According to the most recent research by Bayut, apartments in Dubai Investments Park, Discovery Gardens, and Liwan provide the greatest rental returns, up to 11%, to buyers of reasonably priced real estate.
Offering up to 10% return on investment (RoI) based on anticipated rental yields for apartments; Dubai Sports City, Dubai Silicon Oasis, and Motor City have become very desirable options.
According to Bayut’s first-quarter analyst, rental returns of more than 8% were achieved by Green Community, Al Sufouh, and Damac Hills, outpacing benchmarks set by most international markets.
The rental yields in all these areas of Dubai are significantly higher than those in major cities like Mumbai, Hong Kong, London, New York, and others, where rental returns typically range from 4% to 7%.
More significantly, compared to the majority of cities worldwide, the prices of prime real estate are also substantially lower.
According to Haider Ali Khan, CEO of Bayut and head of Dubizzle Group Mena, despite ongoing global uncertainties, the real estate market in Dubai is still promising. Growth strategies, investment opportunities, and current market trends give stakeholders confidence as they navigate the market’s dynamic landscape.
“The emergence of new master communities and innovative approaches to off-plan developments underscore Dubai’s resilience and appeal as a real estate hub. As we confront the challenges and opportunities ahead, fostering collaboration and strategic planning will be pivotal in maximising returns and creating sustainable growth in Dubai’s real estate sector,” Khan said, as reported by Zawya.
Regarding villas, Bayut stated that buy-to-let villas and townhouses in International City have an average return on investment (RoI) of more than 7%, making them a desirable choice for prospective investors. Likewise, Damac Hills 2 and The Valley provide investors with a return of at least 6%.
The estimated return on investment for mid-tier villas located in Jumeirah Village Triangle, JVC, and Mudon ranges from 6% to 8%. The Sustainable City stands out in the luxury villa market with a return on investment (ROI) of over 7%, because of its unique properties and limited supply. Al Barari and Tilal Al Ghaf exhibit strong returns on investment, surpassing 6%.