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Source: Freepik
Published on 12/09/2024

Dubai Rents to Rise by 5-10% in 2025, Driven by Strong Demand

Luxury Areas and Suburbs Set for Significant Rental Increases in Dubai Next Year

Dubai's population has surged by 159,000 in 2024 driving demand for rental properties with rents expected to rise by 5-10% in 2025. High demand especially from professionals and high-net-worth individuals will continue to push rents upward, though at a slower pace compared to the past two years.

Luxury areas like Jumeirah Islands, Al Barari and prime locations such as Dubai Marina, Palm Jumeirah and Downtown Dubai will see the highest rent increases, driven by limited supply and strong demand. Suburban areas like Dubai Hills Estate and Arabian Ranches may also see notable growth due to families seeking more lifestyle-oriented communities.

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Meanwhile, more affordable areas like Jumeirah Village Circle (JVC) and Al Furjan will experience modest increases while outlying locations like Dubai South and International City may stabilize due to competitive pricing and expanding housing options.

Overall, apartment rents will see higher growth than villas with new supply moderating increases in some areas.