Tenants Moving to Bigger Homes for Smaller Rents

Bigger homes in Dubai for smaller rents: Why more Residents are Moving to the Suburbs

Filipina expat Rachel Delacruz was a city girl and loved the easy access to everything that came with it. However, when she got pregnant with her first child, she had this overwhelming desire to have her “own personal space”. That’s why she decided to move to a suburb — Damac Hills 2 — which is about 50km away from her office.

“When I got pregnant, I wanted a place that had a semblance of home. That’s why we moved here,” she said.

Delacruz got a brilliant deal. She moved from a 2BHK apartment in the city with an annual rent of Dh60,000 to a 3BHK townhouse that costs Dh40,000 a year. What’s more, “it comes with a garden”.

Rachel is among thousands of UAE residents who are moving away from the hustle and bustle of the city for some after-work peace and quiet. Though it has meant hospitals being farther off, lesser eating out and fast food options, she loves the fact that her now three-month-old will grow up in a “large space he can call his own”.

Most popular suburban options

Research done by real estate marketplace Property Finder suggests that there is a “growing trend” of residents and locals relocating to the suburban localities.

Scott Bond, UAE country manager, Property Finder, classifies these areas as suburbs:

“(Residents are relocating) in search of a home befitting their Dubai lifestyle with housing at competitive prices, peaceful privacy and a bigger space,” he said.

According to Scott, the most popular suburban localities are Dubai Sports City, Damac Hills and Al Furjan.

How much do tenants typically pay?

Scott said residents are spoiled for choice when it comes to villas and apartments they can get for rent in the popular suburbs. “These areas have become extremely popular, thanks to their family-friendly amenities, green lifestyles and strategic locations.”

Buy or rent?

According to agency-owned real estate website houza, there is a “significant growth” of both renters and buyers within these communities.

“Many who moved out to these areas during the pandemic have become accustomed to the locality. With the continuing concept of ‘work from home’, a rising number of people are willing to buy a unit for a permanent relocation. It is a trend typically seen with families, especially those who also have children,” said Sarah Hewerdine, head of marketing at houza.

With property prices shooting up within centrally located communities, many are widening their search pool to alternative areas further out. “It helps that they do not have to compromise on space or the number of bedrooms either,” said Sarah.

Owning residential units: City vs suburbs

Collectively, in villa suburban communities, sales in the third quarter of 2022 have doubled as compared to the same period last year.

Today, affluent buyers will find it much easier to strike a deal for a “slice of suburban life” in Dubai’s exclusive villa and townhouses enclaves, “where homes sell for a fraction of the price five years ago”, Property Finder’s Scott said.

“The boom in these real estate suburb communities has motivated them to make major lifestyle changes, which has often meant relocating and moving into bigger spaces available at competitive prices,” he added.