UAE off-plan glossary

Rental yield

Annual gross rental income expressed as a percentage of the property's price; the primary investment-return metric for UAE buy-to-let.

Rental yield = annual gross rent ÷ property price × 100. In the UAE, gross yields on off-plan property typically range from 5% to 9%, with the highest yields found in newer master-communities in Dubai (JVC, Bukadra, Dubai South) and lower yields in prime areas like Palm Jumeirah or Downtown.

Net yield deducts service charges, maintenance, management fees and vacancy losses — expect 1–2 percentage points lower than gross.

FAQ

What’s a good rental yield in Dubai?

Gross yields of 6–7% are common in mid-market Dubai communities. Anything above 8% gross is best-in-class. Below 5% gross is typically Palm Jumeirah / Downtown / branded — the appreciation thesis there, not yield.

Is yield calculated before or after service charges?

Gross yield is before all costs. Net yield deducts service charges, maintenance, management fees and vacancy losses — expect 1–2 percentage points lower than gross.