By Staff writer
New Bayut.com report says average annual studio apartment rent in Dubai falls to AED54,000
Average rents in Dubai fell by five percent in August compared to the previous month while rental values rose in neighbouring Abu Dhabi, according to a new report by real estate website Bayut.com.
In terms of yields, Dubai's apartment rental segment stayed relatively stable in August, averaging 5.6 percent across all bed categories, the report said.
It added that the average rent for studio apartments in Dubai fell to AED54,000 last month from AED57,000 in July.
Rents for 1-bed units performed better, rising by 1 percent to AED93,000 on average in August while 2-bed units fetched owners AED142,000 in August on average, down 2 percent on July.
Three-bed units commanded an average rent of AED197,000 on average after falling 4 percent compared to the previous month while rental values for the 4+ bed category stayed stable in August at AED304,000, the report said.
In Abu Dhabi, the apartment rental market posted stronger numbers than its neighbour, with the average rental value registering an increase of 3 percent over July at AED130,000.
Category-wise, rents for studio units remained stable in August at AED56,000 while 1-bed units recorded an average rent of AED91,000, down 1 percent.
The average rent for 2-bed apartments increased by 2 percent to AED 132,000 in August while the average rent for 3-bed apartments fell 1 percent to AED171,000.
The average rent for 4+ bed apartments fell 5 percent to AED235,000 compared to the previous month.
The report said: "With its new world charm, luxury lifestyle and expanding economy, Dubai remains head and shoulders above its peers for being a truly unique real estate market that is as advanced as some of the most sought-after investment destinations, and in most cases, much more rewarding.
"On the other hand, Abu Dhabi is warming up for a development spree in the coming years that is set to boost its status as a key regional and international realty hub further. The two combined continue to not only provide immense benefits to investors, but also to the UAE economy as it persists with its drive to prosper through diversity."