Renting an apartment is a great way to secure a monthly income in the UAE, but you will definitely have to put in conscientious efforts to make your property more appealing and optimize your rental yield.
Here are five tips to help you rent out your apartment in Dubai.
1. Hire a reliable broker
It is important that you partner with a broker you can trust and with whom you can build a win-win professional relationship. Often, property owners in Dubai spend less time picking a real estate agent than picking a restaurant, and that’s where things start to go wrong. It’s paramount that you invest time and effort to find the right broker then have an honest and open conversation with him or her so that they can fully understand your needs and expectations.
So, how can find such a broker? A good first step is by getting recommendations from people whose opinions you trust and then following up with interviews of your own.
2. Perform real estate due diligence
You may already have a rental figure in your mind, but the question is – is that price realistic and achievable in the Dubai market? Sift through various property portals to find out the average rental price for properties similar to yours in your area. Of course, your broker is going to share their inputs and that’s great, but you should also do some homework of your own.
3. Offer flexibility and add-ons
Convenience is one word that resonates well with all potential renters. If you are flexible in the rental contract, you are likely to have a signed contract sooner.
Here are four things you may want to consider to make your rental offer more attractive in Dubai:
Multiple rent payment cheques: Not all forms of rent payment are equal. If you want to rent out your apartment in Dubai as quickly as possible, you should offer payment options that are easy and convenient for potential renters. One way to do that is by offering multiple payment instalments. It’s no secret that not many renters are interested in signing a one cheque rental contract unless it comes with a hefty discount.
One month free rent: Apart from the word ‘convenience,’ another word that can pique renters’ interest in a property is the word ‘free.’ If your Dubai property has been sitting vacant for a few months, why not sweeten the deal for potential renters by including the one-month free offer in your contract?
Short-term contracts: While one-year contracts are the norm, the rules of the game are not as rigid as before. Why? Glad you asked. A large number of expats new to Dubai now look for shorter-term contracts until they get acquainted and comfortable with the city and their new jobs. If you want to make your rental offering more attractive, consider offering shorter-term contracts, like 6 or 3 months.
Utilities included: As a property owner, it’s up to you whether to include utilities as part of the monthly rent. Before you set the rent and write up the terms of the lease, decide who will pay for things like gas, electricity, heat, water, and so on. If your property is located in an area popular with professionals, especially singles, you may want to draw up an “all utilities included” rent agreement. That’s because busy working professionals are looking for such an arrangement, as that means they will not have to make the effort of setting up payments under their account upon moving in.
4. Consider turning your property into a holiday rental
Want to escape the lower rental yields? If so, consider turning your apartment into a vacation rental property like the ones offered on Airbnb. Doing so is simple and easy and doesn’t involve hefty fees. You can take the first step in this direction by registering with the Dubai Department of Tourism and Commerce Marketing. Once you have done that, you will be able to list your studio or apartment on Airbnb and other similar websites.
5. Pay attention to the upkeep
Nothing turns off renters more than a property that is being poorly maintained. When a potential tenant visits your apartment, he or she pictures it as their future home, at least for the next few months or years. They don’t expect to see — nor would they appreciate — surfaces that are scratched or unclean or walls with paint peeling off them. Make a strong impression on all potential tenants by keeping your property in top condition.
