Dubai rental yield by district 2026: JVC, Business Bay, Marina, Downtown, Palm, Hills and more

Rental yield in Dubai depends more on the district than on the city. Small apartments in mid-market areas such as Jumeirah Village Circle (JVC) and Dubai South are reported at 7% to 9% gross, Business Bay and the Marina area at roughly 5.5% to 8%, and prime addresses such as Downtown and Palm Jumeirah at about 4.5% to 6.5%. After service charges, management and vacancy, the net figure is typically 1.5 to 2.5 percentage points lower. The 2026 rent market has also softened, especially in prime districts. All figures are broker and portal ranges as of October 2026, mostly based on asking prices and new listings, and none is a promise for a particular unit. For the city-wide picture see Dubai rental yield and investment; for what the purchase costs see Dubai property prices and buying costs.

District by district

Each line gives the reported gross yield for apartments, then price per sq ft and the service charge per sq ft per year. Most of these figures date from the first quarter of 2026, before the second-quarter rent declines described below.

• Jumeirah Village Circle (JVC): about 7% to 9% gross, higher for studios and one-bedrooms, with net around 5.5% to 7%. Prices roughly AED 900 to 1,300 per sq ft, service charge AED 8 to 14. One resale tracker puts the 12-month yield near 7.2%, but down about 4% on a year earlier. The district was largely built between 2018 and 2023 and brokers report low vacancy, around 3%.
• Business Bay: about 6% to 8% gross, with studios and one-bedrooms at the top (roughly 6.5% to 7.5%) and two-bedrooms near 6%. Net about 5% to 6.5%. Prices AED 1,450 to 2,700, service charge AED 14 to 22 and higher in newer towers.
• Dubai Marina: about 5.3% to 6.8% gross. Prices AED 1,650 to 2,900, service charge AED 16 to 28. Marina rents are higher than in neighbouring JLT, but prices rise faster than rents.
• Jumeirah Lake Towers (JLT): about 6.5% to 8% gross, net about 5% to 7%. Prices AED 1,300 to 2,200, service charge AED 12 to 22. It is the usual cheaper alternative to the Marina, with a yield advantage for that reason.
• Dubai Hills Estate: apartments about 5% to 7% gross, villas about 4% to 5.5%. Prices AED 1,400 to 2,500 for apartments and 1,800 to 3,200 for villas. Strong tenant quality and capital growth record, lower yield.
• Downtown Dubai: about 5% to 6.5% gross, net about 3.5% to 5%. Prices around AED 2,850 on average in the first quarter of 2026, apartments AED 2,400 to 4,800, service charge AED 20 to 35. Smaller units give the best percentage; this is a capital and liquidity area, not a yield area.
• Palm Jumeirah: apartments about 4.5% to 6% gross, villas about 3% to 5%, with a first-quarter average near 4.8% for apartments. Apartments average about AED 2,600 per sq ft, service charge AED 22 to 35. Villa listings were reported at a record low in spring 2026, which holds prices up and yields down.
• Dubai Creek Harbour: about 5.5% to 7% gross, net about 4.2% to 5.5%. Prices AED 1,600 to 2,800, service charge AED 16 to 24. New towers are still filling with tenants.
• Mohammed Bin Rashid City and Sobha Hartland: apartments about 5% to 7% gross, villas about 4.5% to 6%, with one-bedrooms and two-bedrooms at the top of that range. Prices AED 1,800 to 2,800 for apartments. One broker cites a service charge of AED 25 per sq ft for a Sobha Hartland unit, which takes 1 to 1.5 points off a gross yield.
• Dubai South: about 7.8% to 8.7% gross, with a 2026 first-half resale figure of 8.4% and resale prices near AED 1,360 per sq ft, up about 12% on a year earlier. Service charge AED 8 to 14. Vacancy of 6% to 8% is reported in newer buildings while the tenant base builds.
• Al Furjan: about 6% to 7.8% gross for one-bedrooms, studios 7% to 8.5%, two-bedrooms 5.6% to 6.9%. Prices AED 1,200 to 1,700, service charge AED 12 to 20.

Why the sources disagree

Two things explain most of the gap. The first is method: an asking-price yield uses what landlords ask today, while a transaction yield uses what was paid and rented. Global Property Guide puts the UAE average near 4.9% gross for the second quarter of 2026, while a broker analysis of April 2026 gives about 6.7% overall and about 7.1% for apartments. They measure different baskets and neither is a forecast. The second is unit size: studios and one-bedrooms carry the highest percentage everywhere, and large apartments and villas the lowest.

Downtown shows the problem. Sources in this research give 5% to 6.5% gross and 3.5% to 5% net for the same area, and a figure of 3.5% to 4.5% quoted elsewhere most likely describes net, not gross. When you compare two districts, make sure both numbers are gross or both are net.

From gross to net: what comes off

Gross yield is annual rent divided by price. What you keep is lower by:

• Service charge: AED 8 to 14 per sq ft in budget communities, 20 to 35 in premium towers, and it is charged whether or not the unit is let. Check the building in the Dubai Land Department service charge index (Mollak) rather than relying on a broker's quote.
• Property management: reported at about 5% to 7% of annual rent for long lets.
• Re-letting commission: about 5% of annual rent when a new tenant is found, plus the Ejari tenancy registration (reported at about AED 220).
• Vacancy: a month between tenants is a common assumption, more in oversupplied buildings.
• Repairs and maintenance: a reserve of 1% to 2% of rent or a fixed amount per year.
• Housing fee: 5% of the rental value, collected through the DEWA bill and normally paid by the tenant, but a cost to you when the unit is empty.
• Purchase costs: about 7% on top of the price at the start (DLD fee and agent), which lowers the yield on the money you actually invested.

Worked example

These are our own illustrations on stated assumptions, not market data.

• JVC one-bedroom: bought for AED 900,000 (750 sq ft, AED 1,200 per sq ft), let for AED 70,000, a gross yield of 7.8%. Costs: service charge AED 11 per sq ft, AED 8,250; management 5%, AED 3,500; one month vacant, AED 5,800; re-letting commission 5%, AED 3,500; repairs, AED 1,500. Total about AED 22,550. Net rent AED 47,450, which is 5.3% on the price, or about 4.9% on the price plus 7% of purchase costs.
• Downtown one-bedroom: bought for AED 2,000,000 (700 sq ft, about AED 2,860 per sq ft), let for AED 110,000, a gross yield of 5.5%. Costs: service charge AED 25 per sq ft, AED 17,500; management 5%, AED 5,500; one month vacant, AED 9,200; re-letting commission 5%, AED 5,500; repairs, AED 2,000. Total about AED 39,700. Net rent AED 70,300, which is 3.5% on the price, or about 3.3% once about 6.5% of purchase costs is included.

The same gap of 2.3 points of gross became 1.8 points of net, and the Downtown buyer is paying for location, liquidity and a capital growth case, not for income. Neither calculation includes tax: the UAE has no personal income tax on rent, but your home country may tax it.

2026: rents fell in prime districts

Cushman & Wakefield recorded city-wide sale prices down about 4% and average rents down about 6% in the second quarter of 2026. Apartment rents fell most in Downtown Dubai (about 14%), Dubai Hills Estate and Dubai Marina (about 10% each) and Palm Jumeirah (about 9%); villa rents in Dubai Hills fell about 12%. About 13,200 homes were delivered in the quarter and about 32,000 more are due in the second half. Other indices cited by brokers show a smaller move, rent growth slowing to roughly 1.5% in April and a small fall in May, so the size depends on the index. The direction matters more than the exact number: a landlord who underwrote 2025 rents in a prime tower is now earning a lower gross yield than the brochure suggested, and mid-market districts with a lot of new supply are the next to watch.

Long-term or holiday let

Short-term rental can lift gross income but not always net. Reported occupancy by area is wide: roughly 65% to 82% in the Marina, 60% to 80% in Downtown, 70% to 79% in Business Bay, 65% to 80% on the Palm and 65% to 72% in JVC, depending on source and month, and one broker report notes that leisure tourism dipped in spring 2026. Management takes 15% to 25% of revenue, and the guest pays a Tourism Dirham of about AED 10 to 20 per night depending on the class of property. You need a holiday-home permit from the Department of Economy and Tourism before you list, and permit fees changed in 2026, so check the current amount. Rules and fees are in short-term rental rules in Dubai.

What a yield above 8% usually signals

A gross yield of 8% or more is common in Dubai South, International City, Arjan and Silicon Oasis and for studios in JVC. It usually means one or more of these:

• Small or older units where the price per sq ft is low and tenant turnover is high.
• A district still being built out, where new supply pushes rents down and vacancy up.
• A building with high service charges, so gross is much higher than net.
• Off-plan or holiday-let numbers, which are projections or peak-season revenue rather than annual rent.

A unit showing 9% gross may net 6.5% to 7%. That can still be a good return, but you are being paid for supply and turnover risk. Prime districts at 4.5% to 6% gross are priced for liquidity and capital growth. Read Dubai off-plan investment risks before you underwrite a handover-date yield.

How to check a specific unit

• Look up the building's service charge in the Dubai Land Department service charge index.
• Ask for the last twelve months of rent statements and the Ejari registration, not the listing price of the rent.
• Compare the rent with other tenancies registered in the same building, not with the current asking rents.
• Check how many units in the same project are for rent now.
• Model the numbers with realistic vacancy and fees. Our calculators separate the advertised figure from the net one.

FAQ

Which Dubai district has the highest rental yield? Reported gross yields are highest in outer mid-market districts such as Dubai South, Jumeirah Village Circle, International City and Arjan at about 7% to 9%, mostly for small apartments. These also have the most supply.

What is a realistic net yield in Dubai? About 3.5% to 5% in Downtown and on the Palm and about 5% to 7% in mid-market districts, before tax and after service charges, management and vacancy.

Are Dubai rents falling in 2026? In prime districts, yes: Cushman & Wakefield recorded apartment rent declines of 9% to 14% in the second quarter. The size of the move varies by index.

Is a higher yield always better? No. A higher yield often reflects higher supply, turnover and service charges. Compare net yield and the strength of tenant demand, not only the headline percentage.

2026 market context: the regional war

Since 28 February 2026 the Gulf has been affected by the war between Iran and the US and Israel, including missile and drone strikes on the UAE. According to press reports, the index of listed Dubai real-estate companies lost about 30% between 28 February and mid-March, and March sales fell by a similar share. A US–Iran memorandum of understanding signed in June 2026 formalised a ceasefire and opened talks on a lasting settlement; it is in effect as of October 2026. Land Department data as compiled by brokers show first-half 2026 transactions still above the first half of 2025, and sellers largely held their prices, while rents softened in several districts in the second quarter. This is context, not a forecast: treat security and insurance conditions as part of due diligence and check the current situation before paying a deposit.

How we help

We shortlist Dubai properties to your goal, model net return district by district with realistic fees and vacancy, and coordinate local lawyers and advisers. See also the UAE country page, the cross-country comparison in rental yield by country 2026 and our UAE property guide.

This article is informational only and is not legal, tax or investment advice. Figures are indicative, come from broker and market sources and change over time; confirm current numbers for the building before you buy.