Khaleej Times, Sunday, Nov 13, 2022 | Rabi Al Thani 18, 1444
Dubai property rent calculator: How to challenge 'unfair' hike in prices
Emirates:
Question: Can you explain how Dubai's rental index works? I have
received a rent increase notification that I feel is unfair. What should I do
next? How do I challenge it and how does it work after that?
Response: Pursuant to your queries, as you are residing in a rented apartment in
Dubai, the provisions of Law No. 26 of 2007 Regulating the Relationship between
Landlords and Tenants in the Emirate of Dubai (the ‘Dubai Tenancy Law’) and
those of Law No. 33 of 2008 Amending Law No. 26 of 2007 Regulating the
Relationship between Landlords and Tenants in the Emirate of Dubai (the ‘Amended
Dubai Tenancy Law’) are applicable.
Rent increase and decrease related to real estate properties are decided by the
Dubai Real Estate Regulatory Agency (Rera) based on a rent calculator it
developed and operates.
Article 10 of the Dubai Tenancy Law states: “Rera shall have the authority to
establish criteria relating to the percentage of rent increase in the Emirate in
line with the requirements of the prevailing economic situation in the Emirate.”
Based on the aforementioned provision of law, you may check the rent value of
your apartment through the Rera rent calculator on the website of the Dubai Land
Department.
In the event you find the rent for a similar apartment in your residential area
is not in line with what has been offered to you, you may approach your landlord
or the real estate agent and inform them about the same.
If the landlord or the real estate agent disagrees, you may approach the Rental
Dispute Centre (RDC) of Dubai and file a complaint. Based on your complaint, the
RDC may summon your landlord and/or the real estate company to decide the rent
of your apartment which is payable upon renewal of the tenancy contract. This is
in accordance with Article 13 of the Amended Dubai Tenancy law, which states:
“For the purposes of renewing a Lease Contract, the Landlord and Tenant may,
prior to the expiry of the Tenancy Contract, amend any of its terms and
reconsider increasing or reducing the Rent. If the Landlord and Tenant fail to
reach an agreement in this regard, the Tribunal may determine the fair Rent,
taking into account the criteria stipulated in Article 9 of this law."