Dubai apartment rents plummet by 30%

Apartment rents in some of Dubai's most popular areas have fallen by about 30% in the last 12 months but villa rents are largely stable, it has been revealed.

The latest figures from the emirate’s Real Estate Regulatory Agency show that apartment rents in Dubai Marina , Palm Jumeirah , Discovery Gardens, and Jumeirah Beach Residences have all seen significant falls.

Prices for a one bed apartment in Discovery Gardens, which houses about 41,000, currently stand at AED40,000 to AED50,000 in the latest index, compared to AED55,000 to AED65,000 a year earlier.

The Rental Index is designed to give landlords and tenants in the emirate a guideline to pricing rents when negotiating contracts. The index is presented in the form of an online rent calculator on RERA's website.

Dubai Marina, which is consistently voted the most popular for would be buyers and tenants, also saw a big fall in rents. Rents for a studio in the Marina start at AED35,000, down AED10,000 compared to the March 2010 index, while minimum rents for a one bed have fallen more than 30% to AED45,000.

Source: NuWire Investor