Understanding Rent Increases in Dubai: A Comprehensive Guide
- abdelrahman abobakr
- Jul 9
- 3 min read
Updated: Aug 26
Introduction to Dubai's Rental Landscape
Rent increases in Dubai are strictly regulated. This protects both landlords and tenants. Understanding Dubai tenancy law is essential for landlords planning to increase rent and tenants wanting to know their rights.
This article explains how much landlords can increase rent in Dubai, the legal notice periods, the RERA Rent Index, and relevant legal clauses from Law No. 26 of 2007 as amended by Law No. 33 of 2008. If you want to avoid costly rental disputes in Dubai, read on for a clear, expert breakdown.
Dubai Rental Law Framework
The primary laws governing rental increases in Dubai are:
Dubai Law No. 26 of 2007 (Regulating the Relationship between Landlords and Tenants in the Emirate of Dubai)
Amendment Law No. 33 of 2008
These laws define rent caps, notice requirements, and the procedures for disputes. They ensure fairness in the rental market.
What Is the Maximum Rent Increase Allowed in Dubai?
Dubai does not allow landlords to increase rent arbitrarily. The maximum permitted increase depends on how much the current rent is below the average market rent as calculated by the RERA Rent Index. This index is regularly updated by the Dubai Land Department (DLD).
Here’s how it works:
Difference Between Current Rent & Average | Maximum Allowed Increase |
Less than 10% below market average | 0% |
11% – 20% below average | 5% |
21% – 30% below average | 10% |
31% – 40% below average | 15% |
More than 40% below average | 20% |
Law Clauses on Rent Increase
Law No. 26 of 2007, Article 9 (as amended by Law No. 33 of 2008):
“The Landlord and Tenant shall specify the Rent in the Tenancy Contract, and it may not be increased or amended during the term of the Contract. Rent may only be increased upon renewal in accordance with the rules and percentages determined by the Real Estate Regulatory Agency (RERA).”
Law No. 33 of 2008, Article 13:
“The Landlord must notify the Tenant of any change in the terms of the Tenancy Contract, including the Rent, at least ninety (90) days before the expiry of the contract, unless both parties agree otherwise.”
90-Day Written Notice Rule
Landlords must provide at least 90 days’ written notice before the contract expiry to legally increase rent. If they fail to give this notice, the tenant can reject the increase. In this case, the contract renews under the same terms. This rule is crucial for maintaining transparency and fairness in rental agreements.
How to Check Legal Rent Increase
Landlords and tenants can use the official Dubai Rent Calculator on the Dubai Rest application to check the legal permissible increase. This tool ensures full compliance with RERA regulations and helps avoid Rental Disputes Center (RDC) cases. It’s a handy resource for anyone involved in rental agreements.
The Importance of Understanding Your Rights
Knowing your rights as a landlord or tenant is vital. It helps you navigate the complexities of rental agreements. If you're unsure about any aspect of the law, seeking legal advice can be beneficial.
How Our Law Firm Can Help
At Rashid Alnaqbi Advocates & Legal Consultants, we assist landlords and tenants in Dubai. Our services include:
Understanding rights and obligations under Dubai rental law
Drafting and reviewing tenancy contracts
Issuing or responding to 90-day rent increase notices
Representing clients before the Dubai Rental Disputes Center (RDC)
By partnering with us, you can ensure that you are well-informed and prepared for any rental situation. We aim to be your trusted legal partner in navigating Dubai's rental landscape.
Conclusion
Rent increases in Dubai are governed by specific laws and regulations. Understanding these can save you from potential disputes. Whether you're a landlord or a tenant, knowing your rights is crucial. If you have questions or need assistance, don't hesitate to reach out to us. We're here to help you navigate the complexities of rental law in Dubai.
Comments