For tenants, leasing property in Dubai can be a rather arduous task. Due to the scarcity of apartments, leasing property in Dubai is becoming more difficult as new residents continue to flock to the city. The high demand of for leasing property in Dubai and the short supply of available units for lease means the inevitable: high rents.

The current property boom in Dubai has sent rental costs rise considerably since 2002. The high cost of living has put a lot of pressure on Dubai’s tenants. To alleviate some of that pressure, the Government of Dubai imposed a rental cap of 7% in 2007. The rental cap on leasing property in Dubai has been helpful to existing tenants. Those currently leasing property in Dubai can take landlords to court should their rent be increased by more than 7%. While this has been helpful in curbing unwarranted hikes, it has also given landlords the green light to increase rents by 7% at once, instead of a slow and gradual increase.

Considering the rapid increase in Dubai’s population, there is a shortage of residential apartments and villas for rent. This excess demand over supply for leasing property in Dubai has led to higher rental charges because property continues to be in short supply.

Despite the current shortage, the future of Dubai property remains extremely bright. Over the next three years, thousands of more units are expected to be ready for occupancy as new projects are completed. This is expected to help stabilise the marketplace for rents; a big relief for those who are currently leasing property in Dubai.

Search for leasing property in Dubai

Discover our full range of services

Contact Better Homes