What Tenants Will Live in Villas for Rent in Dubai?
If you are a landlord, then you know that there are several differences between leasing villas and apartments. Apartments usually have younger residents who are unrelated to each other and share the cost of rent. Villas usually have families as residents and the heads of household pay the rent. Apartments have tenants who could be there for a short or long time; villas tend to have longer-term residents. Finally, those who live in apartments are usually looking for a social scene; those who live in villas want a quiet and relaxing atmosphere.
One such city that has many villas to choose from is Dubai. Dubai is in the United Arab Emirates (UAE) and has many residential neighborhoods that a landlord can choose to rent in. Some neighborhoods have themes, such as sports and cars, while others are in areas that are for the wealthy.
With such a diverse selection of neighborhoods to rent in, how do you choose which villas to rent in? You must choose the right villas that will attract the right tenants, and do this, you will read clues left by rent prices, amenities offered, villa features, and neighborhood attractions.
If you are a landlord looking to rent in Dubai, read on to discover the potential tenants of Dubai.
From the Upper-Middle Class and Beyond
The first prediction that you can make is that many tenants in Dubai will be from the upper-middle class and beyond. To make this prediction, you need to know two things. First, the currency of the UAE is the dirham (AED). While both citizens of the UAE, or Emiratis, and expatriates will pay the rent in dirham, expatriates will be wealthier on average. This is because of favorable exchange rates when expatriates convert their native currencies, such as the US dollar, Euro, or Pound Sterling, into dirham.
The second thing you need to know is where the middle class is. According to Salary Explorer and other salary aggregate websites, the average median annual salary in Dubai is 258,000 AED, while the highest average annual salary is 1,1188,000 AED. This will be used to determine the likely economic class that your potential tenants will belong to.
Once you are armed with this knowledge, you can then look at rent prices. The lowest-priced villa in Palm Jumeriah has four bedrooms and has an annual rent of 320,000 AED. If there are two heads of household contributing equally, then each member contributes 160,000 AED. The most expensive villa in Dubai has six bedrooms and has an annual rent of 1,599,900 AED. If there are two heads of household contributing rent equally, then each will pay 799,950 AED. This range of 160,000 AED to 799,950 AED will adjust upwards when the price of entertainment, groceries, necessities, and utilities are added in, making this range easily affordable to the upper-middle class and beyond. While some middle-class families can still afford this price range, the upper-middle class can pay the rent comfortably.
They Enjoy Entertaining Guests
The second prediction is that potential tenants would enjoy entertaining guests. A barbecue area allows for parties outside, while built-in cabinets, built-in closets and wardrobes, and pantries allow for storing clothes as well as ingredients for cooking in a closed or open, fully equipped kitchen with built in appliances. Guests can eat in the dining room and be entertained by a built-in music system. If guests stay overnight, there is private guest access and at least one en-suite guest bedroom. A patio with a deck, as well as a terrace and private balconies are great ways to entertain guests, as well as private beach access, a private garden, and a private swimming pool. A living room and lounge will provide for indoor entertaining, and a maid’s service will help clean up after guests when the night has concluded.
They Like to Socialize
The final prediction a landlord can make about their potential tenants is that they would like to socialize. First, the man-made archipelago of Palm Jumeriah, also called the “8th wonder of the world,” makes for a good point to make in conversation. Second, they might invite guests from out of town to stay at the five-star Atlantis, Fairmont, Kempinski, or Waldorf-Astoria Hotels. Salons will help residents prepare for a night on the town. Bars, beach clubs, nightclubs, and restaurants are all places where a resident can be social in Dubai. Finally, Nakheel Mall and retail outlets are a perfect way to shop and socialize.
Conclusion
For a landlord to be successful, they must have tenants that they can get along with. A landlord must, therefore, rent in the right neighborhoods that will attract the right tenants. Using clues left by villa features, neighborhood attractions, amenities offered, and rental prices, a landlord can predict what neighborhoods will attract the best tenants for them to work with.
If you are a landlord looking to rent in villas for rent in Dubai and would like to have tenants who are from the upper-middle class and beyond, who enjoy entertaining guests, and who like to socialize, now is the perfect time to rent in villas for rent in Dubai.