Quick answer: The Dubai rental index is the Dubai Land Department's official benchmark for what similar homes rent for. At renewal, a landlord may raise rent only if the current rent is more than 10% below that average: 5%, 10%, 15% or 20% depending on the gap (Decree No. 43 of 2013), and only with at least 90 days' written notice before the contract ends.
Key takeaways
- The Dubai rental index in use today is DLD's Smart Rental Index, launched on 2 January 2025. It rates each building, so two towers in the same area can have different averages.
- The increase bands have not changed since 2013: 0% if your rent is up to 10% below the average, then 5%, 10%, 15% and a ceiling of 20% if it is more than 40% below.
- The increase is a percentage of the current rent, not a jump to the market average.
- No 90-day notice, no increase. DLD says this applies even when the index would allow one.
- You check it free on the DLD website (Ejari system), the Dubai REST app or the DubaiNow app, with the contract expiry date, property type, area, rooms and current annual rent.
- Disputes go to the Rental Disputes Center, where a rent or renewal claim costs 3.5% of annual rent (minimum AED 500, maximum AED 20,000) plus small fixed fees.
Last checked: 12 October 2026.
Every renewal season the landlord asks "how much can I put the rent up?" and the tenant asks "is this increase legal?". Both answers come from the Dubai rental index, a 2013 decree and one notice rule. Here is how to explain all three, with the numbers.
What is the Dubai rental index?
The Dubai rental index is the Dubai Land Department's (DLD) official measure of the average rent for similar homes, and it is the figure the law uses to decide whether a landlord may raise the rent at renewal. Decree No. 43 of 2013 says, in Article 3, that the average rental value of similar units is set by the "Rent Index of the Emirate of Dubai" approved by the Real Estate Regulatory Agency (RERA), which is DLD's regulatory arm.
For years the index was a table of averages by area and property type, updated about once a year. That is the version many landlords and tenants still remember as the "RERA rental calculator".
The Smart Rental Index (2025 onwards)
On 2 January 2025, DLD launched the Smart Rental Index. The Smart Rental Index is a building-level version of the rental index that uses artificial intelligence and a building classification system to work out the average rent for a specific property. According to DLD's announcement, the classification looks at:
- technical and structural characteristics of the building
- quality of finishes and maintenance
- location and spatial value
- services and facilities, such as maintenance, cleanliness and parking management
DLD's February 2025 release adds that the calculation uses the rental contract values in the building, the average rents in the area and the building classification, and that the index will be updated regularly. Khaleej Times reported at launch (January 2025) that buildings are rated from one to five stars on more than 60 criteria, and quoted DLD officials saying landlords who want higher rents should improve their building's rating.
It covers all residential areas of Dubai, including special development zones and free zones. DLD has said commercial and industrial indexes will follow later. One exception reported in the press: The Week (August 2026) says the Smart Rental Index does not cover the Dubai International Financial Centre (DIFC), so check DIFC units with the DIFC itself.
Tip: Because the index is now building by building, an older tower in Jumeirah Lake Towers and a newer one next door can show different averages. Do not quote a neighbour's result to your client. Run the calculator for the actual unit.
How much can rent increase in Dubai? The Decree 43 bands
Decree No. 43 of 2013 Determining Rent Increase for Real Property was issued by His Highness Sheikh Mohammed bin Rashid Al Maktoum on 18 December 2013 and took effect the same day. Article 1 sets the maximum increase when a lease is renewed, based on how far the current rent sits below the average rent for similar units:
| Current rent compared with the index average | Maximum increase at renewal | Decree 43, Article 1 |
|---|---|---|
| Up to 10% below the average (or above it) | 0% (no increase) | (a) |
| 11% to 20% below the average | 5% | (b) |
| 21% to 30% below the average | 10% | (c) |
| 31% to 40% below the average | 15% | (d) |
| More than 40% below the average | 20% | (e) |
Article 2 applies the decree to every landlord in Dubai, public or private, including those in special development zones and free zones. The decree has not been replaced, and DLD's 2025 announcements of the Smart Rental Index say increases still follow the 2013 decree. The Smart Rental Index changed how the average is calculated, not the bands.
Rule: The bands only switch on when the tenant is paying less than the market. If the rent is already at, above or within 10% of the index average, the legal increase is zero, whatever the landlord's mortgage or service charges have done.
How to read the gap
The gap is the difference between the index average and the current rent, as a share of the average:
Gap % = (index average minus current rent) divided by index average, times 100.
A tenant paying AED 60,000 where the index average is AED 72,000 is AED 12,000 below. AED 12,000 divided by AED 72,000 is 16.7%, which falls in the 11% to 20% band, so the maximum increase is 5% of AED 60,000: AED 3,000. The decree's bands are written in whole numbers. If a result falls between them (say 10.5%), go by what the official calculator shows rather than rounding it yourself.
How do you check the Dubai rental index, step by step?
The official rental index calculator is free and listed by DLD as an immediate service open to everyone. DLD lists four channels: the DLD website through the Ejari system, the Dubai REST app, the DLD website itself and the DubaiNow app.
| Step | What to do | Have ready |
|---|---|---|
| 1 | Open the Rental Index service on dubailand.gov.ae, or in the Dubai REST or DubaiNow app, and sign in if asked. | Website or app login |
| 2 | Enter the expiry date of the current tenancy contract. | Ejari certificate or contract |
| 3 | Choose the property type and the area (region). | Unit details |
| 4 | Enter the number of rooms. | Studio, 1BR, 2BR and so on |
| 5 | Enter the current annual rent. | Rent as registered, per year |
| 6 | Read the result: the average rent for similar units and the maximum increase allowed. | Save a screenshot or PDF |
Those inputs are the ones DLD lists on its service page. Press guides from 2026, such as The Week (August 2026), describe the Smart Rental Index version of the form asking for the Ejari number as well, which is how it identifies the exact building. If the form asks for it, the number is on the Ejari certificate.
Tip: Run the calculator close to the notice date, not months earlier. DLD says the index is updated regularly, and the version in force at renewal is the one that counts. DLD's February 2025 guidance gave the example of the switch to the Smart Rental Index: contracts renewed before 2025 used the old index, contracts renewed during 2025 used the new one.
Worked examples: rent increase in Dubai in AED
These five examples use made-up index averages to show the arithmetic. They are not real index figures for these communities: always run the calculator for the actual unit.
| Unit (example) | Current rent | Index average | Gap | Max increase | Max new rent |
|---|---|---|---|---|---|
| Studio, Business Bay | AED 50,000 | AED 54,000 | 7.4% | 0% | AED 50,000 |
| 1BR, JVC | AED 60,000 | AED 72,000 | 16.7% | 5% (AED 3,000) | AED 63,000 |
| 2BR, Dubai Marina | AED 120,000 | AED 160,000 | 25% | 10% (AED 12,000) | AED 132,000 |
| 3BR, Dubai Hills | AED 200,000 | AED 300,000 | 33.3% | 15% (AED 30,000) | AED 230,000 |
| Villa, Arabian Ranches | AED 180,000 | AED 320,000 | 43.8% | 20% (AED 36,000) | AED 216,000 |
Three things these examples show, which are worth saying out loud to clients:
- The cap is on the current rent. The Arabian Ranches villa is AED 140,000 below the average, but the landlord can only add AED 36,000 this year. The rent catches up over several renewals, not in one.
- Small gaps mean no increase. The Business Bay studio is AED 4,000 under the average, which is 7.4%. That is inside the 10% zone, so the rent stays at AED 50,000.
- The maximum is a ceiling, not a target. A landlord can ask for less, and many do to keep a good tenant. A vacant month on a AED 120,000 Marina flat costs AED 10,000 in lost rent, close to the whole AED 12,000 increase.
What is the rent increase notice rule in Dubai?
Law No. 26 of 2007 regulating the relationship between landlords and tenants in Dubai, as amended by Law No. 33 of 2008, sets the notice rule. Article 13 allows the parties to change the terms of the lease, including raising or lowering the rent, when it is renewed. Article 14 says that, unless the parties agree otherwise, the party who wants to change the terms must notify the other no less than 90 days before the lease contract expires.
DLD spelled out what that means for increases in February 2025: with 90 days' notice, the increase applies only if the index confirms the property is eligible; without 90 days' notice, no increase applies, even if the index would allow one.
| Lease ends | Last day to give notice (90 days before) |
|---|---|
| 31 January 2027 | 2 November 2026 |
| 31 March 2027 | 31 December 2026 |
| 30 June 2027 | 1 April 2027 |
The law does not prescribe a template for a rent increase notice. What matters is being able to prove the tenant received it in time, so put it in writing (email or a letter the tenant acknowledges), state the current rent, the proposed rent and the renewal date, and attach the rental index result. Eviction notices are different: those must go by notary public or registered mail, as covered below.
Watch out: A notice that says "rent will increase by market rates" without a figure invites a dispute. Put the AED amount and the calculator result in the notice itself.
What can landlords do, and what can they not do?
| Landlords can | Landlords cannot |
|---|---|
| Raise the rent at renewal within the Decree 43 band shown by the index | Raise it more than the band allows, or at all when the rent is within 10% of the average |
| Propose other changes to terms (number of cheques, for example) with 90 days' notice | Impose an increase given with less than 90 days' notice, unless the tenant agrees |
| Agree a lower increase, or a decrease, with the tenant (Article 13) | Use "the market went up" as a reason to exceed the index |
| Ask the Rental Disputes Center to set a fair rent if the two sides cannot agree | Evict a tenant at expiry simply to re-let at a higher rent |
| Recover the property at expiry on the four Article 25(2) grounds with 12 months' notarised or registered notice | Rely on a 90-day notice for a sale or own-use eviction |
Eviction at the end of the lease is a separate rule
Rent increases and evictions are often confused. Under Article 25(2) of Law No. 26 of 2007 as amended, a landlord can ask for the property back when the lease ends only if they want to demolish or rebuild with the required permits, the property needs restoration or comprehensive maintenance that cannot be done with the tenant in it (confirmed by a Dubai Municipality report), the owner or a first-degree relative wants to live there and has no other suitable property, or the owner wants to sell. In each case the tenant must be told the reasons at least 12 months before the eviction date, by notary public or registered mail.
Article 25(1) covers eviction before the lease ends, for reasons such as rent not paid within 30 days of a payment notice, unapproved subletting, or illegal use. Those notices also go by notary or registered mail.
What can tenants do if the increase looks wrong?
- Run the calculator yourself for the exact unit and save the result.
- Check the notice date. If it arrived less than 90 days before expiry and you did not agree otherwise, DLD's position is that no increase applies.
- Reply in writing with the calculator result and the figure you accept. Most disagreements end here.
- File at the Rental Disputes Center if it does not. The RDC offers an amicable settlement (conciliation) route first.
How do rental disputes work at the Rental Disputes Center?
The Rental Disputes Center (RDC) is Dubai's tribunal for disputes between landlords and tenants, set up under Decree No. 26 of 2013, and it hears rent increase, renewal and eviction cases, including in free zones. A claim can be filed online at rdc.gov.ae or at a Real Estate Services Trustees Centre. On its conciliation service, the RDC says registration takes one business day, sessions run through its tele-litigation system, and an agreed settlement is signed, approved by a supervising judge and enforceable by the RDC.
Documents the RDC lists include the latest Ejari, Emirates ID (or trade licence for a company), a bank letter or statement showing the claimant's IBAN, and for eviction claims the notarised or registered notice. Everything must be in Arabic or legally translated, and uploaded online.
| RDC fee item | Amount (as listed by the RDC, October 2026) |
|---|---|
| Eviction, lease renewal, rent claim, termination of a running lease | 3.5% of annual rent, minimum AED 500, maximum AED 20,000 |
| Monetary claims | 3.5% of the amount claimed, minimum AED 500, maximum AED 15,000 |
| Process service | AED 100 |
| Knowledge fee and innovation fee | AED 10 each |
| Power of attorney registration (if used) | AED 25 |
| Filing at a Trustees Centre | AED 130 partner fee plus VAT |
| Settled at conciliation | Half of the basic fee refunded |
Example: a renewal dispute on the AED 120,000 Dubai Marina flat above costs 3.5% of AED 120,000, which is AED 4,200, plus AED 100 process service and AED 20 in knowledge and innovation fees: AED 4,320 filed online. If the two sides settle in conciliation, half of the AED 4,200 comes back. Against a AED 12,000 disputed increase, that maths tends to push both sides towards agreeing.
Ejari registration basics for renewals
Ejari is DLD's system for registering tenancy contracts. Article 4 of Law No. 26 of 2007 as amended requires lease contracts, and any amendments to them, to be registered with RERA. A renewed contract with a new rent is registered again.
| Channel | What you need | Total fee listed by DLD |
|---|---|---|
| Dubai REST app or DLD website (Ejari) | Copy of the unified tenancy contract | AED 177.75 (AED 100 registration, AED 10 knowledge, AED 10 innovation, AED 55 service partner fee plus AED 2.75 VAT) |
| Real Estate Trustee Centre | Original unified tenancy contract, applicant's Emirates ID, power of attorney if a representative applies | AED 220 (with a AED 95 partner fee plus VAT) |
The certificate is emailed once a DLD employee approves the request. DLD's FAQ notes that the tenant or the real estate agent usually handles the registration, and that a renewal cannot be registered if earlier years' contracts were never registered. The registered rent is also the figure the rental index calculator should be given.
What changed in 2025 and 2026?
| When | Change | What it means at renewal |
|---|---|---|
| 2 January 2025 | DLD launched the Smart Rental Index with building classification | Averages are now building-specific; the Decree 43 bands are unchanged |
| February 2025 | DLD guidance on notice and the index switchover | No 90-day notice, no increase; the index in force at the renewal date applies |
| 26 August 2026 | Law No. 4 of 2026 on shared housing came into force (Khaleej Times, August 2026) | Shared housing needs permits; DLD will build a separate rental index for shared units, with no launch date announced yet |
| June 2026 | Abu Dhabi Real Estate Centre (ADREC) cut the permitted annual rent increase from 5% to 0% "until further notice" (Aletihad, 3 June 2026) | Abu Dhabi only. Dubai has announced no freeze |
A three-year rent freeze for Dubai was reported as a draft law in June 2021 (Cushman & Wakefield). It never came into force, and as of October 2026 Dubai's rules are still the 2013 decree plus the index. If a client forwards a "Dubai rent freeze" headline, check whether it is about Abu Dhabi.
How should agents explain the rental index to landlords and tenants?
Agents who handle renewals well tend to do the same few things:
- Start 120 days out. That leaves a month to run the calculator, talk to the landlord and send the notice before the 90-day deadline.
- Send the landlord the result, not an opinion. A screenshot of the official calculator ends most "but the building next door is higher" conversations.
- Give the tenant the same document. Nothing builds trust like showing the tenant the number the law allows, in AED.
- Put the agreed rent in Ejari. Then it is the base for next year's calculation.
- Log every message on the client's record. When a renewal turns into a dispute, the notice date and what each side agreed are the evidence.
For brokerages running leasing teams, the renewals that are lost are usually the ones nobody remembered in time. If your workspace uses the property management module in Majlis CRM, it reminds you about tenancy renewals ahead of the 90-day notice date, about rent cheques before they are due, and builds each owner's monthly statement, alongside the leads, WhatsApp chats and follow-ups your team already handles in one place (see follow-up automation and payments and documents). For the wider legal picture, read our guide to Dubai real estate laws in 2026, and for where rents are heading, the Dubai real estate market 2026 forecast.
Frequently asked questions
How much can my landlord increase the rent in Dubai in 2026?
Between 0% and 20% at renewal, depending on how far your rent is below the Dubai rental index average for similar units. Up to 10% below means no increase; more than 40% below allows the maximum 20%. These bands come from Decree No. 43 of 2013 and are unchanged in 2026.
Is the RERA rental calculator the same as the Smart Rental Index?
It is the same official service, upgraded. Since January 2025 the calculator uses DLD's Smart Rental Index, which works out the average for a specific building using its classification, rents in the building and rents in the area, instead of one average per area and property type.
Can a landlord increase rent without 90 days' notice in Dubai?
No, unless the tenant agrees. Article 14 of Law No. 26 of 2007 as amended requires notice at least 90 days before the lease expires, and DLD said in February 2025 that without that notice no increase applies, even if the index allows one.
Can rent go down at renewal?
Yes. Article 13 lets the parties raise or lower the rent at renewal. The index sets no minimum, so a tenant paying above the average can ask for a reduction, and if the parties cannot agree, the Rental Disputes Center can set a fair rent.
Can my landlord evict me to rent the flat to someone else at a higher price?
No. At the end of a lease, Article 25(2) allows eviction only for demolition or rebuilding, major maintenance confirmed by Dubai Municipality, the owner's or a first-degree relative's own use, or sale. The tenant must get at least 12 months' notice by notary public or registered mail.
How much does it cost to file a rent case at the Rental Disputes Center?
For a rent, renewal or eviction claim, 3.5% of the annual rent, with a minimum of AED 500 and a maximum of AED 20,000, plus AED 100 process service and AED 20 in other fees. If the case settles at conciliation, half of the basic fee is refunded.
Does the rental index apply in free zones and DIFC?
Decree No. 43 of 2013 applies to all landlords in Dubai, including special development zones and free zones, and names the DIFC. The Smart Rental Index covers free zones, but press reports in 2026 say it does not cover DIFC, so check DIFC units with the DIFC directly.
This is general information, not legal advice. Rules and fees can change; check the current position with the Dubai Land Department or the Rental Disputes Center, or a qualified lawyer, before acting on a specific case.
Sources
- Decree No. (43) of 2013 Determining Rent Increase for Real Property, Dubai Legislation Portal, issued 18 December 2013.
- Law No. (33) of 2008 Amending Law No. (26) of 2007 Regulating the Relationship between Landlords and Tenants, Dubai Legislation Portal.
- Smart Rental Index announcement, Dubai Land Department, 2 January 2025.
- The Smart Rent Index mitigates inflation in Dubai and enhances market transparency, Dubai Land Department, 16 February 2025.
- Rental Index (e-service), Dubai Land Department, checked October 2026.
- Register / Renew Tenancy Contract, Dubai Land Department, checked October 2026.
- Register Dispute Lawsuit: Amicable Settlement, Rental Disputes Center, checked October 2026.
- New Dubai smart rental index: Landlords must improve property ratings to hike rents, Khaleej Times, 2 January 2025.
- Is your landlord's rent increase in Dubai legal? Check the Smart Index, The Week, 30 August 2026.
- Dubai to introduce rental index for shared housing units under new law, Khaleej Times, 6 August 2026.
- Dubai landlords try to get higher rents on new tenancy contracts before 3-year freeze takes effect, Cushman & Wakefield Core, 24 June 2021.
- ADREC clarifies 0% annual rental increase in Abu Dhabi, Aletihad, 3 June 2026.
- About Rental Disputes Center, Rental Disputes Center, checked October 2026.