Rising rents in Dubai are forcing locals and expats to look for more affordable housing options.
As a result, the suburbs are becoming increasingly popular. Some of the most sought-after areas in this segment today include Lehbab, Al Aweer and Al Marmoom, where there are many affordable housing options for rent.
Today, affordable housing in Dubai can still be found, especially in areas outside the city centre," say experts.
Rental prices in these areas range from AED 23,000 to AED 35,000 per year for apartments. Villas and townhouses cost between AED 39,000 and AED 73,000. Interestingly, the areas of Jumeirah Village Circle (JVC), Dubai Silicon Oasis, Arjan and Dubailand, which were previously considered quite out of the way, are now experiencing a high influx of tenants, which has driven up prices significantly.
Rents in Dubai have risen by 13% year-on-year, prompting people to look for more affordable areas outside the city centre. This is leading to increased demand for suburban housing," experts add.
It is worth noting that as a result of the challenging rental situation and in response to the increased demand for property, the Dubai authorities have launched a project to build 17,000 units of affordable housing for professionals.
The first phase of the project will be implemented in the areas of Al Mueisim 1, Al Twar 1, Al Qusais Industrial 5 and Al Leyan 1, where prices are expected to be lower. At the same time, the obvious disadvantages of such proposals cannot be denied. The main ones are
- Increased travel time - most of the budget areas are far from the business centre of Dubai.
- Less developed infrastructure - many new districts are still inferior in terms of convenience to the central locations.
It is worth noting that Jumeirah Village Circle (JVC) continues to be one of the most sought-after areas by tenants. In January-February, approximately 1.3 thousand transactions were completed here per month, with an average rental price of 70 thousand dirhams.