Rents in Dubai are forecasted to increase by 5-10% in 2025, reflecting steady demand from new residents and an influx of affluent expatriates, according to industry experts cited by Khaleej Times.
While rental growth will moderate compared to previous years, luxury areas like Dubai Marina, Palm Jumeirah, and Downtown Dubai are anticipated to see higher increases, driven by limited supply and high demand. Affordable neighborhoods such as Jumeirah Village Circle and Al Furjan may experience minimal growth due to new property handovers, while suburban communities like Dubai Hills Estate are likely to remain popular among families seeking lifestyle-oriented housing.
The city’s population, which has grown by over 159,000 residents year-to-date, continues to fuel the rental market, along with strong investor interest and Dubai’s global appeal. Notably, villa rents are expected to stabilize, while apartment rents may climb by up to 10% in 2025.
Industry professionals highlight that areas benefiting from large-scale infrastructure projects, such as Dubai South, could witness notable growth. Meanwhile, high-end localities will remain sought-after, with rental increases potentially reaching up to 15-18% for luxury properties.
Experts attribute the rising rental values to ongoing demand outpacing supply, despite an expected wave of new property handovers in the coming year.
