Dubai Rents 2025: What’s Up, What’s Down

July 16, 2025

After several years of steady rent hikes, Dubai’s rental market in 2025 is starting to shift — and this time, it’s in favor of tenants.

According to recent market data from Bayut and dubizzle, published via Gulf News, rental prices in Dubai have entered a phase of stability, with some areas even experiencing a drop in prices — especially in the luxury apartment and villa segments. This comes as over 72,000 new homes are expected to be delivered in 2025, increasing supply and giving renters more choice than ever.

At Treÿsta Real Estate, we’re seeing renters enjoy a new sense of flexibility — whether it’s finding better deals, upgrading spaces, or even exploring the possibility of homeownership.

Where Are Rents Falling?

Luxury and high-end communities are seeing the most relief:

Apartments in Downtown Dubai, Dubai Marina, and Meydan saw little to no growth, with some even dropping by up to 5%
4- and 5-bedroom villas in Dubai Hills Estate and other luxury zones recorded rental declines of 1–9%

This shift is driven by increased competition and an oversupply of premium units, giving tenants more negotiation power.

Where Are Rents Still Rising?

In contrast, affordable and mid-tier segments remain in demand, particularly for families and long-term tenants:

Affordable apartments in Arjan and Bur Dubai rose by around 7%, although Deira saw price drops up to 6.2%
Mid-tier villas in Damac Hills 2, Al Furjan, and Mirdif showed rental growth of up to 9% — driven by strong demand for community living at reasonable prices

Short-Term Rentals: Still Going Strong in 2025

Dubai’s short-term rental market continues to attract residents, tourists, and remote workers seeking flexibility and convenience. This segment has remained resilient and in-demand across budget, mid-tier, and luxury categories.

Top Areas for Monthly Rentals:

Luxury Apartments: Dubai Marina, Downtown, Meydan City — AED 7,100 to 16,300/month
Mid-Tier Apartments: JVC, Business Bay — From AED 4,600/month
Budget Apartments: International City, Deira — Starting at AED 3,000/month
Affordable Villas: Damac Hills 2 — AED 12,900 to 15,700/month
Luxury Villas: Palm Jumeirah, Dubai Hills Estate — Up to AED 171,000/month

Daily Rental Picks:

Luxury Apartments: JBR, Downtown, Dubai Marina — AED 516–762/day
Luxury Villas: Palm Jumeirah — AED 6,960/day (↑14.6%)
Mid-Tier Apartments: Business Bay, JVC — AED 384–472/day
Budget Options: Bur Dubai, DSO — From AED 206/day

From Renting to Owning: A Shift in Mindset

One of the biggest trends emerging in 2025 is the rent-to-own transition.

With more market stability and new government-backed initiatives — like the Dubai Land Department’s First-Time Home Buyer Program — renters earning between AED 15,000 to 20,000 per month are now seriously considering buying their first homes.

Owning is no longer just aspirational — it’s accessible.

📍 Most Searched Communities for Long-Term Leases (2025)

Apartments:

Affordable: Bur Dubai, Arjan
Mid-Tier: JVC, Business Bay
Luxury: Dubai Marina, Downtown Dubai

Villas:

Affordable: Damac Hills 2, Mirdif
Mid-Tier: Al Furjan, JVC
Luxury: Dubai Hills Estate, Palm Jumeirah

Treÿsta’s Take: More Inventory = More Power to Tenants

2025 is shaping up to be a more balanced year for Dubai’s rental market. While some areas continue to grow, the days of blanket rental increases seem to be fading — giving tenants more control, landlords more reason to compete, and investors better timing to enter or expand their portfolios.

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