SARA ALZAABI (ABU DHABI)
Monthly rental payments and other flexible leasing arrangements are moving towards the mainstream in the UAE as residents seek alternatives to large upfront payments, according to real estate experts.
The shift could make housing more accessible to salaried professionals and recently relocated residents while helping landlords improve occupancy and tenant retention.
Rohit Bachani, Co-Founder of Merlin Real Estate, described flexible renting as “the single biggest structural shift in our rental market since freehold ownership opened up”.
He said monthly rent payments were moving from a niche offering into the mainstream, with rental platforms increasingly integrating instalment-based payment solutions.
Sarah Serhan, a Dubai-based luxury real estate expert, said the change was particularly significant in Dubai and Abu Dhabi, where tenants have traditionally made substantial upfront payments through post-dated cheques.
“For investors, flexibility translates directly into higher occupancy rates and stable yields,” Serhan said. She said flexible arrangements could reduce the four-to-eight-week vacancy periods that can occur between traditional annual leases. During these periods, landlords may continue paying mortgages, service charges and other costs without receiving rental income.
Taimur Khan, Head of Rently UAE, said flexible renting was particularly relevant to professionals who had recently relocated and were still establishing their UAE banking and credit histories.
“What flexible renting models do is turn a rigid annual commitment into something closer to how people actually manage money day to day,” Khan said.
He said traditional annual payment structures were becoming less suited to the UAE’s increasingly mobile population. Greater choice could help the housing market keep pace with workforce mobility while retaining safeguards for landlords.
Khan said Rently assesses applicants individually instead of relying solely on rigid criteria, with decisions made within 24 hours. He said this approach could give newcomers faster access to housing while providing landlords with information about prospective tenants.
Affordability is also becoming an important consideration for salaried professionals and first-time buyers.
Bachani said rents for budget apartments had risen by more than 20% in several communities, reflecting strong demand from end-users for value-oriented housing.
“Long-term value follows occupancy, and occupancy follows affordability,” he said. Developers could respond by pricing homes for salaried professionals and offering payment schedules that more closely reflect monthly incomes, Bachani added.
Serhan said buyers were similarly placing greater emphasis on financial security and tangible value. “Buyers aren’t looking for over-the-top speculation; they want capital preservation, financial breathing room, and tangible value,” she said.
Developers were addressing affordability through smaller, space-efficient layouts and flexible payment structures while seeking to maintain quality, she added.
Abhishek Jalan, CEO of Grovy Developers, said developers could balance price and value through more efficient construction and adaptable design. “It is crucial to deliver valuable products that combine sustainability, connectivity and low operational costs,” he said.
Technology is also making flexible rental arrangements easier to manage by supporting applicant assessments, digital onboarding and faster decision-making. “Technology makes it possible to balance flexibility, accessibility, and confidence without compromising on the quality of the tenant experience,” Khan said.
He said individual assessments could widen access for financially responsible residents who had not yet accumulated lengthy UAE banking or rental histories.
According to Khan, affordability and flexibility need not come at the expense of landlords’ income security. He cited the Dubai Land Department’s Flexi Rent scheme, which allows tenants to split rent into monthly, quarterly or semi-annual payments.
Residents accustomed to monthly payments and digital financial services increasingly expect similar options in housing, while landlords continue to require adequate protection against defaults, he said.
“Good design here is not about picking a side; it’s giving tenants real payment choice while still protecting landlord recourse,” Khan said. Digital rental indices, online leasing platforms and regulatory frameworks are also giving landlords and tenants more information on which to base decisions.
“Technology is doing for renting what regulation did for buying, building trust,” Bachani said.
Khan said technology could address one of the biggest obstacles to flexible renting: uncertainty for landlords. “Flexible leasing becomes much more viable when technology helps reduce uncertainty and simplify the rental process,” he said.