Apartments and villas rental prices in Dubai continued to slide during the first quarter of this year as they fell by 8% compared to the same period of last year.
Apartment rental rates declined by 3% compared to last quarter and 8% compared to last year. Properties in high-end locations were the most affected, apartment rentals in Palm Jumeirah for instance decreases by 7% quarter-on-quarter and 14% year-on-year.
Mid-market units witnessed declines also; Business Bay apartments decreased by 12% annually, while Jumeirah Lake Towers apartments decreased by 4%.
In respect of villas, rentals declined by 3% quarter-on-quarter and 8% year-on-year.
Arabian Ranches registered a 14% annual decline in villa rental prices while Jumeirah registered a 15% drop.
The price drop is largely attributed to the huge additional supply to be delivered in Dubai during the coming period, in addition to the budget-conscious tenants who are taking advantage of the market’s new shifts.
