The question mostly asked by investors, as far as investing in real estate in Dubai is concerned, is which area in Dubai will yield the best rental income? The real estate business is thriving in Dubai. Nevertheless, not every tower and villa can guarantee good incomes.
The real returns are normally found in places where buying prices are low. These locations are also stable, have strong tenant demand, and high occupancy rates. That’s why many smart investors prefer exploring apartments and villas for sale in Dubai, as these properties often provide steady rental income and great potential for value growth.
Some of the neighbourhoods are regarded as low-cost, high-yield locations within Dubai, such as International City and Jumeirah Village Circle (JVC). The other places, like Business Bay, the Downtown and the Dubai Marina, are the best places where one can rent on a short basis. Other developing regions like Dubai South and Meydan are even being given a look at as prospective growth areas.
You might be comparing Dubai rental yields across different communities or exploring off-plan projects to see which one performs best. Either way, with the right plan, you can make the most of your investment. At Milestone Homes, we’ll help you find the best areas in Dubai where rental yields are expected to be the strongest in 2025.
1. International City
International City has continued to be one of the best rental yield areas in Dubai 2025. Its country-themed clusters like China, England, Italy and Morocco make it a high-yield zone in Dubai. The place is not only cheap, but it is also attractive.
Some of the tenants who are charmed by the community are the students, young professionals, and families that need affordable lodgings without sacrificing convenience.
Studios also have a strong appeal to investors; they are some of the best rental properties in Dubai. Here, studios may generate approximately 8.5% ROI, and 1-bedroom apartments may generate approximately 8.8% ROI. International City stands out as the best place to invest in a high ROI community in Dubai, both for new and old investors.
Average rental yield: 8–9%
Studios: ~8.5% ROI
1-Bed units: ~8.8% ROI
2. Discovery Gardens
Discovery Gardens is an established development with over 26,000 apartments. It is situated on Sheikh Zayed Road and Sheikh Mohammed Bin Zayed Road. It is easy to get to Dubai Marina, Jebel Ali and Downtown Dubai. One of the Dubai rental income sectors that has stable demand is Discovery Gardens.
Studios and 1-bedroom apartments offer some of the highest returns with a yield ranging between 7.7 per cent and 7.8 per cent. This location is a safe investment since it is affordable and has high yields, which are affordable to the investor aiming at getting consistent rental rates.
Average rental yield: ~7.1%
Studios: ~7.7% ROI
1-Beds: ~7.8% ROI
3. Al Furjan
Al Furjan is a fast-growing investment destination in Dubai. It has been enhanced by new infrastructure and the launch of Furjan Metro Station, that have helped in its growth. The community has villas, townhouses and apartments that have lots of parks, retail outlets, schools and community centres. It is also reputed to have a family-friendly atmosphere.
The rental returns are between 5 and 8 per cent in this area. Studios are producing approximately 8.1% of ROI, and 4-bedroom townhouses have an average of 6.6% ROI to investors. Al Furjan is becoming more investor-friendly, owing to its medium-term growth and great potential in terms of rental. It is also demanded by families that require good access to transportation.
Rental yields: 5–8%
Studios: ~8.1% ROI
4-Bed Townhouses: ~6.6% ROI
4. Dubai Silicon Oasis (DSO)
The high ROI community in Dubai is the Dubai Silicon Oasis. It is independent and technology-driven, consisting of residential, commercial, and innovation districts. It is a favoured place amongst young professionals and students who seek a cheaper apartment. DSO has a rental between 6 and 8.5 per cent.
DSO is an attractive investment option to investors, as it provides a stable rental revenue and a good long-term perspective. It is also among the finest destinations where off-plan properties in Dubai can be explored.
Rental yields: 6–8.5%
1-Beds: ~7.3% ROI
Studios: ~6.3% ROI
5. Business Bay
Business Bay is situated in the centre of Dubai, adjacent to the Downtown and the Dubai Canal. It is a mix of residential, business and lifestyle facilities.
It is among the best short-term rentals in Dubai, which draws tourists, professionals and corporate tenants. The fact that it is situated close to offices and is well connected to the Metro also contributes to its demand.
Business Bay studios have an average of 7.5% ROI, with 1-bed units having an average of 6.6% ROI. On the whole, the community gives approximately 6.5% returns.
Business Bay is a safe choice for investors. It offers a stable occupancy and good capital growth in the short-term and long-term rentals.
Average yield: ~6.5%
Studios: ~7.5% ROI
1-Beds: ~6.6% ROI
6. Jumeirah Village Circle (JVC)
Jumeirah Village Circle (JVC) is a properly developed and family-friendly neighbourhood. It provides apartments, villas and townhouses that have great access to the Mall of the Emirates, Downtown and Marina in Dubai.
JVC also provides stable returns, and it is among the top rental yield regions in Dubai. Yields range between 6.5% and 7.5%. Approximately 7.7% ROI is given by studios, whereas 1-bedroom apartments give 7% ROI.
JVC is performing well with affordability and with high tenant demand by families, professionals and expats. It is an inexpensive, high-yield short and long-term investment alternative.
Average yield: 6.5–7.5%
Studios: ~7.7% ROI
1-Beds: ~7% ROI
7. Downtown Dubai
The luxury centre of the city is Downtown Dubai. It contains such famous landmarks as Burj Khalifa and the Dubai Mall. It is still among the most preferred short-term rentals in Dubai that gathers tourists, business leaders, and people with high levels of income.
The rental rates are between 5 and 12 per cent, depending on the size of the unit. Tenants particularly like studios and 1-bed apartments. Despite the high prices of property, capital gains in the future make Downtown Dubai a favourable investment choice for the investor who wants to get high ROI communities.
Rental yields: 5–12%
Studios and 1-Beds: High demand from tourists and executives
8. Dubai Marina
Dubai Marina is one of the most active markets for rental and a high-quality waterfront development. It is very desirable and is made up of skyscraper apartments, shopping, dining, and a metro.
It is loved by expats, professionals and tourists, so it is a hot spot in terms of short-term rentals. In studios and 1-beds, the yield is 6.2 to 6.5 per cent.
To investors, it is a very liquid area with guaranteed occupancy at Dubai Marina. It gives a balance of mid-term and holiday rental potential, as this guarantees continuity of cash flow and subsequent growth.
Yields: ~6.2%–6.5%
Studios and 1-Beds: Popular with young professionals and holidaymakers
9. Dubai South
One of the most promising new communities is Dubai South. It is close to Al Maktoum International Airport and Expo City, which gives it great potential in future.
Rental rates are 7 to 8 per cent, and studios have a high ROI of 8 per cent or more. The location is appealing to mid-income tenants because it has modern infrastructure and in proximity to business districts.
With the progress, Dubai South will be projected to be one of the most famous high ROI communities in Dubai. It provides high rental as well as capital appreciation.
Rental yields: ~7%–8%
Studios: Potential yields of 8%+
The Dubai real estate market in 2025 has several potential opportunities for investors. It can be high in rental yields, rental income in the short-term and in long-term growth in capital.
International City, Jumeirah Village Circle (JVC), and Dubai Silicon Oasis are the best options to be considered by those who are aiming at studios and investments with low costs. The best place to invest in short-term rental turnover would be downtown Dubai, Business Bay and Dubai Marina.
The up-and-coming places, such as Dubai South and Al Furjan, offer consistent rental as well as long-term development.
The trick here is to balance your budget, the nature of the property and the goals of investment with the right community.. Dubai has remained among the most appealing real estate markets in the world with respect to rental income and high ROI communities through proper planning and research.
