If you’re looking to move homes in the UAE relatively soon, you should be able to take advantage of still-falling rental prices.
According to REIDIN, a real estate analysis house, rental prices in Dubai decreased by 0.43% in January, and fell by 0.4% in Abu Dhabi.
Year-on-year, REIDIN said that Dubai property rental rates are now 7.65% cheaper than they were 12 months ago. Villa prices slumped at a slightly faster rate, dropping by 8.85% year-on-year, while apartments are now 7.43% cheaper than they were last year.
It’s pretty much the same story in Abu Dhabi. Property rental prices in the capital are 8.04% cheaper than they were last year.
So, what can you do to take advantage of these new, lower rates? Well, the first thing you should know is that the rate of decline is slowing. It’s a safe bet that rental prices won’t go that much lower over the next few months. Indeed, in some areas, such as Jumeirah Village Circle, Discovery Gardens and Dubai Silicon Oasis, prices rose very slightly in January.
The second thing you should know is that, if you’re already locked into a rental contract, market prices won’t really have much of an effect. Last year, we conducted a survey and it found that the vast majority of Dubai renters hadn’t seen the benefits of lower rental rates. It turned out that it was only those starting new rental contracts who were able to save on their rent payments.
However, if you decide to move – even if it’s just down the road to a similar property – you should be able to take advantage of lower rental rates. If you’re in a position to move in the next few months, you’d be perfectly placed to grab a great deal on your rental contract.