– Citywide Rental Yields
Dubai’s residential rental yield data indicates a mild softening in both apartment and villa returns compared to pre- COVID levels. Since 2021, average apartment yields have been slightly below their pre-2020 mean, while villa yields have seen a more noticeable drop. Over the last 18 months, yields on apartments have moved higher, while villa yields have continued to edge downward, with ongoing divergence between the two asset types. This trend may reflect shifts in tenant demand, capital value movement, or supply dynamics within each segment, but ultimately points to the fact that apartments and villas are nigh-on entirely separate markets unto themselves (although some similar trends can be observed within them at the community level).
