Report: Average rent in Dubai rises by 18% in first quarter

Property Finder has announced the results of MarketWatch's latest report, which tracks the most prominent trends in the real estate market.

The first quarter of this year recorded a record quarterly performance over the past decade, with the number of recorded sales increasing by 52% year-on-year to 30,952 compared to 20,352 for the same period in 2022.

Dubai's real estate market achieved its highest quarterly performance ever, thanks to the exceptional performance of off-plan property sales transactions, with off-plan property sales in Dubai hitting a new record of 15,948 in the first quarter of this year compared to 8,467 in the first quarter of 2022.

In addition, apartment rents in Dubai increased significantly during the first quarter of 2023 compared to the same period last year. On average, rental prices increased by 18%, although the return on investment was high in different apartment types at the same time.

Dubai Hills Estate, DAMAC Hills 2, Al Barsha, Jumeirah and DAMAC Hills were among the top choices for tenants, with DAMAC Hills being one of the most profitable areas, due to increased rental yields. Similarly, average rental prices for villas in Dubai increased by 29% during the first quarter compared to the same period in 2022.

At the price level, the average price required for apartments during the first quarter of this year increased by 25% compared to the first quarter of 2022.

Villa prices recorded a remarkable increase of 16% compared to the same period last year.

As for the rental sector, Dubai Marina, Downtown Dubai, Jumeirah Village Circle (JVC), Business Bay and Jumeirah Lake Towers (JLT) maintained their position as the preferred choice for renting apartments during the first quarter of 2023.