3 most profitable hotspots for rent in Dubai in 2024: data, maps and statistics

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Do you want to invest in real estate in Dubai and maximize rental income? You are in the right place.

Dubai Silicon Oasis leads the list with an impressive average yield of 9.29%, closely followed by Jumeirah Village Circle with 8.64% and Dubai Production City with 8.29%.

In this data-driven guide, we'll dive into what's driving strong rental demand in these areas, compare Dubai's returns to global averages, and arm you with useful insights to find undervalued properties with serious growth potential.

Whether you are an experienced investor or just starting out, this is your plan to the most lucrative rental locations in Dubai today. Let's get down to it.

What are the 3 areas with the highest rental income in Dubai in 2024?

● Dubai Silicon Oasis, Jumeirah Village Circle and Dubai Production City offer the highest rental yields in Dubai in 2024

● These areas provide average returns of 8-9%, exceeding the global average of 3-5%

● Strong rental demand is driven by affordable housing, proximity to job centers and well-developed infrastructure

Dubai Silicon Oasis (average yield 9.29%)

Dubai Silicon Oasis (DSO) tops the list with an impressive average rental income of 9.29% in 2024. Located on Emirates Road, this community has become a hub for technology and innovation. Affordable housing options in the area, along with its proximity to large business districts, make it an attractive choice for both tenants and investors.

According to the latest dataВ studio apartments at DSO have an average annual rent of AED 30,000, while one-bedroom units reach around AED 45,000. With selling prices averaging AED 323,000 for studios and AED 486,000 for one-bedroom apartments, investors can expect a healthy return on their investments.

Jumeirah Village Circle (average yield 8.64%)

Jumeirah Village Circle (JVC) secures second place with an average rental income of 8.64%. Located between Sheikh Mohammed bin Zayed Road and Al Khail Road, this vibrant community offers a mix of apartments, townhouses and villas. JVC's family-friendly environment, along with easy access to retail and recreational facilities, makes it a popular choice among renters.

The data reveals that studio apartments at JVC have an average annual rent of AED 28,000, while one-bedroom units come in at around AED 42,000. With average selling prices of AED 324,000 for studios and AED 486,000 for one-bedroom apartments, JVC presents an excellent opportunity for investors looking for high rental returns.

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Dubai Production City (average yield 8.29%)

Dubai Production City (DPC), formerly known as the International Media Production Zone (IMPZ), took third place with an average rental income of 8.29%. Located near Dubai Miracle Garden, this community offers a mix of residential and commercial properties. DPC's strategic location and affordable housing options make it a favorite among professionals working in nearby media and production companies.

According to data from Zoom Property, studio apartments in DPC have an average annual rent of AED 25,000, while one-bedroom units are around AED 38,000. With average selling prices of AED 302,000 for studios and AED 458,000 for one-bedroom apartments, DPC offers investors the potential for high rental returns.

Comparison of rental income in Dubai with global averages

Rental revenues in Dubai are among the highest in the world, with high-end areas offering average returns of 7-8%, compared to a global average of 3-5% in many other major cities. This makes Dubai an attractive market for real estate investments, especially for those looking for a high return on their investments.

According to Savills World Cities Prime Residential Index Dubai's top residential rental revenue in 2021 achieved 4.8%, surpassing cities such as London (2.9%), New York (2.5%) and Paris (2.8%). While these numbers focus on prime real estate, rental income in Dubai's top performing areas surpasses those impressive numbers as well.

Rental revenues in Dubai are among the highest in the world, with high-end areas offering average returns of 7-8%, compared to a global average of 3-5% in many other major cities.

Dubai Rental Income by Area: Data & Stats

● Get detailed information on rental income in major areas of Dubai

● View detailed breakdowns of average rents and property types

● Understand key rental demand factors in each submarket

The Dubai rental market offers attractive returns for investors, but performance varies significantly by area. Let's take a closer look at the numbers and trends shaping revenue in the city's top rental locations.

Dubai Silicon Oasis

Dubai Silicon Oasis (DSO) tops the ranking with an average gross rental income of 9.29% in 2024. Studios in the area rent from around AED 20,000 per year, while 1-bedroom units start at AED 28,000.

Strong demand is driven by the community's proximity to logistics centers and affordable housing options for low- to middle-income workers. According to Bayut & dubizzle's 2023 market report, DSO was the most popular area for studio and 1-bed rentals, accounting for 11.7% of potential customers.

Dubai Technology Entrepreneur Campus (Dtec), the largest technology hub in the MENA region, is a key anchor. It covers more than 1,000 startups from 75 countries.

“DSO is a very stable community - over the years it has remained one of the most affordable areas to rent, fueling demand from budget-conscious tenants.” - Naval Vohra, CEO of Appello Real Estate (source: Khaleej Times).

Upcoming redevelopment plans, including a new 11 million-square-foot residential neighborhood, are set to raise the profile and need of the area even more in the coming years.

Jumeirah Village Circle

Jumeirah Village Circle (JVC) ranked second with an average rental income of 8.64%. Studios are rented from AED 25,000, while a 1-bed starts at around AED 35,000 per year.

The area is popular with expats working in adjacent business districts such as Dubai Media City, Dubai Marina and Jumeirah Lake Towers (JLT). The proximity of the Ibn Battuta Mall shopping center and access to two stations of the Dubai Metro add to its attractiveness.

More than 6,000 new housing units are being prepared at JVC over the next 3-5 years, which should help maintain a healthy balance of supply and demand and support long-term revenue stability.

Dubai Manufacturing City

The top three is closed by Dubai Production City (DPC), which recorded gross rental revenues of 8.29% on average in 2024. The main attraction is the affordable rent, with studios available from AED 18,000 and 1 bed from AED 25,000 per year.

DPC is a massive 2,300-acre mixed-use complex that includes 5 major districts. The community is home to the Dubai Industrial Park Free Zone, which hosts more than 4,600 companies from 79 countries.

Expanding industrial and commercial activity is a key driver of rental demand in the area, particularly from SMEs and start-ups looking for cost-effective premises. DPC benefits from easy connectivity to major highways such as Emirates Road and Sheikh Mohammed Bin Zayed Road.

According to CBRE 2023 United Arab Emirates Real Estate Market Review :

“Dubai Production City has emerged as a leading industrial and logistics centre, offering a unique combination of high-quality infrastructure, competitive costs and the benefits of a free zone. We expect it to continue to attract strong customer interest and deliver stable returns.”

So in summary, while overall average rental returns in Dubai are a healthy 6.56%, savvy investors can get significantly higher returns of 8-9% + by targeting niche communities such as Dubai Silicon Oasis, Jumeirah Village Circle and Dubai Production City, which benefit from the robust foundations of the micromarket.

How can you get an even better offer?

● Best rental income hotspots in Dubai offer 7-10% gross returns

● Key factors: location, age of the property, tenant demand, management

● Ingenious investors increase returns through equipment, short-term leases

Dubai's dynamic real estate market presents lucrative opportunities for investors looking for high rental returns. By analyzing market data and trends, we can determine the areas of the city with the highest returns and reveal strategies to maximize return on investment.

Finding undervalued properties with growth potential

Savvy investors often team up with the best real estate brokers to find the best rental returns in older properties located in the best locations. The price of these units may be lower than the market value due to cosmetic problems or motivated sellers.

“Look for apartments or villas that are 10-20 years old in established communities like Dubai Marina, Downtown Dubai or The Springs,” advises Veronika, a real estate agent with +12 years of experience. “With some strategic renovations, you can significantly increase rental income and overall return.”

Thoroughly analyze market comparability, inspection reports, and renovation costs when evaluating potential investments. Consider the time it takes to innovate when projecting payback.

Increase in rental income by equipment, short-term rentals

Fully or partially furnished rental units can increase attainable rents by 10-20% compared to unfurnished properties. This strategy is meeting strong demand from expats and professionals looking for move-in ready homes.

“In popular areas like Dubai Marina and Downtown, we've seen furnished apartments have 15% higher monthly rents than similar unfurnished units,” notes Veronika, a Dubai-based real estate broker.

If you want to make even higher returns, consider offering properties as a short-term or vacation rental. While this approach requires more management, it can generate significantly higher rents, especially during high season.

“Short-term rentals in Dubai can yield 30-50% more than long-term rentals, but it is important to comply with regulations and provide top-notch services,” explains Veronika, an expert in property management. “Many owners opt for professional property managers to handle the added complexity.”

Take advantage of real estate portals and offer sites

If you want to attract quality tenants and minimize periods of vacancy, present your rental properties on leading Dubai real estate portals such as Bayut, Property Finder and Dubizzle, or leave it in our hands and we will do it for you.

“Offers with professional photos, detailed descriptions and floor plans steadily outperform basic advertisements,” reveals Veronika, a real estate broker with +12 years of experience. “Responding to inquiries and flexible follow-up times are also key to securing tenants quickly.”

By leveraging these proven strategies and focusing on high-potential areas, investors can achieve exceptional rental returns in Dubai's thriving real estate market. With the right approach, gross returns are 7-10% within reach.

Investments in real estate in Dubai: Community Guide

● Discover the 3 best Dubai communities with high rental returns in 2024

● Get key data, maps and statistics to make informed investment decisions

● Learn about each area's unique features, amenities, and connectivity

Dubai Silicon Oasis

Dubai Silicon Oasis (DSO) is a popular choice for property investors looking for affordable housing options with strong rental returns. This detached community offers a range of studio to 2-bedroom apartments to suit different tenant preferences and budgets.

One of the key advantages of investing in a DSO is its extensive equipment. The community boasts more than 200 retail outlets, including supermarkets, clinics and parks, that provide tenants with easy access to everyday necessities. The nearby Dragon Mart, a massive Chinese-themed shopping mall, and Al Warsan Souk add curb appeal to the area and offer a variety of shopping and entertainment options.

Connectivity and Accessibility

The strategic position of the DSO is another great attraction for investors. This community is located just a short drive from Dubai International Airport and offers excellent connectivity for tenants who frequently travel or work in the aviation industry . The journey to the airport takes approximately 7 minutes, making it an attractive option for airport employees and business travelers.

The community offers excellent connectivity for tenants who frequently travel or work in the aerospace industry

Jumeirah Village Circle

Jumeirah Village Circle (JVC) has emerged as a prime contender for property investors looking for affordable units with good rental returns. The community consists of more than 26,000 units spread across six thematic districts, each with its own unique character and appeal.

JVC's multicultural environment and family-friendly amenities make it an attractive option for tenants from a variety of backgrounds. The community offers landscaped gardens, swimming pools, and outdoor recreation areas that promote a healthy and active lifestyle.

Accessibility and attractions nearby

The investment in JVC offers the advantage of excellent connectivity to major roads and public transport. The community is easily accessible via Sheikh Zayed Road and is in close proximity to Emirates and Ibn Battuta metro stations. This makes it convenient for tenants to commute to other parts of the city.

In addition, the location of JVC near Ibn Battuta Mall is a significant attraction for tenants. The shopping center, which is within walking distance of the community, offers a wide range of shopping, dining and entertainment options, increasing the overall appeal of the area.

Dubai Manufacturing City

Dubai Production City (DPC) is a sprawling 2,300-hectare construction that offers a mix of industrial, commercial and residential areas. The community is home to more than 12,000 residences and more than 20 million square feet of office space, making it an attractive option for real estate investors focused on working professionals.

Equipment and connectivity

DPC offers a wide range of amenities to meet the needs of its residents. In the community you can find shopping centers, schools, hotels, the Dubai Miracle Garden and even a golf course, which provides tenants with a comfortable and comfortable life.

Investing in DPC also offers the advantage of excellent connectivity. The community is well connected by four major highways, providing easy access to other parts of the city. In addition, the area is served by a robust public bus network, making it convenient for tenants who rely on public transportation.

Income from renting in Dubai can be a lucrative investment opportunity, with many areas offering tax-free returns . However, average rental income varies by community, property type, and size. In general, landlords can expect to earn 5% to 10% of the property's value annually on rental income.

When considering the share of salary that should go to rent in Dubai, the general rule is to allocate no more than 30% of your income to housing expenses. This allows tenants to maintain a balanced budget while enjoying a comfortable lifestyle in the city.

Other top communities in Dubai for rent

● Best rental areas in Dubai offering luxury living and comfort

● Communities cater to different lifestyles and budgets

● Established and emerging areas show strong rental demand

The dynamic real estate market in Dubai offers a wide range of rental options in different communities. From the glitz and glamour of Dubai Marina to the family-friendly suburbs of Arabian Ranches, each area offers a unique lifestyle and amenities. Let's explore some of the most performing rental communities in Dubai.

Other significant areas with strong rental demand

Dubai Marina, Business Bay, Mirdif, and Dubai Sports City are among other popular rental destinations in Dubai, each with its own distinct characteristics.

Dubai Marina - apartments with superior equipment

Dubai Marina is a vibrant waterfront community known for its luxurious high-rise suites and stunning views of the harbor. The area boasts a wide range of amenities, including:

● Luxury dining and shopping options

● Beaches and promenades for leisure activities

● Easy access to public transportation including Dubai Metro and Dubai Tram

According to our market experience, the average annual rent for a 1-bedroom apartment in Dubai Marina is AED 85,000, while a 2-bedroom apartment is on average AED 120,000.

Business Bay - Central Business District with high-rise apartments

Located along Dubai Creek, Business Bay is a central business district that offers a mix of residential and commercial properties. The area is popular among professionals due to its:

● Proximity to major shopping malls of Dubai

● High-rise apartments with modern equipment

● Easy access to Sheikh Zayed Road and Al Khail Road

The average annual rent for a studio apartment in Business Bay is AED 65,000, while for a 1-bedroom apartment it is on average AED 90,000.

Mirdif - established suburb near DXB airport

Mirdif is a well-established suburban community located near Dubai International Airport. The area is popular with families due to its:

● Spacious apartments and villas

● Proximity to schools, parks and shopping centers

● Affordable rental rates compared to other communities in Dubai

The average annual rent for a 2-bedroom apartment in Mirdif is AED 80,000, while a 3-bedroom villa is on average AED 130,000.

Dubai Sports City - apartments and townhouses with world-class sports facilities

Dubai Sports City is a unique community that combines residential properties with world-class sports facilities. The area offers:

● Apartments and townhouses with modern equipment

● Access to golf courses, cricket stadiums and football academies

● Proximity to Sheikh Mohammed Bin Zayed Road and Al Khail Road

The average annual rent for a 1-bedroom apartment in Dubai Sports City is AED 60,000, while a 2-bedroom townhouse averages AED 100,000.

Emerging Communities to Watch

As Dubai continues to expand, several new communities are gaining popularity among tenants. These areas offer modern amenities, competitive rental prices and a unique lifestyle.

Town Square Dubai - modern apartments with co-working spaces, retail

Town Square Dubai is a relatively new community that offers a modern urban lifestyle. This area offers:

● Studios up to 3-bedroom apartments with modern design

● Integrated co-working spaces and retail outlets

● Landscaped parks and recreational facilities

The average annual rent for a studio apartment in Dubai's Town Square is AED 45,000, while a 1-bedroom apartment averages AED 65,000.

Damac Hills - golf community with villas, townhouses and luxury apartments

Damac Hills (formerly known as Akoya) is a luxury golf community that offers a mix of residential properties. The area boasts:

● Villas, townhouses and apartments with first-class finishes

● Trump International Golf Club with 18-hole championship course

● Pet-friendly spa and wellness center and community parks

The average annual rent for a 2-bedroom apartment in Damac Hills is 90,000 AED, while a 3-bedroom villa averages AED 180,000.

Dubai Hills Estate — premium construction near Al Khail Road

Dubai Hills Estate is a premium mixed-use complex located along Al Khail Street. The community offers:

● Apartments, townhouses and villas with luxury equipment

● 18-hole championship golf course and outdoor sports facilities

● Dubai Hills Mall with more than 650 retail and catering establishments

The average annual rent for a 1-bedroom apartment at Dubai Hills Estate is AED 80,000, while for a 4-bedroom villa it is on average AED 320,000.

How to find the best properties to rent in Dubai

● Conduct thorough market research to identify areas with the highest performance

● Evaluate site factors such as transportation, equipment, and future development

● Understand Dubai rental rules and associated costs

Market trends and data research

When looking for the best investment properties in Dubai, it is crucial to be informed about the latest trends in the rental market. Property prices and rental income can vary significantly in different areas, so it is essential to collect accurate and up-to-date data.

Consultations with experienced property management companies and real estate brokers can provide valuable local knowledge. These specialists have deep knowledge of the Dubai market and can offer advice on which communities are currently in great demand among tenants.

Online real estate portals are another useful resource for measuring supply and comparing required rents in different locations. By analyzing the number of offers available and the range of rental prices, investors can identify areas with strong rental return potential.

Assess the site and surrounding development

Location is a key factor in deciding on the success of renting a property. When evaluating potential investments, consider the proximity of public transport links such as the Dubai Metro and major roads such as Sheikh Zayed Road. Easy transport accessibility can make the property more attractive to tenants.

It is also important to assess the current and future drivers of demand in a given area. Look for neighborhoods with a strong representation of offices, shopping malls, schools, and medical facilities. This equipment can contribute to the suitability of the site and help ensure a steady stream of potential tenants.

In addition, keep an eye out for signs of ongoing or planned infrastructure upgrades and development projects in the surrounding area. Areas undergoing significant improvements or expansion may see increased rental demand and property value appreciation in the future.

Understand regulatory requirements

Before investing in renting property in Dubai, it is important that you familiarize yourself with the The Urban Regulatory Framework . Make sure that the property you are considering is registered and approved for rent by the Dubai Land Authority (DLD). Failure to comply with registration requirements may result in legal problems and financial penalties.

As a property owner, you also need to be aware of Dubai visa regulations. Depending on the value of your investment, you may be eligible for a long-term investor visa. Understanding the visa implications of your purchase can help you make an informed decision.

Finally, consider the various costs associated with owning and managing rental property in Dubai. They may include service fees, maintenance fees, and agency commissions. By accurately calculating these expenses, you can ensure that your rental income remains profitable.

Additional Resources

●Dubai Land Department (DLD)

● Why invest in Dubai?

● What are the plans for the future development of Dubai?

Are you ready to invest in the best rental hotspots in Dubai?

Dubai Silicon Oasis, Jumeirah Village Circle and Dubai Production City offer some of the highest rental income in the world, averaging between 8 and 9%. These communities are in great demand due to their affordability, proximity to work centers and well-developed infrastructure.

Are you ready to take the first step towards owning a highly profitable rental property in Dubai? Contact us today to arrange a non-binding consultation with one of our expert investment advisors.