Recent reports have shed light on the specifics of the rise in housing rental prices in the United Arab Emirates, as well as the rise in the prices of selling residential units, This comes as the prices of renting and selling housing in the United Arab Emirates as a whole, and in the emirates of Dubai and Abu Dhabi in particular, have continued to rise in recent times.
High prices for renting and selling housing in Dubai and Abu Dhabi
The real estate industry in the UAE is strong, as evidenced by the fact that prices for renting and selling real estate units in Abu Dhabi and Dubai continued to climb during the first quarter of this year, according to the report on the real estate market in the United Arab Emirates (UAE) that was provided by Asteco for the first quarter of 2023, the company believes that confidence in the sector is mostly attributable to the influence of new government programmes and broader economic growth, both of which create a favourable outlook for the market, according to the research, the real estate sector in Abu Dhabi saw the delivery of roughly 1,600 housing units in the first three months of 2023, The majority of these deliveries were concentrated in foreign investment locations such as Al Raha Beach, Saadiyat Island, and Al Reem Island.
Reasons for the increase in rental and sale prices of residential units in the UAE
The Asteco analysis focused on the widening disparity between the expectations of landlords and tenants in the market for renting out units in the Emirate of Dubai, When it comes to the renewal of contracts, significantly.
Increase in villa rental prices in the UAE
In the first three months of 2023, average villa rental prices continued their significant upward trend, particularly in high-quality projects, where they saw quarterly increases of 4% and 7%, respectively.
Increase in apartment rental prices in the UAE
The annual growth in rents for villas saw a strong increase of 25%, while the average rental rates for apartments and offices climbed by 19% during the same time period.
Increase in office rent prices in the UAE
There has been an average gain of 6% in office rentals over the course of the preceding three months; however, the actual net rents may be impacted by extra stimulus.
