Residence Trends – Quarter Four 2018

April 16, 2019

Dubai – Rent Trends

2018 Highlight

Due to increasing supply in the city, the rental rates follow a steady but downward pattern for assets through 2018

Certain areas exceeded expectations, whereas certain didn’t. The average rental rates have declined 10% for apartments and 10% for villas. Incentives were still not taken off as rent-free periods and multiple cheque payments were still being granted.

2019 Outlook

Improving the regulatory terms will cause transparency and lead to the development of the Real Estate market.

Counteracting this improvement is the increased supply which will lead to the steady decline of the rental rates which is expected to continue throughout the year.

Click here to see the rent trend in Dubai

Abu Dhabi – Rent Trends

2018 Highlight

The trends for Abu Dhabi showed a downward pattern as observed in 2016 and 2017.

Due to bleak market conditions and growing supply there was an average villa and apartment rental decline of 9% and 10% respectively.

2019 Outlook

Growing supply numbers are estimated to put more pressure on rental rates. Some people are expected to make use of this opportunity to upgrade due to the lower costs, but on the other hand some are expected to downsize their living options to make more value for money.

Click here to see the rent trend in Abu Dhabi

Information credits: Asteco

Disclaimer: The stories are a work of fiction based on facts. Identies and details may have been altered to suit the narrative.

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