Are you looking for a place to live in the UAE? Renting a property can be a great option if you are not in a financial position to buy, or want the flexibility to move regularly. But, one of the key things to decide is whether to opt for a short-term or long-term rental. Both options have potential advantages and drawbacks which we'll explore in this blog post to help you decide which is right for you.
Short-term rental means renting out a property for a short time - whether it's a few days, weeks or on a monthly basis. These properties are typically fully furnished and come without any long-term commitment. There are various reasons why people choose a short-term rental, such as vacation, business travel, or as a short-term solution when moving to a new city or area.
There are various types of short-term rental, including:
A long-term rental is where you rent a property for one year or more. The landlord and tenant will both sign a rental agreement which outlines the rental price, length of the tenancy, how the rent will be paid and other important terms and conditions.
Types of Long-term Rental:
On average, long-term rentals in the UAE range between AED 25,000 and 200,000 annually. Dubai and Abu Dhabi are more expensive than other parts of the UAE regarding renting because of higher demand and larger availability of luxurious properties. The average annual rent in Dubai and Abu Dhabi are:
Property Type | Average Rent in Dubai | Average Rent in Abu Dhabi |
Studio Apartment | AED 45,000 | AED 40,000 |
1- bedroom apartment | AED 65,000 | AED 55,000 |
2-bedroom apartment | AED 110,000 | AED 90,000 |
3- bedroom apartment | AED 175,000 | AED 145,000 |
Property Type | Average Rent in Dubai | Average Rent in Abu Dhabi |
3- bedroom villa | AED 180,000 | AED 160,000 |
4- bedroom villa | AED 325,000 | AED 300,000 |
5- bedroom villa | AED 450,000 | AED 410,000 |
Property Type | Average Rent in Dubai | Average Rent in Abu Dhabi |
3- bedroom townhouse | AED 135,000 | AED 115,000 |
4- bedroom townhouse | AED 250,000 | AED 220,000 |
5- bedroom townhouse | AED 380,000 | AED 345,000 |
Dubai | Abu Dhabi |
DEWA Deposit - AED 2000 | ADDC Deposit - AED 1000 |
Security Deposit - 1 or 2 month’s rent | Security Deposit - 1 or 2 month’s rent |
Agency fees - 2-5% of annual rent | Agency fees - 2-5% of annual rent |
Moving cost - AED 800-4500 | Moving Cost - AED 1000-5000 |
What is the Cost of Short-term Rentals in the UAE?
Depending on the city and area, short-term rentals in the UAE can range from AED 2500 to AED 65,000 or more per month. You can find a great deal on short-term rentals by comparing prices between different providers online. Websites like Expedia or Airbnb offer an easy way to compare prices between rental options. When using these platforms, carefully review certain aspects such as additional fees, accurate property descriptions, amenities and cancellation policies. You can bargain with landlords for a lower rate if you are renting for an extended period. Some rental companies also introduce special offers at certain times, e.g. weekdays and off-peak seasons (summer), so be sure to look out for those, too.
Renting is a much more affordable option for those who do not yet have the savings to cover the deposit and upfront costs of buying a property.
If you are unsure about your long-term plans or frequently move due to work, renting allows you to change your residence without the commitment of property ownership.
Economic conditions, market trends, and other factors can influence property prices. When you rent, you don't have to worry about these factors or whether property prices go up or down - but you do have to be prepared for changes in rental prices.
Renting allows you to upgrade to a larger property if your circumstances change or downsize if you want to reduce expenses.
There is no one right answer regarding whether to choose between short-term and long-term rental options in the UAE. Short-term rentals are great for those seeking lower upfront costs, convenience and flexibility. But, overall, they are more expensive than choosing a long-term rental. In comparison, long-term rentals offer the stability and security of having a longer-term home.
Consider short-term rentals if you:
Consider long-term rentals if you:
It is all about finding what feels right for you. The choice is yours. Make it a good one!
Find the perfect short-term rental in the UAE by visiting the BetterStay website.
Or, find an amazing long-term rentals in the UAE by searching our amazing selection of properties for rent.