Expect more affordable properties in the UAE market News
In recent news regarding the Dubai real estate market, developers are now beginning to shift their focus on the middle class market. This means that there will be more affordable properties or apartments for rent in Dubai for the next few years. The shift of focus by the developers is aimed to double their share in total real estate projects by 2022 according to experts.
UAE is the second biggest market for affordable housing in the GCC region based on the latest data. 98,000 units are required by 2022 to cater the needs of the middle-class group who are classified as those who are earning between AED 15,000 to AED 30,000 monthly. However, this imposes a gap in the market for those who are earning AED 10,000 or even less monthly. This is a huge opportunity for developers to address the need for affordable housing. This is great news for those who are looking for affordable apartments for rent in Dubai.
About 63,000 units are likely to be delivered in Dubai this year ahead of Expo 2020. 12,000 of those units will belong to the segment of affordable housing according to industry experts. It is expected that this affordable housing class will gain momentum for the upcoming three years since developers are focused to cater the huge demand in the middle-class. With more affordable villas and apartments for rent in Dubai, there would be a healthy balance between tenants and landlords.
By far, the most affordable area in Dubai is International City, followed by Dubai Land and Dubai Investment Park. These areas are highly recommended if you’re searching for very affordable apartments for rent in Dubai. Surprisingly, Arabian Ranches has reduced their prices by up to 30 percent last 2018 which make it an ideal place for families. If you looked for affordable Villas for rent in Dubai last year, Jumeirah Village Circle was considered the most affordable followed by Green Community and Town Square.
As the real estate market in Dubai continues to mature, it will learn to adjust to the real demand in the market so it would grow. It is a given fact that the majority of the real estate consumers belong to the middle-class. If the demands are catered to their needs, the real estate market will develop rapidly. Add to the fact that the Expo 2020 is about to commence in a few months’ time, we can expect new residents going to Dubai to take up new jobs. This will greatly contribute to the growing demand for more affordable housing.
As more affordable apartments for rent in Dubai are being expected, we can expect a healthier real estate market for Dubai as well as the whole UAE.