Dubai Rents Set to Rise 6% in 2026 as Population Booms and RERA Tightens Rules
December 29, 2025
Dubai’s real estate market is entering a mature phase with rents forecast to rise by an average of 6% in 2026. This steady increase comes after years of double-digit jumps, driven by a strong population rise. More professionals are coming under the Golden Visa and a growing "work-from-Dubai" culture is fueling demand. Key hotspots like Downtown Dubai, Dubai Marina, Palm Jumeirah, and Business Bay will see higher rent hikes due to intense demand. For those wanting to avoid big hikes, affordable areas such as International City, Al Warsan, Dubai South, Jumeirah Village Circle (JVC), and Dubai Silicon Oasis (DSO) offer modern homes at lower prices. RERA’s new 2026 Smart Rental Index uses AI and building quality data to stop unfair rent hikes. Landlords must give 90 days’ notice before raising rent, and legal caps limit increases based on how far current rents are from market averages. Rent stays fixed during tenancy terms. Many expats now find mortgages more affordable than rent. Developers are launching many mid-market off-plan projects with flexible payments in areas like Al Furjan and Damac Hills 2. This shift from renting to owning is expected to be a major trend in 2026.
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Tags:
Dubai Rents
2026 Rental Market
Real estate
Expat Housing
Rera Rules
Mortgage Vs Rent
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