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Nearly one third of UAE residents now pay less rent than one year ago


Nearly one third of UAE residents now pay less rent than one year ago

 

Dubai, UAE: The proportion of UAE residents paying less rent than a year ago rose to nearly a third in the first quarter of this year.
 
That’s according to the yallacompare Consumer Confidence Tracker for Q1 2019, which surveyed more than 1000 UAE residents on the state of their finances and attitudes towards work. It follows similarly sized surveys conducted throughout each quarter of the year.
 
Specifically, 30 percent of those surveyed in Q1 2019 said they’re paying less than a year ago, compared with 26 percent in Q4 2018. The proportion paying more than a year ago fell to 33.1 percent in Q1, down from 36.3 percent in the previous quarter. Nearly 37 percent are paying the same as a year ago.
 
“It’s not surprising that more and more people are paying lower rents than a year ago,” said Jonathan Rawling, CFO, yallacompare. “The proportion paying more, however, is still high and residents clearly need to do more to secure lower rents.”
 
“We repeat our previous advice – that moving home, with all the associated costs, does not necessarily lead to a significant drop in rent. Tenants are more likely to secure lower rates by negotiating with their existing landlord. This must be done three months before the lease expires, before the contract automatically renews on existing terms.”
 
Tracker data suggest that residents generally prefer to stay where they are. The number still in the same home they were living in a year ago stood at 63 percent in Q1, up from 61.3 percent in Q4 2018. Asked if they plan to move in the next year, 70 percent said no.