Buckle up, Dubai dwellers- because if you thought your rent couldn’t get any higher, think again. The city’s latest rental index update has sent prices skyrocketing, with increases that could make even the most seasoned expats gasp. But hey, who needs affordable living when you’ve got skyline views and luxury malls, right? While some tenants are scrambling to renew their contracts before the rates climb any further, others are wondering if it’s time to trade their swanky apartments for something a little more wallet-friendly.
Welcome to Dubai, where the rent is as high as the Burj Khalifa, and it’s showing no signs of coming down. Rents in Dubai have surged by up to 15% following the Real Estate Regulatory Authority (Rera) Rental Index update earlier this year, causing a significant impact on tenants across the city. The update, which took place in March, has led to widespread increases in rental rates, with most districts experiencing hikes between 8% and 15%.
This rise has prompted a higher number of tenants to renew their existing contracts rather than seeking new leases, as new rental agreements continue to be pricier than renewals. A post shared by Khaleej Times (@khaleejtimes) According to Prathyusha Gurrapu, head of research and consulting at Cushman & Wakefield Core, rents in Dubai have climbed by 64% since the pre-COVID-19 period, with a 19% year-on-year increase in Q2 2024 alone. The rental market has now seen 14 consecutive quarters of growth, pushing man.