Dubai, UAE — Dubai registered 339,557 rental contracts in its freehold areas in the first ten months of 2026, up 6.8% from a year earlier. Another 38,420 in November and December would beat last year’s record of 377,976. At this year’s pace of about 34,000 a month, Dubai rental contracts should pass that mark comfortably.
The record comes as rents fall. CBRE put average Dubai rents 7% lower in the third quarter than a year earlier. For an Indian landlord with a flat in Dubai, more contracts and lower rents mean tenants have more choice.
44,841 Contracts In October, Split Almost Evenly
October alone brought 44,841 Dubai rental contracts, according to fäm Properties data reported by Arabian Business. Of those, 21,987 were new leases and 22,854 were renewals. New leases rose 3.8% from October 2025, while renewals rose just 0.5%.
One-bedroom apartments made up 138,836 Dubai rental contracts in the ten months, about 41% of the total. Al Warsan First was the busiest area, followed by Al Barsha South Fourth, Jebel Ali First and Business Bay.
Firas Al Msaddi, chief executive of fäm Properties, said demand “continues to hold up well.”
The figures count registrations, not rent levels, so they say nothing on their own about what tenants are paying.
New Dubai Rental Contracts Outpace Renewals As Rents Ease
The gap between new leases and renewals matters. When rents are rising, tenants tend to renew to avoid a bigger bill elsewhere. When rents fall and new buildings open, more of them move.
That fits the price data. Betterhomes said median apartment rents fell 3.8% between June and September. Higher Dubai rental contracts and lower rents together suggest supply is meeting demand, not falling short of it.
Ejari registration, renewal and cancellation have also moved into the DubaiNow app, which could make it easier to register Dubai rental contracts.
Also read: Dubai Property Prices Dip 1% As Rents Fall 7%, Abu Dhabi Up 13%
AED 35 Billion In October Sales, Most Below AED 2 Million
Sales picked up too. DXBinteract counted 11,974 property sales worth AED 35.01 billion in October, up 18% in value from September. Off-plan homes made up 7,609 deals worth AED 19.2 billion, and resales 4,289 worth AED 15.6 billion.
Villa sales rose 62% month on month to 1,356 deals. The most expensive villa sold for AED 97 million at Eden Hills, and the top apartment for AED 58 million on Dubai Islands.
Most buyers spent far less. Homes under AED 2 million, about Rs 5.2 crore, were 63.7% of deals, and 30.6% were under AED 1 million, about Rs 2.6 crore.
Rs 2.6 Crore Buys 895 Sq Ft In Mumbai
At about 26.2 rupees to the dirham, AED 1 million buys roughly 895 sq ft in Mumbai at Anarock’s mid-2026 benchmark of Rs 29,270 per sq ft. In Dubai, nearly a third of last month’s homes sold for that or less.
The rent side is where the two markets differ. Anarock put gross rental yields at 4.6% in Bengaluru, 4.3% in Mumbai and Gurugram, and 3.6% in Hyderabad. Dubai apartments usually yield more, though falling rents are narrowing the gap. The comparison is rough, since Anarock tracks benchmark localities and Dubai yields vary widely by area.
What Lower Rent Means For An NRI Landlord
For an Indian owner, the dirham helps. It has gained about 6.8% against the rupee this year, which offsets most of a 7% rent fall once the money is converted. Rental income is taxable in India for resident Indians, even though the UAE does not tax it.
For buyers living in India, a flat bought for rent still has to be funded under the Liberalised Remittance Scheme. That allows USD 250,000 per person a year, and couples can pool two limits. Remittances above Rs 10 lakh attract 20% tax collected at source, and Indian banks cannot lend for these transfers.
136,100 Homes Due In 2027 Will Add Tenants’ Choice
The risk for landlords is supply. Cavendish Maxwell expects 136,100 homes to complete in 2027 and 155,700 in 2028. More Dubai rental contracts will follow as those homes fill, but rents may have to fall further to fill them.
Landlords who bought off-plan at recent prices are most exposed, since their yield depends on rents holding.
December’s Total Will Settle The Record
November and December figures will show whether 2026 beats last year’s 377,976 contracts. The more useful number is the share of new leases against renewals. If new leases keep growing faster, tenants are still moving to cheaper or newer homes.
Busier Leasing Desks, Softer Rent Cheques
For investors, record Dubai rental contracts show strong demand for homes but not for higher rents. End-users renting in Dubai have more room to negotiate than a year ago. For Indian owners, the dirham’s rise has cushioned the fall in rupee terms. Buyers comparing a Dubai one-bedroom with a flat in Mumbai, Pune or Bengaluru should base the decision on today’s lower rents, not last year’s.
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