Current data shows a year-on-year rental price growth rate of nearly 23% in the first half of 2023. The increasing demand for housing in Dubai, driven by the influx of professionals and investors as well as the continuous growth in population, has led to the upward trajectory of rental prices.

Authoritative experts from Dubai's real estate management department have confirmed this trend, predicting a 20% growth in short-term leases (less than 6 months) and a 15% growth in long-term leases (6 months or more). This suggests organic growth in the real estate market, an increase in property values, a rise in the utilization of high-rise buildings, and a surge in real estate transaction volumes.

The increase in rental costs is closely tied to the rise in apartment prices. For instance, from mid-2022 to mid-2023, apartment prices increased by 15%. Additionally, transaction volumes are on the rise. In 2022, the turnover of Dubai properties exceeded 30,000, and it is expected to reach 50,000 by 2023. Investors are purchasing apartments and renting them out for passive income.

Whether for short-term or long-term residency, rental demand remains consistently high. Ilnara Muzafyarova, Head of Colife, stated that most clients obtaining apartments through Colife plan to use them as a residence for six months or longer, even up to a whole year.

For example, Colife recently rented a one-bedroom apartment in Dubai Marina, currently generating $2,970 in monthly income for the landlord. The rental value of the property has increased by 21.2% compared to a year ago. According to Colife's predictions for 2024, the landlord's monthly income is expected to further increase to around $3,415.

Dubai's appeal to an increasing number of professionals from around the world inevitably impacts the rise in rental prices. These professionals are attracted by job opportunities, competitive salaries, a high quality of life, and a warm climate.

According to data from the Dubai Statistics Center, as of July 2023, Dubai's population has increased from 3,515,264 in July 2022 to 3,604,030. According to Dubai's overall development plan until 2040, the population in Dubai is expected to grow to 5.8 million.

With the influx of new professionals and the continuous growth in Dubai's population, residential demand has increased, further driving up rental prices. Given all these factors, there are currently no signs indicating a slowdown in the trend of rising rents in 2024.