Dubai rent notices face two tests: the index and the deadline

A rent increase notice does not, by itself, mean a Dubai tenant must pay more. A resident who checked the rental index after receiving a demand for higher rent found that the apartment did not qualify for an increase. The legal guidance published in response by Khaleej Times points to two crucial checks: whether the index permits the increase and whether the landlord gave the required notice.

In that guidance, lawyer Ashish Mehta, founder and managing partner of Ashish Mehta & Associates, explained that landlords can raise rent only where the Real Estate Regulatory Agency’s index allows it. Rera, Dubai’s property regulator, approves the benchmark used to establish average rents for comparable homes. A tenant who cannot resolve a disagreement with a landlord can approach Dubai’s Rental Dispute Centre for a decision.

A landlord’s proposed increase must be permitted by the Rera index, according to Ashish Mehta’s guidance in Khaleej Times.

The gap between your rent and the benchmark

The rules do not give every landlord the same scope to raise prices. Under Dubai’s Decree No. 43 of 2013, the maximum permitted increase depends on how far the existing rent falls below the average for similar properties. Where the rent is up to 10% below that average, no increase is allowed. The comparison is therefore central to assessing a renewal demand, rather than the landlord’s notice alone.

The permitted increases rise in steps as that gap widens. A rent that is 11% to 20% below the average can increase by a maximum of 5%. The cap rises to 10% when the gap is 21% to 30%, and to 15% when it is 31% to 40%. Where the existing rent is more than 40% below the average, the maximum increase is 20%. The benchmark comes from the Rera-approved rental index, rather than an average chosen independently by either party.

Notice periods and the index change

Timing is the second test. The guidance says a landlord seeking an increase must give written notice at least 90 days before renewal. More broadly, Articles 13 and 14 of Dubai’s amended tenancy law allow landlords and tenants to discuss changes to their contract, including rent, when renewing. Either side seeking to change the terms must notify the other at least 90 days before expiry, unless they have agreed otherwise. If negotiations fail, a tribunal can determine the appropriate rent using the relevant criteria.

The Dubai Land Department’s introduction of the Smart Rental Index in 2025 added another consideration for renewals around that change. According to the report, the index provides standardised assessments across residential areas and takes account of factors including contract values and building classification. It was introduced to help stabilise rental prices, limit inflation and improve transparency in the market.

Mehta’s guidance also addresses cases where a landlord gave the required notice and the previous index supported an increase, but the new index did not. In that situation, the renewal date determines the applicable benchmark: the previous index applies to contracts renewed before 2025, while the new index applies to renewals during 2025.

For a tenant challenging a demand, the next step turns on those details: the permitted increase under the applicable index, the notice given and the renewal date. If the landlord and tenant remain at odds, the Rental Dispute Centre is the route identified for resolving the disagreement. Khaleej Times cautioned that the guidance is general information, not legal advice, and recommended seeking formal legal counsel.