Residential rents in Dubai are showing signs of weakening as more properties come on the market and demand eases with the slowing economic growth. However, in Abu Dhabi brokers say rents are still increasing.
Dubai rates could see a correction of up to 30% by the end of the first quarter next year for high-end properties in frontier developments, according to several agents.
Rents have already fallen in the high-end apartment and villa segment, with demand being hit by businesses tightening staff accommodation packages. However, demand for rented accommodation in the middle-income segment remains strong.