Residents plan move on renewal: Report

19.04.2015
Sixty three per cent of all respondents plan to move to a new home upon their next lease renewal despite the fact that rent increases have slowed down.

The pace of rent increase in Dubai has slowed down in the last three months, but still a majority of residents are likely to move apartments when their lease comes up for renewal, according to a new report.

“The survey showed that Dubai residents are still very likely to move homes due to continued rent increases. Sixty three per cent of all respondents plan to move to a new home upon their next lease renewal,” MoveSouq.com, a Dubai-based comparison site for home services, said in a report based on an online survey of 200 residents.

It further adds that the proportion of people planning to move was significantly higher among those who faced a higher rate of rent increase in the last year.

“Eighty one per cent of respondents who faced more than a 15 per cent rent increase plan to move to a new home,” the report said.

Another highlight of the survey was that the pace of increase in rents had come down with those renewing their lease less than three months ago facing “smaller” rate of increase than those who renewed their lease 6-12 months ago.

“This quarter's results tally with the overall perception in the market that real estate prices are stabilising. The data shows that Dubai tenants are still facing rent increases with each renewal, however, we see now that the rate of increase in rental costs has slowed down compared to end of last year. It would be interesting to see how the market will behave in the next quarter, but we expect this trend to continue,” said company CEO Bana Shomali.

Subscribe to our news

Latest Availability
Latest property news
Send us an enquiry or request a call back
Your name *
Phone
E-mail *
Your message *
*- indicates required
Request a call back
Lease process (Rent out)

1 hour

Contract of the lessee and agency.

Required documents:

  • copy of the passport
  • copy of the certificate of ownership

1 day

Ad placement:

  • 20 real estate portals;
  • client base of the agency;
  • profile exhibitions, etc.

Up to 2 days

Signing of the lease agreement

Expenses of the seller:

None

Additional services:

Property management

Lease process (Rent)

1 hour

Contract of the lessee and agency.

Up to 5 days

Real estate search.

Selection of optimal options.

Up to 2 days

Signing of the lease agreement

Expenses of the lessee:

-5% agency commission of the annual contract price

Additional services:

None

Purchase process

1 hour

Contract of the tenant and agency.

~ 2 weeks secondary

~ 3 weeks new building

Property Selection

Selection of optimal options

1 Week

Registration of the contract of purchase / sale

Customer charges:

  • 2% from purchase at transaction
  • 4% - registration of the transaction at registration

Additional services:

Property management

Sales Process

1 hour

Contract of the lessee and agency.

Required documents:

  • copy of the passport
  • copy of the certificate of ownership

1 day

Ad placement:

  • 20 real estate portals;
  • client base of the agency;
  • profile exhibitions, etc.

Up to 2 days

Signing of the lease agreement

Expenses of the seller:

None

Additional services:

None

the management process

1 hour

Contract of the owner and agency

1 year

Rendering of management services

1 day

Reporting

Expenses of the owner:

5% of the annual rental price

Additional services:

None

Investment Process

1 hour

Contract of the tenant and agency.

From 3 days

Selection of optimal investment options

1 Week

Registration of the contract of purchase / sale

Expenses of the investor:

  • 2% when investing in the secondary market
  • 0% when investing in a new building
  • 4% - registration

Additional services:

Property management