With oil money, royalty and international conglomerates in the mix, it's no surprise that Dubai is a location of luxury. With it comes more competition and somewhat higher prices when trying to land an apartment. Fortunately, more online tools are consolidating things, but you still need to do your due diligence.
Why Dubai is Growing
The economic growth of Dubai has been absurdly fast, often rubbing shoulders major economic hubs in China or Turkey. The petroleum industry keeps things afloat, but the economy has been diversified into other industries, including tourism and finance.
In the 1980s, the government of this relatively newly formed country had invested oil money into infrastructure to get international attention. The city has filled up with hotels, skyscrapers, boutiques, and is home to many international sporting events.
With zero income tax and low import taxes, it is a bit of a tax haven that invites those with money to invest in the local economy. Immigrants from all over the world have made it home to their business operations, particularly those from South Africa, India, Europe and the rest of the Arab world.
What Can I Expect to Rent in Dubai?
If you check an online classifieds site like Bayut, you will find everything from apartments (and overwhelming so), houses to villas. You will find pretty much whatever you want, although something right in the heart of the city could be stifling if on a budget.
A modest studio apartment:
A townhouse in Dubai:
A villa in Dubai:
Tips For Apartment Hunting in Dubai:
- Use online tools like Bayut to get a feel for the going rate of apartments and to see up-to-date listings.
- Evaluate your needs -- The smart way to start is to look for places near your place of work, public transportation and perhaps medical facilities. If you don't have a car, a long walk in the desert heat to find a bus stop isn't very pleasant.
- Make a list of apartments you are listed in and arrange to take a look at the properties in-person. Don't fall in love with one place before seeing other options.
- Negotiate the price with the agent, or preferably, the owner. You may get a more flexible price if you agree to pay certain months in advance or sign a longer lease. Just make sure you have the means to get into such a deal.
- Reserving a place -- It isn't unusual for an owner to require a security deposit until a deal made final.
- The Tenancy Contract should be concise enough and contain any special conditions agreed upon.
Comparing Dubai to other Hot International Cities:
Singapore
When talking about international financial hubs like Dubai, I don't think there's a better comparison than Singapore.
You will find that Dubai has several tines less population density than Singapore, which can impact your quality of life. With that in mind, renting can be more expensive in Singapore, assuming you want something in a key location.
New York City
New York Has a bit of everything and is considerably more liberal than Dubai. Entertainment, ethnic foods, and job opportunities are abundant and diverse. It is a massive city in comparison, both in area and population.
Being the heart of the world’s finances, it’s no surprise that renting in a good area of NYC can even be more expensive than Dubai. Food, on the other hand, is quite cheap with plenty of variety. Electronics and vehicles also usually have lower price tags.
Italy
Without getting specific with the city, Italy is a popular destination to move for pleasure rather than for business. You will find that people are seldom in a rush and that the business environment to be heavily taxed and dysfunctional.
Aside from that, renting a villa in Italy may be your retirement plan for the future, but it will still be relatively expensive compared to Dubai without the tax benefits or high-paid job opportunities.
Final Thoughts
If you have employment lined up or the means to sustain yourself while setting up a business, Dubai is quite accessible to find a place to rent. Whether it’s worth buying a property is up for debate, but there is potential in this growing business hub. Make sure to live here, learn and follow the local laws to get before thinking about any large investment within the country.