The rental market in Kuwait represents a key indicator of the state of the housing sector, as renting has become a primary and long-term option for many families due to rising land and home prices and delays in the delivery of residential projects.
Real estate experts confirmed that demand for rentals will remain high in the coming years, as government housing distributions require a long time before they can have a tangible impact on easing pressure in the market.
Suleiman Al-Dulaijan explained that land value accounts for around 70% of a property’s total cost, prompting owners to raise rents to offset expenses. He added that the registration of 7,000 to 8,000 marriages annually—about 80% of which turn to renting—supports continued demand and keeps prices stable or elevated. Families allocate roughly 35% of their income to rent, while the state bears about 250 million dinars annually as a rental allowance.
For his part, Ibrahim Al-Awadhi noted that rental prices vary by area, with increases in high-demand locations compared to relative stability in other regions. He also expected housing applications to exceed 197,000 over the next decade, as most families rely on renting either temporarily or permanently, with only about 5% able to purchase a home.
Meanwhile, Dalal Al-Qaoud stated that the market is governed by the equation of supply and demand, and that rising property prices are pushing owners to focus on rentals as a sustainable source of income. She pointed out that the impact of government projects will appear gradually and will not resolve the crisis quickly.
Renting in Kuwait is no longer a transitional phase but has become the primary housing solution for the majority of families, with continued price pressures driven by the gap between growing demand and limited supply.
