UAE | Housing & Property

House hunters weigh rent and time taken to reach office

Faced with the strenuous decision of where in the UAE to call home, most newcomers to the country factor in the rent they can afford and their travel distance to work.

  • By Robert Ditcham, Staff Reporter
  • Published: 01:01 August 23, 2007
  • Gulf News

  • Ajman, Sharjah and Abu Dhabi are still main alternatives, say realtors.
  • Image Credit: Gulf News
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Dubai: Faced with the strenuous decision of where in the UAE to call home, most newcomers to the country factor in the rent they can afford and their travel distance to work.

It seems that, for the moment at least, the distances involved in commuting from Dubai to the northern emirates of Ras Al Khaimah (RAK), Fujairah and Umm Al Quwain (UAQ) are mostly too lengthy for people's liking.

Real estate brokers say the main alternatives to Dubai are still Ajman, Sharjah and Abu Dhabi, where residents can enjoy lower rents and still be within touching distance of Dubai's job scene and lifestyle options.

According to second quarter 2007 statistics by UAE-based property services company Asteco, rents for a one-bedroom apartment in Ajman are around the Dh22,000 mark. In RAK, Fujairah and UAQ a similarly sized apartment will set you back around Dh25,000.

Meanwhile, in Dubai, a one-bedroom apartment in Karama and Bur Dubai averages approximately Dh75,000, and in Dubai Marina will cost Dh135,000.

This price difference has put Dubai out of contention for many mid-income families, say property analysts.

"We are seeing a very strong trend of people moving out of Dubai, especially young, middle-income families, because rents are not affordable for them and schooling is cheaper elsewhere," said Peter Penhall, CEO of property portal Gowealthy.com.

"Ajman has been the most viable alternative because of its short distance to Dubai."

Roger Wilkinson, managing partner of Northern Emirates Property, a Sharjah-based property leasing and management company, described the residential real estate market in Fujairah and UAQ as "low key" compared to Ajman.

In terms of future rents, Penhall said Dubai will always command a premium because of the advanced state of its real estate sector, its wide array of lifestyle options and the quality of its projects.

However, he said despite rents being substantially lower in the northern emirates, the gap in the quality of apartments is moderate.

COSTS
Look carefully, you are saving a lot

Based on the assumption that petrol costs are Dh0.14 per km and the distance to Fujairah is 120km (round trip 240km).

Approximate petrol cost of daily round trip commute from Dubai to Fujairah: Dh34

Approximate annual petrol cost of round trip from Dubai to Fujairah: Dh12,380 (assuming that travel on weekends for Dubai-based activities)

Average annual rent of one-bedroom apartment in Karama and Bur Dubai (Dubai): Dh75,000

Average annual rent of one-bedroom apartment in Fujairah: Dh26,000

Overall saving for resident who has moved to Fujairah, but commutes daily to Dubai: Dh36,620


Your comments


Whatever it says about lengthy travelling, traffic jams and mental pressure, the rent and living cost of Dubai won't help you live there more with a middle class family.
Shafeel
Sharjah,UAE
Posted: August 23, 2007, 16:20

My family and I left the UAE this summer, due to the rising costs of living, including rents and school fees. Schooling is free to anyone who lives here. Is it really worth it to live and work in the UAE anymore?
Gary
Raleigh, N.C.,USA
Posted: August 23, 2007, 16:18

I think it is wrong that Abu Dhabi is mentioned here as a cheaper alternative to Dubai. On the contrary, Abu Dhabi rents are now the same as Dubai.
Baz
Abu Dhabi,UAE
Posted: August 23, 2007, 15:31

Long distance commuting is not a problem. Given the terrain, it would not be difficult to have a high-speed train between Fujairah and Dubai. In India, a number of people commute to Bombay from areas such as Karjat or even beyond. If the time taken is one hour each way, it is not a problem.
Akbar
Dubai,UAE
Posted: August 23, 2007, 15:20

It is a very tough situation in Dubai and Sharjah, especially to live with a family and fight for bread and butter because of high house rents, traffic jams and long travelling. We come to earn and save money but it seems it is quite the opposite here. Proper measures must be taken to overcome the present situation in Dubai and Sharjah and to make life easier.
Syed
Sharjah,UAE
Posted: August 23, 2007, 14:28

It is better to have a cheap home in the northern emirates than to spend more on accommodation in Dubai, but other factors like time, long distance driving and its impact on health, etc, are also affecting very badly the overall lifestyle. In other words, you have to pay the price of having a cheap home away from Dubai.
Syed
Abu Dhabi,UAE
Posted: August 23, 2007, 13:50

Dubai is a good place to live. The authorities should encourage builders to construct buildings which could be affordable to mid income groups. Without mid income groups in the city, the city will not be dynamic and original.
Roy
Sharjah,UAE
Posted: August 23, 2007, 13:02

Talking about the issue only makes people feel worse. No matter how much analysis is put into it, there doesn't seem to be any way to reach a solution for this on-going dilemma in the UAE!
Dixie
Dubai,UAE
Posted: August 23, 2007, 12:34

What everybody forgets is that Dubai is now an international city and it is the market that decides the level of rent and if the returns are not good enough then investors will invest in other countries.
C.P.
Manchester,UK
Posted: August 23, 2007, 11:28

I think in Dubai nobody can stay easily with their family, specially average income people. The government should make a plan to construct residential area for low and average income people.
Zafar
Dubai,UAE
Posted: August 23, 2007, 09:06

While you have worked out the money part you have not at all taken into consideration the time required and the fatigue that a person goes through. Even children are victims of the situation.
Smita
Sharjah UAE,UAE
Posted: August 23, 2007, 09:06

I moved to RAK over a year ago and just love it because of its salubrious mountain air and water. The rents are far more reasonable and the overall ambience is peaceful and good for one's sanity.
Arjun
Ras Al Khaimah,UAE
Posted: August 23, 2007, 08:09

I believe you have completely overlooked the fact of traffic here and the amount of time you wait and use the petrol on AC, the stress that accumulates, etc. And besides, is life only about saving money? Or is it also about family time, health and relaxation. Think about those which are not countable but the most important factors.
Vanita
Dubai,UAE
Posted: August 23, 2007, 07:48

Ajman rent is a bit less than Dubai, but the city is not ready, you will find no parking at all, no place to walk except near the beach. No green trees, no pedestrians, only constructions nearby and because of that, it is very dusty and noisy.
Tracy
Ajman,UK
Posted: August 23, 2007, 06:52

In my point of view, the calculation of saving Dh36,620 is not quite right. 1- Have you included the cost of maintenance and depreciation of a car? 2- Since travelling long distance is risky due to travelling at relatively high speed, say 120 Km's/ hr or whatever it is, What's the impact of travelling long distances on the health and well being of a person in the short and long term? 3- What's the effect of travelling long distance on the lifestyle and hence the productivity of employees? 4- What's the environmental effect of travelling long distances on daily basis? 5- In terms of traffic and congestion, would travelling long distance put more pressure on the roads, and cause more accidents and traffic jams?
Osama
Dubai,UAE
Posted: August 23, 2007, 06:28

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