The rental market in Dubai is very dynamic and diversified, with many types of housing available.
However, it is advisable to know the prices charged for an installation in the best conditions. Rent a studio in the city costs around AED 5,000, while the rent for a two-bedroom apartment climbs to AED 8,000.
Find out in this article the average rent in Dubai as well as the steps to take an apartment or house for rent.
What is the Average Rent in Dubai for Accommodation?
Dubai has the advantage of being a city with a wide range of accommodation available for rent. You can find an apartment or house that suits your needs without difficulty.
However, houses or apartments for rent in Dubai are high and constitute the most significant part of monthly household expenses.
Price variations depend on the type of accommodation you are looking for and the area in which it is located.
Average Rents by Type of Accommodation
The rent price varies greatly depending on the property type. Find out the average monthly houses and apartments for rent in Dubai:
|Type of Accommodation||Average Monthly Rent|
|One-bedroom apartment in downtown||5,000 AED|
|One-bedroom apartment outside the city center||3,500 AED|
|Two-bedroom apartment in downtown||7,500 AED|
|Two-bedroom apartment outside the city center||6,000 AED|
|Three-bedroom apartment in downtown||10,000 AED|
|Three-bedroom apartment outside the city center||7,000 AED|
|House with three bedrooms||15,000 AED|
|House with four bedrooms||23,000 AED|
Rents in Dubai: Average Prices by Neighborhood
Rent prices vary between different neighborhoods in Dubai. Here is a table to give you an idea of the rents charged in the main areas of the city:
|Neighborhood||Average Monthly Rent for Two-Bedroom Apartment|
|Business Bay||Between 6,000 to 12,500 AED|
|Palm Jumeirah||Between 8,000 to 18,000 AED|
|Dubai Marina||Between 6,000 to 15,000 AED|
|Dubai Sports City||Between 4,500 to 7,000 AED|
|Downtown||Between 8,000 to 18,000 AED|
|Jumeirah Beach Residence||Between 8,000 to 25,000 AED|
|Jumeirah Lake Towers||Between 5,000 to 12,000 AED|
|Jumeirah Village Circle||Between 3,750 to 7,000 AED|
|Dubai Silicon Oasis||Between 3,750 to 5,800 AED|
|Motor City||Between 5,000 to 10,000 AED|
|Mirdif||Between 4,800 to 6,500 AED|
What Are the Additional Costs of Rent in Dubai?
There are several additional costs to consider if you want to rent in Dubai:
|Type of fee||Amount|
|Real estate agency fees||Between 2% to 5% of the annual rent|
|Annual housing tax||5% of the annual rent (payable monthly via the water and electricity bill)|
|Security deposit||Between 5% to 10% of the annual rent|
|Water and electricity commissioning fees||150 AED|
|Registration of the lease||200 AED|
|Water, gas, and electricity||650 AED/month|
Renting a Property in Dubai: Step-by-Step Guide
As an American citizen wishing to rent a property in Dubai, you must present the following documents to the owner:
- A copy of your resident visa
- A copy of your passport
- A copy of your pay slips or a document stating your employer will pay your rent.
Reservation of Accommodation
When you find the ideal accommodation, you can offer the owner to reserve the property.
You must pay a security deposit equivalent to 5% of the annual rent in the case of an unfurnished rental. The security deposit usually equals 10% of the yearly rent if the property is furnished.
Be sure to get a receipt when you pay the deposit so you can claim it back when you leave. The owner can keep the paid deposit if you cancel the rental agreement.
Signing the Lease
After the deposit has been paid, the real estate agent will draft the lease agreement.
Take the time to review the contract and suggest changes if necessary. Your real estate agent should be able to assist you and answer any questions you may have.
Here are the main elements to check in the rental agreement:
- The length of the lease
- The start date of the lease
- The amount of the guarantee
- The amount of the rent
- The penalty to be paid in case of early termination of the contract.
If the owner and the tenant accept all the contract clauses, it is time to sign the contract.
The real estate agent must give you a copy of the signed contract as well as a copy of the owner’s passport and the title deed. You must hand over the cheque to pay the rent in exchange for these documents.
Registration of the Lease
The procedure for registering the lease is quick and easy. You need to go to the online platform EJARI to declare the lease and pay an amount of about 200 AED.
The Specifics of Rent in Dubai
Here are some things to consider before signing a rental agreement in Dubai:
- Rental contracts are usually for one year period
- Rent payments are usually made on a yearly or quarterly basis via post-dated checks at the time of signing the contract
- The penalty for early departure is equal to two months’ rent
- The owner pays condominium fees.
You now know the budget of houses and apartments for rent in Dubai and the elements to consider before signing a lease.
If you have sufficient savings, it may be wise to invest in Dubai by purchasing an apartment or a villa. The many construction projects under development make home ownership much more affordable than in the United States.