When a lease is renewed in Dubai, the landlord can raise the rent only up to a cap. Decree No. 43 of 2013 sets the cap by comparing your rent with the average market rent for similar units.
The bands
| Your rent compared with the market average | Maximum increase |
|---|---|
| Less than 10% below (or above the average) | None |
| 11% to 20% below | 5% |
| 21% to 30% below | 10% |
| 31% to 40% below | 15% |
| More than 40% below | 20% |
(Article 1.) The decree leaves small gaps between bands, such as between 10% and 11%. We treat anything above 10% and up to 20% as the 5% band, and the same for the higher bands.
Who it covers
All landlords in Dubai, public and private, including special development areas and free zones such as the Dubai International Financial Centre (Article 2).
Where the average comes from
The average comes from the Rent Index approved by the Real Estate Regulatory Agency (Article 3). The Dubai Land Department offers it as the Rental Index e-service. Its “Smart Rental Index”, launched in January 2025, uses the same increase bands, according to its announcement.
Example
Your rent is AED 80,000 a year and the index says similar units average AED 100,000.
- Your rent is 20% below the average, in the 11% to 20% band
- Maximum increase: 5%, which is AED 4,000
- New rent: up to AED 84,000
At AED 100,000 you would be at the average, so no increase is allowed.
Things to check
- The cap applies when the lease is renewed, not during a lease.
- A rent change needs written notice at least 90 days before the lease ends, unless agreed otherwise (Law No. 26 of 2007, Article 14, as amended by Law No. 33 of 2008).
- There is no two-year freeze any more: Law No. 33 of 2008 replaced the 2007 Article 9 that had one.
- If you cannot agree, the Rent Disputes Settlement Centre can set a fair rent (Article 13).
- Use the current Rental Index figure, not an old one.
Work out your maximum, or check your landlord’s figure, with the RERA rent increase calculator.
Official sources: Dubai Land Department Rental Index · Dubai Land Department Tenancy Guide (PDF)
Checked against the official text of Decree No. 43 of 2013 and Law No. 26 of 2007 (as amended) on 18 October 2026.
Work out your own figure
Enter your own numbers to see the result and the working.
Open the calculatorarrow_forwardThis guide is general information, not legal advice. Check your own case with a qualified adviser. See our Disclaimer.
