Affordable neighborhoods in Dubai witnessed the highest rental price growth last year, driven by tenant demand for budget-friendly options amid a citywide rent surge. Areas like Bur Dubai, and Damac Hills 2 saw significant increases, supported by convenient public transport access and strong rental yields for property owners.

Mid-tier apartment rentals rose by 41%, with Jumeirah Village Circle (JVC) and Business Bay leading the category. Town Square and JVC were top choices for villas, with rents for 4-bedroom homes climbing by up to 45%. Meanwhile, affordable villa rents grew by as much as 44%. Luxury rentals also surged, with villa rents in Jumeirah increasing by up to 60%, particularly for 6-bedroom units. Dubai Marina and Downtown Dubai remained hotspots for luxury apartments, while Dubai Hills Estate led the villa market.

Regarding rental yields, affordable apartments in Dubai Investments Park, Discovery Gardens, and Liwan offered RoIs of 9–11%, while mid-tier communities like Living Legends and Al Furjan delivered over 8.7%. Luxury properties in Al Sufouh and The Sustainable City provided steady returns of up to 9%. As Dubai’s population is projected to exceed 4 million by 2025, demand for housing continues to grow. With rising rents across all segments, the city solidifies its position as a global hub for lifestyle and investment, creating lucrative opportunities in the real estate sector.