Dubai Rental Yields by Area, Gross and Net
A 9% gross yield in Jumeirah Village Circle is really 5.5% to 6.5% once the service charge, management and a few empty weeks are paid for. A 6% gross in Downtown Dubai lands nearer 4.8% to 5.5%. The gap between the number in the advertisement and the number in your account runs 1.5 to 2.5 percentage points across the whole market, and it is almost entirely one line item: the annual service charge, quoted per square foot.
Dubai still pays more than most global cities — the citywide average sits between 6% and 8% gross in 2026 — but the ranking of areas changes once costs are subtracted, and the communities with the highest headline yields are not always the ones with the best net.
Key Takeaways
- City average 6% to 8% gross in 2026, with mid-market apartments beating premium addresses.
- JVC leads at 8.5% to 9.5%, then Arjan and Dubai Silicon Oasis at 8% to 9%; Downtown sits at 4% to 6%.
- Service charges run AED 10 to 32 per sq ft for apartments and AED 14 to 40 for villas including master community charges.
- Net is 1.5 to 2.5 points below gross after service charge and management — before voids and before any furnishing.
- Short lets can push gross above 8% in Business Bay, Downtown and Marina, at the cost of a licence, furniture and active management.
Yield by area, gross and net
| Community | Gross yield | Typical service charge | Net, working estimate |
|---|---|---|---|
| Jumeirah Village Circle | 8.5% – 9.5% | AED 10 – 14/sq ft | 5.5% – 6.5% |
| Arjan | 8% – 9% | AED 10 – 14/sq ft | 5.5% – 6.5% |
| Dubai Silicon Oasis | 8% – 9% | AED 10 – 15/sq ft | 5.5% – 6.5% |
| Dubailand / DLRC | 7% – 9.5% | AED 10 – 15/sq ft | 5% – 6.5% |
| Business Bay | 5.5% – 7.6% | AED 15 – 22/sq ft | 4.5% – 5.5% |
| Dubai Marina | 5.5% – 7.2% | AED 15 – 25/sq ft | 4% – 5.5% |
| Dubai Hills Estate | 5% – 6.5% | AED 14 – 20/sq ft | 3.5% – 5% |
| Downtown Dubai | 4% – 6% | AED 22 – 32/sq ft | 3% – 4.5% |
| Palm Jumeirah | 4% – 5.5% | AED 25 – 40/sq ft | 3% – 4% |
Gross bands are the 2026 community figures the market guides publish; net is the same figure after service charge and about 6% management, and before voids, furnishing and any mortgage. Treat both as bands, not promises — the building matters as much as the district.
The arithmetic, worked twice
A JVC studio. Bought at AED 556,500, about 400 sq ft, letting at AED 48,000 a year. Gross is 8.6%. Service charge at AED 12 per sq ft is AED 4,800. Management at 6% is AED 2,880. One month empty in the year costs AED 4,000. Net rent AED 36,320 on a cost of AED 594,000 including purchase fees — 6.1% net.
A Downtown one-bedroom. Bought at AED 1.61 million, about 750 sq ft, letting at AED 95,000. Gross is 5.9%. Service charge at AED 28 per sq ft is AED 21,000. Management AED 5,700. One month empty AED 7,900. Net rent AED 60,400 on a cost of AED 1.71 million — 3.5% net.
The studio produces a better return on capital. The Downtown flat produces a bigger cheque, a broader resale market and, on the historical pattern, steadier value in a downturn. Neither is wrong; they are different jobs. Which communities suit which is set out in the best areas to buy.
Do the same arithmetic on your own figures. Gross rent, service charge and voids in; net rent and net yield on total outlay out.
Dubai property calculator — costs, cash needed and net rent
Works from any country: pick your currency, or type your own rate. Fees follow the DLD schedule; rent figures are yours to set.
| Charge | AED | Your currency |
|---|
Fee basis: DLD transfer 4% of price, plus a DLD admin fee of AED 580 on a ready unit and AED 40 at Oqood on an off-plan one; registration trustee AED 4,000 below AED 500,000 and AED 4,200 above, plus 5% VAT; title deed and map about AED 500; agency 2% plus 5% VAT where used; mortgage registration 0.25% of the loan plus AED 290. Rates shown are indicative, read on 9 September 2026, and the pegged ones (USD and the GCC currencies) do not move — edit the rate box for anything else. This is an estimate to plan with, not a quotation, and it does not cover tax in your own country.
What eats the yield
- Service charge. The single biggest deduction, and the one advertised least. Ask for the building's figure, not the community's, and ask for the last two years.
- Voids. One empty month is 8.3% of the year's rent. Two is a sixth of the return.
- Management. 5% to 8% of rent for a long let, more for short lets.
- Furnishing. A furnished unit lets faster and at a premium, and costs AED 30,000 upwards to fit out, plus replacement.
- Cooling. Where district cooling is billed separately, the capacity charge is payable during voids too.
- Rent caps. The RERA rental index limits how fast an existing tenant's rent can be raised, so a unit let cheaply stays cheap for a while.
Short lets against long lets
| Long let | Holiday home / short let | |
|---|---|---|
| Gross yield | Community band | Often 1 – 2 points higher in Business Bay, Downtown, Marina |
| Costs | Management 5% – 8% | Management 15% – 25%, furnishing, utilities, cleaning |
| Admin | Ejari, AED 220 | Tourism department permit, tourism fee per night |
| Occupancy risk | Annual contract | Seasonal — summer is thin |
| Suits | Owners who want a quiet return | Central, furnished, well-run units near attractions |
Short letting is a business rather than an investment, and the higher gross reflects the work. Where it does pay, it pays in the same three districts: Business Bay, Downtown and Dubai Marina.
Verify the rent before you believe the yield
Every yield on this page is a band for a community. The number that decides your return is the rent your specific unit type achieves in your specific building, and it is checkable in four ways before you buy.
- The Dubai REST app's rental index. The Land Department publishes the rent range for a unit type in a building, and it is the same index used to govern rent increases.
- Ejari-registered contracts. Ask the seller or developer for what the unit, or its neighbours, currently let for on a registered contract — not an asking price.
- Live listings in the same tower, filtered to the same bedroom count and a similar size. Asking rents overstate achieved rents, usually by a few per cent.
- The building's service charge for the last two years, which converts the gross figure into the net one.
An off-plan unit has none of this, because the building does not exist. There the comparison is the nearest completed project by the same developer in the same community, discounted for the fact that it will be competing against everything else completing that year.
Yield or growth?
The two rarely arrive together. Mid-market apartments in JVC, Arjan and Dubailand pay the highest income and have the largest competing supply; forecasts for 2026 put mid-range apartment growth at 4% to 6%. Villas in established communities are expected at 6% to 9% on scarcity, while yielding two to four points less. A buyer who needs the property to pay for itself should take the income; a buyer with a ten-year horizon and no need for the rent can accept a lower yield for a scarcer asset.
What 2026 is doing to rents
Rents softened about 2.5% in the second quarter of 2026 while roughly 24,800 homes completed in the first half, with about 120,000 scheduled for the year. That is the supply story working through: a landlord in a district taking heavy delivery has more competition than a year ago, while established communities with little new stock have held. It does not make the yields above wrong; it makes the achieved rent for your specific unit type — not the community's headline — the number to verify before buying.
FAQ
What is a good rental yield in Dubai?
Above 6% net is good in 2026. Gross figures of 8% to 9.5% in the mid-market communities translate to about 5.5% to 6.5% net after service charges, management and a void; premium districts net 3% to 4.5%.
Which area of Dubai has the highest rental yield?
Jumeirah Village Circle, at 8.5% to 9.5% gross on the 2026 figures, followed by Arjan and Dubai Silicon Oasis at 8% to 9%. Low entry prices and modest service charges do most of the work.
How do I calculate rental yield?
Gross yield is annual rent divided by purchase price. Net yield is annual rent minus service charge, management, voids and running costs, divided by the total cost including the 6% to 7% of purchase fees. Use the second number.
How much are service charges in Dubai?
AED 10 to 32 per square foot a year for apartments and AED 14 to 40 for villas including master community charges, approved through the Land Department's service charge index. A 1,000 sq ft Downtown flat at AED 30 is AED 30,000 a year.
Are Dubai rents falling?
They softened about 2.5% in the second quarter of 2026 against a heavy delivery schedule. The pressure is local rather than uniform — districts with many completions are competitive, established communities with little new stock less so.
Is short-term letting more profitable in Dubai?
Gross yields can run one to two points higher in Business Bay, Downtown and Dubai Marina, but management takes 15% to 25%, the unit must be furnished, a tourism department permit is required, and summer occupancy is thin. It is a business, not a passive return.
The service charge and rent figures for individual projects are printed on their pages in the Dubai section. For the purchase costs that sit under the net figure, see the cost of buying property in Dubai, or start at the buyer's guide.
