Question: I heard rent increases in Dubai are capped. How does that work? I’m trying to understand as I’m not sure my landlord is being entirely fair with me. SP, Dubai
Answer: Rent increases in Dubai are regulated through the Real Estate Regulatory Agency’s smart rental index.
Landlords can raise the rent only if your current total is below the market average for similar properties – and only by a fixed percentage, depending on how far below that average your rent is.
Here is a breakdown:
- Less than 10 per cent below average – No increase allowed
- 11 per cent to 20 per cent below – Up to 5 per cent increase
- 21 per cent to 30 per cent below – Up to 10 per cent
- 31 per cent to 40 per cent below – Up to 15 per cent
- More than 40 per cent – Up to 20 per cent
Even if an increase is allowed, the landlord must still give you 90 days' written notice before lease renewal of any changes to the contract. If this deadline is missed, no changes are allowed and the contract will be renewed under the same terms and conditions.
You can verify your rent category using the Dubai Land Department’s smart rent calculator online either through the Dubai Rest app or the DLD website.
Q: My lease has just expired but we haven’t signed a new contract with the landlord yet. Can my landlord still increase the rent? BF, Dubai
A: Your landlord cannot legally increase the rent unless they provided you with 90 days’ written notice before the lease expiry and only if the smart rental index allows for the increase. This is a firm requirement under the Dubai Tenancy Law (Law No. 26 of 2007, amended by Law No. 33 of 2008).
Even if the lease has technically expired, it is automatically renewed under the same terms and conditions as before, unless the landlord notified you in time of any changes, which would include a rent increase.
Without this, the rent amount remains unchanged for the new term. If your landlord insists otherwise, you are within your rights to refuse and escalate to the Dubai Rental Dispute Settlement Centre (RDSC) if necessary.
Q: My landlord wants to sell the property I rent. Can I be evicted for this reason? I’ve read what the law says but am a bit confused. Can you clarify as my wife and I are settled in our apartment and do not wish to move? VJ, Dubai
A: You can be evicted for the reason of selling but only after you are given a 12-month written notice through notary public or registered mail. The landlord must clearly state that the reason for eviction is to sell the property, and that notice should be served before the lease renewal, although some judges do allow this notice to be served at any time.
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This rule is laid out in Article 25(2) of the Dubai Tenancy Law. Even if the sale goes through, the new buyer must honour your existing lease unless they also issue their own 12-month notice for personal use.
If you suspect the notice is just a pretext to remove you for a higher-paying tenant, you can report this to the RDSC, which may fine the landlord or order compensation. For this suspicion to be taken seriously, you should arm yourself with as much evidence as you can. It’s also possible that you may have to move out but keep an eye on the property. If you subsequently have proof that the owner didn’t sell the property and rented it out again, you would be in your rights to seek compensation through the RDSC.
The opinions expressed do not constitute legal advice and are provided for information only. Please send any questions to mariovolpi64@gmail.com
