Rent Growth Slows, Supply Set to Change Dubai’s Rental Market
After several years of rapid rent appreciation across Dubai, recent trends suggest growth is beginning to moderate. Experts warn that impending record supply could shift market dynamics. Khaleej Times+1
Key developments:
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In 2024, rent increases were sharp, but by mid-2025, monthly gains are slowing. Khaleej Times+1
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Dubai is expecting delivery of over 70,000 new residential units in 2025, a big jump from previous years. Khaleej Times+1
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The oversupply in some apartment segments might provide relief for renters, with more choice and potentially more favorable lease terms. Khaleej Times
What to watch: Which districts will absorb this new supply fastest? How will developers price units in less premium locations versus high-end neighborhoods? Will landlords adjust their expectations on rent growth in face of more options?
Advice for renters and investors:
If you’re renting, holding off or negotiating now might get better deals. If you’re buying, especially apartments, opportunities may emerge in projects that are priced competitively or as developers try to move inventory.
