6.7–9.5%
Apt Yields
5–8%
Villa Yields
0%
Income Tax
AED 32.2B
Q1 Rental Value
The Numbers in Black and White
City-wide yields average 6–7%, with mid-market apartments at 7–9.5% and established villas at 5–8%. The UAE levies no income tax on rental earnings, no capital gains tax, no annual property tax. One-time 4% DLD fee only.
| City | Apt Yield | Tax on Rent | Net Advantage |
|---|---|---|---|
| Dubai | 6.7–9.5% | 0% | Full retention |
| London | 3–4% | 20–45% | ~2–3% net |
| New York | 2.5–4.5% | 25–40% | ~1.5–3% net |
| Paris | 2.5–3.5% | 30–45% | ~1.5–2.5% net |
| Singapore | 3–4% | 0–22% | ~2.5–4% net |
| Hong Kong | 2–3% | 15% | ~1.7–2.5% net |
Tension Strengthens the Case
118,385 new rental contracts in Q1 + 135,607 renewals. AED 32.2B total. Cancellations down 25%. When asking prices soften 10–15% but rent holds, entry yields jump from 6% to ~7%. USD 1M buys 78 sqm in Dubai vs 34 sqm in London.
“Tenants do not stop paying rent because of headlines. Rental contracts hit AED 32.2 billion in Q1 2026. That is your income floor.”
