The areas located close to the event site will witness substantial rental prices and demand growth.
The Dubai rental market saw an upward trend in Q3, 2021. Rentals increased by almost 14 percent in affordable housing and up to 30 percent in luxury housing in certain areas. This trend is expected to continue throughout the fourth quarter with the opening of Expo 2020 in the emirate.
411,768 people visited the world fair in the first ten days after its opening and up to 25 million visitors from different countries are expected throughout its six-month run. Judging by these figures, there's no doubt that the areas located close to the event site will remain busy during this time. So rental prices and demand in these areas will definitely see growth.
According to different Dubai property market quarterly reports, Q3 saw an increased activity in the following areas: Jumeirah Village Circle (JVC), Al Nahda, Bur Dubai, Dubai Silicon Oasis and Deira for affordable apartments for rent, Dubai Marina, Downtown Dubai, Jumeirah Beach Residence (JBR), Palm Jumeirah and City Walk for luxury apartments for rent.
Tenants preferred Mirdif, DAMAC Hills 2, JVC, Reem and Dubai South to rent affordable villas, while Jumeirah, Al Barsha, Umm Suqeim, Arabian Ranches and Dubai Hills Estate topped the charts for luxury villas for rent. And these areas are most likely to remain at the forefront in Q4, 2021 as well, experts predict.
Apart from the ongoing Expo 2020, the shift of demand towards large homes, return of foreign investors to Dubai and expatriate-friendly policies are the major reasons attributed to a surge in demand and property prices. The recently introduced golden visa program and 100% business ownership policy have also led to increased entrepreneurial and investment activities in Dubai. The change due to these initiatives reflecting in the rental property market, as both demand and prices have been growing substantially this year so far.
Real estate experts believe that apart from the rental market, property sales will also witness a surge in Q4, because the third quarter demonstrated promising results. 15,926 deals worth USD 11.5 billion were recorded in during this period, making it the best ever third quarter in terms of transaction value in the history of Dubai's property market.