Yallacompare data shows 30% are now paying less rent compared to Q1 2018, up from 26% in the previous quarter
The proportion of UAE residents paying less rent than a year ago rose to nearly a third in the first quarter of this year, according to new research.
Figures released by Yallacompare's Consumer Confidence Tracker for Q1, which surveyed more than 1,000 UAE residents, showed that 30 percent are now paying less compared to Q1 2018, up from 26 percent in the previous quarter.
The figures also showed that the proportion paying more than a year ago fell to 33.1 percent in Q1, down from 36.3 percent in the previous quarter, while nearly 37 percent are paying the same as a year ago.
“It’s not surprising that more and more people are paying lower rents than a year ago,” said Jonathan Rawling, CFO, Yallacompare. “The proportion paying more, however, is still high and residents clearly need to do more to secure lower rents.”
He added: “We repeat our previous advice – that moving home, with all the associated costs, does not necessarily lead to a significant drop in rent. Tenants are more likely to secure lower rates by negotiating with their existing landlord. This must be done three months before the lease expires, before the contract automatically renews on existing terms.”
Tracker data suggested that residents generally prefer to stay where they are. The number still in the same home they were living in a year ago stood at 63 percent in Q1, up from 61.3 percent in Q4 2018.
Asked if they plan to move in the next year, 70 percent of respondents said no.
Yallacompare is a comparison website where consumers can compare and buy insurance policies online, as well as apply for bank accounts, credit cards, loans, cars in nine markets across the MENA region.