Rent Increase

Rent increases in Dubai are not a matter of free negotiation at renewal — they are capped by law. Under Dubai's rent increase decree (Decree No. 43 of 2013), the maximum permitted increase depends on how far the current rent falls below the market rent shown in the RERA rental index: no increase is allowed if the rent is within ten per cent of market, and the cap rises in slabs up to twenty per cent for rents far below market. Separately, a landlord who wants to change any term of the lease — including rent — must notify the tenant at least ninety days before expiry, otherwise the contract renews on the same terms. Tenants meet this regime every renewal cycle; the practical sequence is: receive the notice, run the property through the DLD rental increase calculator, and either accept, negotiate, or file at the Rental Disputes Centre if the demanded increase exceeds the lawful cap.