubai rental property market report for Q3 2021. You can refer to the Bayut & dubizzle Q3 Dubai property sales market report to see which areas fared well for buying luxury and affordable homes, the price trends observed and the projected ROIs they offer. 

Also coming your way are Bayut & dubizzle’s property market reports for Abu Dhabi, Ajman and Sharjah, so make sure you stay tuned to MyBayut.

Disclaimer: The above Dubai rental property market report is based on Dubai property prices advertised by real estate agencies on behalf of their clients on Bayut.com & dubizzle property (excluding room share), and not representative of actual real estate transactions conducted in Dubai.