Decree 43 of 2013 · Smart Rental Index
Rent Increases in Dubai: Caps, the 90-Day Notice and the Smart Rental Index
The cap is not a flat percentage. It depends on how far your rent sits below the market average for similar units — and no increase at all is permitted while you are within 10% of it.
Direct answer
Decree No. 43 of 2013 caps rent increases against the average rent for similar units under the Rent Index of the Emirate of Dubai, and Article 14 requires at least ninety days' written notice before any change at renewal. Within 10% of the average, no increase is permitted; then 5%, 10%, 15% and 20% as the gap widens.
The Decree applies to all landlords, private or public, across the Emirate — including special development zones and free zones such as the DIFC.
The Smart Rental Index
The Dubai Land Department launched the Smart Rental Index in January 2025 to deliver the rent index in a more granular form. It classifies residential buildings from one to five stars on more than sixty technical and service-related criteria — construction quality, finishes, maintenance standards, location and available services — so the reference average reflects the building, not just the area.
| Current rent vs. market average | Maximum increase at renewal |
|---|---|
| Up to 10% below | 0% — none permitted |
| 11% – 20% below | 5% |
| 21% – 30% below | 10% |
| 31% – 40% below | 15% |
| More than 40% below | 20% |
Two conditions, not one
An increase must sit within the tier and be notified at least ninety days before expiry. Meeting the cap does not cure a missing notice, and giving notice does not authorise an amount above the tier.
If the demand is above the cap
- 1
Save the index data
A dated screenshot of the index for your unit becomes a document in the file.
- 2
Reply in writing at the lawful figure
It removes any suggestion that you refused to renew.
- 3
Keep paying the current rent
Article 31 requires it. If the landlord refuses payment, deposit it with the Centre through Offer and Deposit.
- 4
File if there is no agreement
Article 13 allows the Tribunal to determine a fair rent, applying RERA's increase criteria.
Check the number before you sign
Send the contract and the notice. We calculate the permitted tier and prepare the objection if the demand exceeds it.
Frequently asked questions
How much can my rent be increased?
Nothing while you are within 10% of the market average; then 5% for 11–20% below, 10% for 21–30%, 15% for 31–40%, and 20% beyond 40%.
How much notice is required?
At least ninety days before the contract expires, under Article 14, for any change to the rent or the terms.
What is the Smart Rental Index?
The Dubai Land Department's rent index, launched in January 2025, which classifies buildings from one to five stars across more than sixty criteria so the reference average reflects the specific building.
Does the cap apply in free zones?
Yes. Decree 43 applies to all landlords across the Emirate including special development zones and free zones such as the DIFC.
Can the rent be raised mid-contract?
No. Increases belong at renewal; Article 7 does not permit unilateral variation of a running contract.
What if we cannot agree?
Article 13 lets the Tribunal determine a fair rent, guided by the increase criteria RERA prescribes. Keep paying the existing rent while it is decided.
Can I refuse and stay?
Refusing an unlawful increase is not a ground for eviction. Eviction at expiry requires one of the four Article 25(2) grounds and twelve months' notice.
What documents do I need to object?
The contract and Ejari, the notice and its date of receipt, a dated screenshot of the index, your payment record and a bank letter with your IBAN — in Arabic or certified translation.
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Disclaimer. General information about Dubai tenancy law, not legal advice. Legislation is cited from the Dubai Legislation Portal and procedure from the Rental Disputes Centre as published at the date of writing. Taw-Theeq Corporate Services and Legal Translation LLC is a legal support services provider — not a law firm and not a government authority.