Rents in Dubai have risen by around 10.4 per cent due to increased demand by tenants shifting homes in search of better rentals.
According to real estate information company REIDIN.com, villa and apartment rents rose by 11.7 per cent and 8.6 per cent last year. Ahmad Kayhan, Chief Executive, REIDIN.com, said: "Key drivers for a rise in rents have been inflation and increased demand from people in constant search of affordable accommodation. With no fresh supply of properties, the rental prices are likely to go up even further."
According to data compiled by REIDIN.com, Dubai Sports City and Discovery Gardens were the only areas that did not see any rental movement in 2011. International City on the other hand recorded a 7.5 per cent increase in rents from Dh66.96 per square foot per annum (p.a.) in March last year to Dh72 per square foot.
One of the highest growth rates in New Dubai has come from Emirates Living comprising The Springs, The Meadows and The Lakes. The rents in these areas have gone up 10 per cent to Dh59.16 per square foot from Dh53.76 in March 2011. According to Harbor Real Estate, the spike is because New Dubai tenants keep scouting for better deals in new developments.
