Dubai property leasing market update: rental listings rise as tenant demand shifts
Dubai’s property leasing market remains active, but it is becoming more selective. As rental listings increase and tenant behaviour continues to shift, outcomes are being shaped more clearly by pricing, presentation, and flexibility.
Based on betterhomes data and nearly four decades of experience across multiple market cycles, current activity suggests that while demand has not disappeared, tenants are becoming more measured in how they search, compare and commit.
Rupert Simmonds, Director of Leasing at betterhomes, shares what the latest leasing data is showing and what it means for tenants and landlords across Dubai.
Dubai’s leasing market is active, but more selective
According to new apartments and villa leasing insights from betterhomes, leasing lead volumes are currently around 30 to 40 per cent below the same period last year. At the same time, activity has improved since early March, with lead volumes rising by around 20 per cent week on week and briefly matching levels seen at the same time last year in mid-March.
This points to a market that is still moving, but with more caution on both sides. Tenants are taking more time, comparing options more closely, and becoming more selective about what they view and where they are willing to compromise.
Rental listings are rising faster than tenant enquiries
One of the clearest shifts in the market is the widening gap between supply and demand.
Comparing March 2025 with this month, betterhomes has recorded a 23 per cent increase in rental listings alongside a 16 per cent decline in tenant enquiries. That change is creating a more competitive environment for landlords and placing greater emphasis on getting the fundamentals right from the outset.
In practical terms, that means realistic pricing, strong presentation and flexibility now matter more than ever. Homes that are well-positioned are still attracting attention, but tenants are less likely to engage with properties that feel overpriced or poorly presented.
Where rental demand in Dubai is strongest right now
Search activity across the main property portals shows that rental demand is currently concentrated in a number of established communities.
The areas seeing the strongest search volumes at present are:
These locations continue to draw attention from tenants looking for a balance of accessibility, lifestyle and value, even as the wider market becomes more selective.
What this means for landlords
For landlords, the market is still active, but expectations need to be grounded in current conditions.
With more rental stock coming to market, pricing strategy is becoming increasingly important. The strongest results are likely to go to properties that are priced in line with current demand, presented well, and marketed with a clear understanding of what tenants are prioritising.
Flexibility is also playing a bigger role. In a market where tenants have more choice, overly rigid terms can slow enquiry levels and reduce the chances of securing the right tenant quickly.
What this means for tenants
For tenants, a more selective market can create more room to compare options and make better-informed decisions.
With stock levels rising in some areas, tenants may find greater choice and slightly more negotiating room than in tighter periods. At the same time, demand remains strongest in well-established communities, so well-priced homes in the right locations are still moving.
The key is to act with clarity. Tenants who understand their priorities, budget and preferred locations are in a stronger position to move when the right property appears.
What the data is showing
As Rupert explains in the video, many of the same questions are continuing to come through from both tenants and landlords, particularly around demand, pricing and how the market is evolving.
What matters most right now is focusing on what the data is actually showing. The leasing market has not stopped, but it is becoming more selective, and that is changing how successful outcomes are achieved.
Final thoughts
Dubai’s leasing market is not slowing in one simple direction. It is adjusting.
Demand is still present, but tenant behaviour is more considered. Supply is increasing, but that is making execution more important. For landlords, that means being realistic and well-prepared. For tenants, it means more choice, but also the need to move decisively when the right opportunity comes up.
With nearly 40 years in the market, betterhomes continues to track these shifts closely to help clients make sense of changing conditions and act with confidence.
Need guidance on renting, leasing or pricing your property? Speak to a betterhomes expert for advice based on current market conditions.
