Apartments in Dubai Marina have become cheaper to rent following a three to 10 percent decline in the third quarter of 2016, according to property consultancy Land Sterling.
There was a 10 percent decline the one-bedroom apartment rental prices – the highest amongst the freehold communities among the 14 tracked by the consultancy – as average lease rates stood at AED90,000 per annum (pa). This is the first instance since first quarter of 2014 when rents have fallen below AED100,000 mark.
Two-bedroom units fell by seven percent, with rents averaging AED130,000 pa, while studios fell three percent to AED73,000 pa.
Rents slipped six percent for one-bed units in International City, with annual rents at AED47,000 - making it the cheapest freehold community.
Dubai Silicon Oasis and Jumeirah Lakes Towers each saw rents declining by five percent with average rentals at AED62,000 pa and AED80,000 pa, respectively.
Discovery Gardens fell by two percent, with yearly rates at AED65,000 pa. Rates in Downtown Dubai and Jumeirah Beach Residence, however, remained stable at AED110,000 pa.
The only exception to the decline pattern was Palm Jumeirah, the report said, referring to a four percent increase during the period. Average annual rents for one beds stood at AED140,000.
Overall, apartment rents declined by 1.4 percent quarter-on-quarter and 7.7 percent year-on-year, the consultancy said.
Earlier this month, property consultancy CBRE said Dubai residential market was showing early signs of improvement though the sales market was expected to recover ahead of the rental segment in 2017.For all the latest real estate news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.
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