Dubai’s booming property market is not only known for its luxurious residences and state-of-the-art amenities, but also its impressive ROI potential. Investors across the globe have taken advantage of the emirate’s strong returns and competitive prices. If you’re looking for a lucrative investment opportunity, a studio apartment in Dubai’s highest rental yield locations could be the right answer. Let’s take a closer look at the areas with the best studio rental yields in Dubai, according to our data analysts.
Areas with the best studio unit rental yields in Dubai
Most of Dubai’s high rental yield locations are located in the suburbs of the emirate. These suburbs are not only affordable for homebuyers; factors such as newer developments, excellent facilities and peaceful, family-oriented setting have made them extremely popular with tenants as well. If you make a smart investment in these localities, you may benefit from superior rental yields, which will benefit you financially in the long-term.
Al Quoz
According to our findings, Al Quoz comes out on top among the areas with high studio rental yields in Dubai — with an average ROI of 8.31%. Located between Al Barsha and Business Bay, this vast mixed-use area has easy access to Al Khail Road and Sheikh Zayed Road — a benefit for residents who need to commute regularly to other parts of the emirate. Furthermore, the neighbourhood is home to the famed Alserkal Avenue, a well-known design hub. Additionally, shopaholics will appreciate its proximity to the Mall of the Emirates in Al Barsha, as well as Times Square Centre, Oasis Mall and smaller community malls.
With an average price of AED 376k, the studio apartments for sale in Al Quoz are ideal for investors searching for low-budget units that come with high rental returns. Al Khail Heights is a notable community to buy studios in Al Quoz; those interested can take a look at Al Khail Heights floor plans first.
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International City
Aside from offering a rental return of 7.91% to owners, International City is also one of the cheapest communities to buy property in Dubai. Located right next to the popular shopping mall Dragon Mart, the community is highly popular with investors looking for competitively-priced units and healthy returns.
The studio apartments for sale in International City average at AED 217k. The area has a range of facilities such as restaurants, clinics, grocery stores and pharmacies; it’s also well-connected by the public bus network, making it ideal for tenants looking for affordable accommodation. A review of the floor plans at International City can help potential buyers make a more informed investment.
Dubai Silicon Oasis
Dubai Silicon Oasis ranks third in our list of high studio rental yield areas in Dubai. This mixed-use development is home to a free trade zone, to facilitate the various businesses and industries in its technology park. It also boasts quality housing options. The area is peaceful, well-maintained and features swathes of pristine green spaces.
The ROI of studio apartments for sale in Dubai Silicon Oasis is 7.50%, with an average price of AED 315k. A look at Dubai Silicon Oasis floorplans can give you a better idea of layouts available.
Discovery Gardens
Discovery Gardens is a green and serene locality situated just off the Sheikh Zayed Road. It’s in proximity to key areas like Dubai Marina, JLT, Jebel Ali and Palm Jumeirah. Therefore, it is ideal for residents who are seeking a quiet, lush retreat, but without compromising on the location and convenience. Built around lush green gardens, the apartments for sale in Discovery Gardens offer residents a refreshing landscape. Aside from the retail options available within the community itself, the sprawling Ibn Battuta Mall is right next door.
Investors are spoilt for choice when it comes to buying studios in Discovery Gardens. Studio units in Discovery Gardens cost an average of AED 307k, while the rental yield averages at 7.32%. You can explore Discovery Gardens floor plans for the different layouts available.
Motor City
From a large property portfolio to its strategic location off E311 and beautiful cobbled streets, there are various reasons why Motor City is among the areas with top studio rental yields in Dubai. The self-contained community is a haven for racing enthusiasts, as is apparent from popular venues like the Dubai Autodrome, a professional motorsports circuit. Another highlight is the availability of pet-friendly apartment complexes.
The studios for sale in Motor City average at AED 429k, yielding an average ROI of 7.24%. Those interested in the community can browse available floor plans in Motor City for popular buildings.
Remraam
Remraam is a beautiful, gated residential community in Dubailand with a range of facilities like retail centres, a gym, a swimming pool and leisure spaces. Additionally, its inclusion among the freehold areas in Dubai makes it a promising prospect for expat property buyers. Furthermore, it is close to local tourist attractions like the Dubai Miracle Garden.
Those keen on buying studios in Remraam can enjoy projected ROI of 7.1%, while asking sales prices average at AED 309k. Check out Remraam floor plans for a detailed view of studio layouts.
Jumeirah Lakes Towers (JLT)
Jumeirah Lake Towers is a haven for people looking for luxury at an affordable cost. Its ideal location, waterfront properties, accessibility, outdoor running and cycling tracks, pet-friendly community and proximity to other leisure hubs are some of the benefits of living here. It’s also located near Dubai Marina, which is the most happening neighbourhood in the emirate, besides Downtown Dubai.
The average cost of studio units in JLT is AED 428k, while the average rental yield is 7.06%. To get a better perspective of the units, check out the JLT floor plans. All in all, potential investors can rest assured that JLT is one of the areas with the best rental ROI on studios in Dubai.
Culture Village
This locality is also referred to as Dubai Culture Village and is another popular choice for studios for sale in Dubai, thanks to its high rental yields. As the name implies, the area focuses on the emirate’s culture — apparent from the literary societies, art centres and museums in the vicinity. The waterfront development is located near Al Jaddaf, with several apartment units available for rent and sale.
With the ROI standing at 6.79% and sales price averaging AED 647k, the time is ripe to buy studios in Culture Village. Have a look at the floor plans in Culture Village for a better idea of available layouts in the area.
Dubai Sports City
As its name suggests, the community of Dubai Sports City is based around sports and offers residents the chance to be more active. The neighbourhood has four massive stadiums and various sports academies besides quality retail, residential and F&B options. It is also home to the fabulous Ernie Els golf course and clubhouse.
A studio for sale in Dubai Sports City costs an average of AED 322k, generating a yearly rental yield of 6.78%. Get a better perspective of apartment layouts with Dubai Sports City floor plans.
Dubai Production City (IMPZ)
Formerly known as International Media Production Zone (IMPZ), Dubai Production City is a freehold area in Dubai that has high ROI potential. It is home to City Centre Me’aisem, a popular shopping centre that features a range of international retail brands and restaurants.
The average cost to buy studios in Dubai Production City is AED 281k. Its average ROI of 6.74% makes the area worth consideration for real estate investors. You can browse through the floor plans in Dubai Production City to get a clear picture of the studio flat layouts.
Frequently Asked Questions
Which areas in Dubai are best for property investments?
Judging by the performance of the Dubai real estate market in the first half of 2021, the consensus looks favourable for prospective buyers. According to the Bayut & dubizzle 2021 H1 property market report for apartment sales, areas like Jumeirah Village Circle, Jumeirah Lake Towers and Dubai Silicon Oasis currently reign for affordable apartments. Alternatively, you can check out Bayut & dubizzle’s property rent report for H1 2021 to see how rental prices fared in the emirate over the last few months.
Which areas are popular for affordable studios in Dubai?
Looking for cheap apartments in the emirate? Communities like International City, Jumeirah Village Circle and Dubai Sports City are some of the most popular areas for cheap studios for rent in Dubai.
Apart from high studio rental yield areas in Dubai, where can I invest in bigger apartments?
Those in search of bigger units can consider investing in the 1-bed apartments for sale in Dubai. Looking to invest in a more spacious property? You can focus your search in communities with the best ROI for villas in Dubai.
That concludes our reviews of the areas with the best studio rental yields in Dubai. We hope this information helps you make a well-researched decision about investing in Dubai real estate.
For more updates on the state of the UAE property market, stay tuned to MyBayut.
