Property agents have reported an increase in demand for one-bedroom and three-bed apartments on the Dubai-Sharjah border area of Al Nahda, but predicted there will be no increase in rents.
“There is a huge demand for 1-bedroom and three-bedrooms. They get taken the minute we put them on the market,” said one property agent. “But there aren’t many takers for two-bedroom apartments now.”
The demand, he reasoned, is because of the rising rents in Dubai.
“We have seen a marked increase in rents in Dubai Marina, Satwa, Karama and JLT. And this has created a huge demand here.”
Rents in Sharjah, however, are stable. “There has been no increase in rents. It’s fairly stable. It’s predicted that there will be no change for a while now,” elaborated another property agent.
“There are a lot of two-bedroom apartments still available.”
Another property agent said that most of his clients are employed in Dubai and are willing to endure the long commute to save on rent.
“Earlier, everyone was moving to Dubai because the rents had dropped there, but now that Dubai rents are increasing, people are moving back,” he added.
The Al Nahda area, on the Dubai-Sharjah border, is hugely popular as it allows residents cheaper rent and easier access to Dubai.
An agent on the Dubai side of Al Nahda said that there is a huge demand for 1-bed and 3-bed apartments on that side as well.
“There is hardly any demand for 2-bedroom apartments now,” added Shauqat.
He claimed that some properties have marked up their prices by 3-5 per cent.
“Not everyone has hiked their prices, but there have been some stray cases where property owners have increased rent.”
This, he insisted, was not an indication of an increase in rent in the area.
Al Nahda 1, the area behind the Sahara Centre Mall, is the current favourite, with many new projects coming up.
“Most of the apartments in the new blocks have been taken. I doubt there’s any more available now.”