The cost of renting in the UAE is rising by
"unsustainable" amounts pushing occupiers to maneuver out to more
economical places, property brokers say. Average annual rates for apartment for
rent in Dubai increased by 5 percent on the three months to the ending of
March, while villa rents rose 3%.
It said that at International Town in the borders of Dubai
there were a number of the biggest rent increases, with average rents upward by
11 percent through the first quarter of 2014 to Dh50,000 for an one-bedroom flat-
equating to an 80% increase over the entire year.
International Town was
created in 2004 as a scheme for moderate and low -revenue citizens. But as
dwellings in other locations became more cost-effective through the
international financial disaster, central-income tenants transferred away and
rents dropped by about 80 percent in 2009 and 2010.
In Abu Dhabi, property brokers state that rent increases
through the start of the year happen to be also steeper and are driving renters
to proceed to more affordable "off-isle" locations. According to CBRE
housing rents across Abu Dhabi increased by 10% through the Q1 as landlords
gained from a selection by the Abu Dhabi Authorities to get rid of a limit on
existing rents at the end of a year ago.
Rents in "off-island" locations increased by the
maximum sums, with typical raises a staggering 14%. "With affordability
rapidly turning into an issue for many occupants, there has been a constant
increase in demand for apartments for rent in Dubai with off-island locations
like Khalifa City and Mohammed bin Zayed City becoming well-liked alternatives
for the more budget focused tenants," mentioned Matthew Green, the top of
research at CBRE's Dubai office.
No comments:
Post a Comment