HOME > BLOG POST

Article & News

Dubai Rent Increase Rules in 2025 Explained

📌 Introduction: Can Your Rent Go Up in 2025?

Dubai rent increase rules
  • jarsmak.ae
  • jarsmak.ae

Dubai rent increase rules are among the most transparent and structured globally. As tenants prepare for lease renewals in 2025, many are unsure whether their landlords can legally raise the rent. Meanwhile, property investors seek clarity on when and how much rent can be adjusted to remain compliant with Dubai’s rental laws.

Fortunately, the Real Estate Regulatory Agency (RERA) under the Dubai Land Department (DLD) has outlined clear rent increase guidelines through its Rental Index. In this post, we’ll break down exactly how the system works, what thresholds apply, and what tenants and landlords should do next.

🧭 How the RERA Rental Index Works

The RERA Rental Index is a publicly accessible online calculator that benchmarks market rent for each residential area in Dubai. It uses current listings and average contract values to determine what constitutes a “fair rent.”

You can access it via the Dubai Land Department’s Rental Index tool or the Dubai REST app. By entering your property type, location, and number of bedrooms, you can instantly find out whether your landlord is entitled to raise your rent—and if so, by how much.

This system removes ambiguity and provides a reliable benchmark for rent negotiations.

📊 Dubai Rent Increase Rules for 2025

The following official thresholds determine legal rent adjustments:

How Far Below Market Value Maximum Allowed Increase
Less than 10% No increase allowed
11% – 20% Up to 5%
21% – 30% Up to 10%
31% – 40% Up to 15%
More than 40% Up to 20%

As a result, if your rent is only slightly under market average, your landlord cannot raise it. Conversely, if your rent is significantly under market, they can apply a proportional hike—up to 20%.

🧾 Real-Life Examples: 5 Rent Scenarios

Let’s see how the Dubai rent increase rules apply in everyday rental situations:

1. Business Bay

  • Market Rent: AED 100,000
  • Current Rent: AED 95,000 (5% below)
    🔒 No rent increase allowed

2. The Springs

  • Market Rent: AED 200,000
  • Current Rent: AED 155,000 (22.5% below)
    📈 Up to 10% increase permitted

3. International City

  • Market Rent: AED 30,000
  • Current Rent: AED 20,000 (33% below)
    📈 Up to 15% increase allowed

4. Palm Jumeirah

  • Market Rent: AED 300,000
  • Current Rent: AED 210,000 (30% below)
    📈 Eligible for 10% hike

5. JVC (Jumeirah Village Circle)

  • Market Rent: AED 75,000
  • Current Rent: AED 60,000 (20% below)
    📈 Up to 5% increase allowed

These cases highlight how crucial the Rental Index is in determining legal rent hikes in Dubai.

🧠 For Landlords: Benefits of Regulated Rent

At first glance, Dubai rent increase rules may seem restrictive to property investors. However, they offer several benefits that enhance long-term profitability:

🔐 1. Tenant Stability

With rent increases limited by law, tenants are more likely to renew their leases—reducing turnover and vacancy periods.

📈 2. Predictable ROI

Knowing exactly how much you can raise rent helps you model rental yields over 5–10 years.

⚖️ 3. Legal Protection

Following RERA rules ensures your rent increase notices are enforceable and protects you from tenant disputes.

🌍 4. Investor Confidence

For overseas investors, Dubai’s transparent rental structure offers peace of mind and reduces ambiguity in property management.

🧰 Tools to Support Tenants and Landlords

Dubai has created several tools to streamline the rent regulation process:

  • Dubai REST App – View market prices, landlord info, and initiate digital renewals
  • RERA Rental Index Calculator – Check average market values by location and property type
  • Trakheesi System – Ensures that listings are legally approved before going live on portals
  • Rental Dispute Center – Offers mediation if rent increases are contested

In addition to using these tools, landlords must issue written notice 90 days before the renewal date for any rent adjustment to be valid.

🛡️ Tenant Rights You Should Know

If you’re a tenant in Dubai, these laws are in your favor:

  • ❗ Landlords must give 90 days’ notice in writing before increasing rent
  • ✅ Rent can only be increased once every 12 months
  • 🔁 Increases must align with the RERA Rental Index
  • 🧾 Verbal agreements are not valid—always request changes in writing
  • ⚖️ Disputes can be resolved via the Rental Dispute Center

Most importantly, eviction for the purpose of raising rent is illegal unless justified by sale or redevelopment.

🔮 What’s New in 2025?

Dubai continues to enhance its rental transparency. Recent updates include:

  • 📅 Rental Index updates now occur bi-annually for faster market accuracy
  • 🤖 AI tools will notify landlords when they’re eligible to raise rent
  • 🏘️ Hot zones like JVC, Dubai South, and MBR City are trending upward
  • 📱 REST app now includes digital dispute filing for tenants

These changes reflect Dubai’s commitment to making real estate smarter and more accountable.

❓ FAQ: Common Questions About Rent Hikes

Q: Can my landlord raise the rent without notice?

A: No. They must provide written notice at least 90 days before lease renewal.

Q: How can I check if a rent increase is legal?

A: Use the RERA Rental Index or the Dubai REST app.

Q: What if I refuse the increase?

A: You can file a complaint with the Rental Dispute Center.

Q: Can my rent go up mid-lease?

A: No. Rent is locked during the lease term. Increases can only occur at renewal.

📩 Need Expert Guidance?

Whether you’re a tenant facing a surprise rent hike or a landlord unsure of compliance rules, Jarsmak can help.

✅ We handle lease reviews, rental management, and investor guidance

✅ We keep overseas landlords compliant with all RERA guidelines

✅ We support tenants with rental rights education

📞 Contact Us Today

📍 Website: www.jarsmak.ae

📩 Instagram: @jarsmak.ae

📞 Phone: +971 4 557 3134

Book a Free Consultation!

 

{{ is_error_msg }}

Select Category
Select Service
  • jarsmak.ae
  • jarsmak.ae
{{ service_details.bookingpress_service_name }}

Duration: {{ service_details.bookingpress_service_duration_val }} {{ service_details.bookingpress_service_duration_label }}

Price: {{ service_details.bookingpress_service_price }}

{{ is_error_msg }}

Date & Time
Time Slot
There is no time slots available
Morning
{{ time_details.formatted_start_end_time }}
Afternoon
{{ time_details.formatted_start_end_time }}
Evening
{{ time_details.formatted_start_end_time }}
Night
{{ time_details.formatted_start_end_time }}
Date & Time
Time Slot
There is no time slots available
Morning
{{ time_details.formatted_start_end_time }}
{{ time_details.formatted_start_end_time }}
Afternoon
{{ time_details.formatted_start_end_time }}
{{ time_details.formatted_start_end_time }}
Evening
{{ time_details.formatted_start_end_time }}
{{ time_details.formatted_start_end_time }}
Night
{{ time_details.formatted_start_end_time }}
{{ time_details.formatted_start_end_time }}

{{ is_error_msg }}

Basic Details

{{ is_error_msg }}

Summary

Your appointment booking summary

Customer
{{appointment_step_form_data.customer_name }}
{{ appointment_step_form_data.customer_firstname }} {{ appointment_step_form_data.customer_lastname }}
{{ appointment_step_form_data.customer_email }}
Service
{{ appointment_step_form_data.selected_service_name}}
Date & Time
{{ appointment_step_form_data.selected_date | bookingpress_format_date }}, {{ appointment_step_form_data.selected_start_time | bookingpress_format_time }} - {{ appointment_step_form_data.selected_end_time | bookingpress_format_time }}
Appointment Details
{{ appointment_step_form_data.selected_service_name}}
{{ appointment_step_form_data.selected_date | bookingpress_format_date }}, {{ appointment_step_form_data.selected_start_time | bookingpress_format_time }} - {{ appointment_step_form_data.selected_end_time | bookingpress_format_time }}
{{ appointment_step_form_data.selected_service_price }}
There is no payment method available.
Select Payment Method

Pay Locally

PayPal

No categories and services added!
Share this article :
Facebook
Twitter
LinkedIn

One Response

WRITTEN BY
Samantha

Samantha Lee

FOLLOW ON
SUBSCRIBE
Share This