“Where Rents Are Going Up: 6 Dubai Neighbourhoods to Watch in 2026”

Published On: February 14, 2026

“Where Rents Are Going Up: 6 Dubai Neighbourhoods to Watch

Thinking about your next move in Dubai? If you’re already renting, any rent increase must follow the rules set out in the Smart Rental Index, which regulates how much landlords can raise prices. But for tenants planning to relocate in 2026, understanding which areas are experiencing rising rents is essential before signing a new lease.

To get a clearer picture of where rental prices are climbing, Time Out Dubai spoke with Alec James Smith, Head of Sales and Leasing at Savills Middle East, for expert insight into the current market. According to him, established villa communities and prime lifestyle neighbourhoods continue to show stable to upward rental trends in 2026, driven by strong demand and limited supply.

“Areas such as Palm Jumeirah, Jumeirah Golf Estates, Dubai Hills Estate, Victory Heights, Arabian Ranches and Tilal Al Ghaf continue to attract strong demand from tenants.

According to market insights, these neighbourhoods are particularly popular with high-net-worth individuals and families who are choosing to settle in Dubai for the long term rather than opting for short-term or transitional living arrangements.

With a limited supply of luxury villas and a growing preference for larger homes, premium finishes and well-planned community living, rental prices in these locations remain well supported and are showing steady growth.

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Rising Rents in Dubai 2026: 6 Neighbourhoods Where Rent Prices Are Increasing

Dubai’s property market is showing dynamic growth in 2026, with certain neighbourhoods experiencing noticeable rental increases. Limited housing supply, high demand, and premium lifestyle offerings are key drivers behind rising rents, especially in luxury and family-friendly communities. Whether you’re planning to rent for the first time, relocating, or upgrading your home, these six Dubai neighbourhoods are essential to watch in 2026.

1) Arabian Ranches

Average Rent: AED 180,000/year (two-bedroom villa)

Arabian Ranches remains a top choice for families seeking space, comfort, and convenience. This well-established gated community offers expansive villas, beautifully landscaped gardens, swimming pools, parks, and leisure clubs. An 18-hole golf course nearby further elevates the neighbourhood’s appeal for tenants prioritizing a premium family lifestyle. With high demand and limited availability, rents in Arabian Ranches continue to rise steadily in 2026.

2) Dubai Hills

Average Rent: AED 100,000/year (one-bedroom apartment)

Dubai Hills is fast emerging as a prime residential community for families and professionals. The neighbourhood features modern apartments and villas, ample green spaces, scenic walking paths, and community parks. Dubai Hills Mall provides extensive shopping and dining options, while improved connectivity with two new bus routes makes commuting easier. The combination of lifestyle amenities and family-friendly living keeps rental demand strong, driving steady growth in 2026.

3) Jumeirah Golf Estates

Average Rent: AED 102,000/year (one-bedroom apartment)

Known for luxury and serenity, Jumeirah Golf Estates is a sought-after community centred around two world-class golf courses. With lush greenery, tranquil surroundings, and exclusive amenities such as sports clubs and parks, it attracts professionals and families seeking a premium lifestyle. Limited property stock ensures consistent rental growth, making it one of Dubai’s key neighbourhoods for tenants in 2026.

4) Palm Jumeirah

Average Rent: AED 170,000/year (one-bedroom apartment)

Palm Jumeirah continues to be one of Dubai’s most iconic neighbourhoods. Living on this man-made island offers unparalleled luxury, including beach access, vibrant nightlife, fine dining, and breathtaking waterfront views. The combination of exclusivity, prestige, and high-quality living keeps demand and rents steadily rising. For those seeking a luxurious urban lifestyle in 2026, Palm Jumeirah remains a top choice.

5) Tilal Al Ghaf

Average Rent: AED 250,000/year (villa)

Tilal Al Ghaf is a newly emerging luxury community that’s gaining rapid popularity. Located near Jumeirah Village Circle (JVC) and Dubai Sports City, the neighbourhood is built around a stunning lagoon and eco-friendly design principles. With limited villas and high demand from families and professionals, Tilal Al Ghaf’s rental rates continue to climb. The community combines sustainability, greenery, and family-focused amenities, offering a modern lifestyle for 2026 tenants.

6) Victory Heights

Average Rent: AED 300,000/year (villa)

Situated near Dubai Sports City, Victory Heights stands out as a premium neighbourhood with rising rents, even as surrounding areas experience declines. Gated villas, spacious gardens, and access to The Els Club golf course provide residents with a luxurious and tranquil environment. High demand and limited availability ensure that Victory Heights remains a key area for renters looking for upscale, long-term living in 2026.

Key Takeaways for Renters in Dubai 2026

For those planning to rent in Dubai this year, these six neighbourhoods combine lifestyle, convenience, and luxury, but they come with premium rental prices. Families, high-net-worth individuals, and professionals continue to drive demand in communities like Arabian Ranches, Dubai Hills, Palm Jumeirah, and Victory Heights.

To secure the best rental deals, start your search early, explore a range of apartments and villas, and stay updated on market trends. Understanding which areas are appreciating in value will help you make informed, strategic rental decisions while finding a home that matches your lifestyle and budget.

FAQs – Rising Rent in Dubai 2026

The top neighbourhoods with rising rents include Arabian Ranches, Dubai Hills, Jumeirah Golf Estates, Palm Jumeirah, Tilal Al Ghaf, and Victory Heights, driven by high demand and limited housing stock.

Rents are rising due to premium lifestyle offerings, family-friendly amenities, exclusive locations, and a strong influx of long-term tenants seeking luxury and spacious living.

In 2026, a two-bedroom villa in Arabian Ranches averages AED 180,000/year, while a one-bedroom apartment in Dubai Hills averages AED 100,000/year, reflecting growing demand in both areas.

Renters can start searching early, consider smaller apartments or alternative units, monitor market trends, and consult reputable real estate agents to secure competitive rental deals.

Yes. Palm Jumeirah remains highly desirable for its beachside luxury, fine dining, vibrant nightlife, and iconic waterfront views, making it a prime choice for tenants seeking prestige and lifestyle.

“Where Rents Are Going Up: 6 Dubai Neighbourhoods to Watch in 2026”