Rental prices in Dubai are projected to rise in 2024

In Dubai, rental costs for real estate may increase by 20% this year, according to experts' forecasts. The main reason for this is the desire of investors to obtain short-term and long-term returns.

During the first half of 2023, real estate rental prices in the emirate rose by almost 23%. In October last year, when the low season ended and the high season began, prices for short-term rentals rose by up to 30%.

In 2024, a 20% jump in short-term rentals (up to 6 months) is projected compared to 2023, and a 15% increase may be seen in long-term rentals (more than 6 months). The increase in rental prices is directly related to the increase in prices for residences in Dubai. For example, in the period from mid-2022 to mid-2023, apartment prices increased by 15%.

The number of sales transactions is also growing. In 2022, the owners of more than 30,000 properties in Dubai changed hands, whereas in 2023, the figures were approximately 50,000.

In 2024, the real estate market is projected to grow organically, which will be reflected in an increase in the cost of property, the number of high-rise buildings being handed over and an increase in property transactions. A rising number of specialists from all over the world continue to move to the emirate to work, which positively affects rising rental prices. Buying a property in Dubai to further rent out will be a profitable investment in 2024.