A rent increase notice usually shows up a couple of months before your lease ends, and the number is often a shock. Before you accept it or start packing, know this: in Dubai a landlord can’t just name a figure. There’s a legal cap, an official calculator, and a notice rule, and all three can work in your favour.
This guide explains how the cap works, what changed with the Smart Rental Index, how to check your own numbers, and what to do if your landlord asks for more than the law allows.
Where the Rules Come From
Landlord and tenant relations in Dubai are governed by Law No. 26 of 2007, as amended by Law No. 33 of 2008. The cap on rent increases comes from Decree No. 43 of 2013, which applies to landlords across the emirate, including special development zones, with exceptions such as the DIFC, which has its own leasing law. The Dubai Land Department (DLD) and its regulator, RERA, run the official rental index the decree relies on.
One thing to keep straight from the start: rent can only change when the contract is renewed. A landlord can’t raise it halfway through your lease. It also helps to make sure your contract is registered on Ejari, as registration is mandatory by law and affects your ability to prove your tenancy and bring a claim.
How the Cap Works
Everything comes down to one comparison: your current rent against the average rent for similar units, as shown by the official index. The further below the average you are, the more room your landlord has.
| How far your rent is below the market average | Maximum increase at renewal |
| Up to 10% below | No increase |
| 11% to 20% below | 5% |
| 21% to 30% below | 10% |
| 31% to 40% below | 15% |
| More than 40% below | 20% |
The percentage is applied to what you pay now, not to the market average. And if you’re already paying at or near the average, or above it, no increase is allowed at all.
What the Smart Rental Index Changed
In January 2025 the DLD launched the Smart Rental Index, which replaced the old RERA rental calculator. The old tool was updated once a year and compared you with the average for your area. The new one works at the building level. It draws on registered rental contracts, the quality and classification of the building, and live market data, so a tenant in an older building isn’t measured against the shiny tower next door.
The important part is that the bands in Decree No. 43 of 2013 did not change. It’s still 0%, 5%, 10%, 15%, and 20%. What changed is the benchmark behind them. Your result this year may not match what the old calculator would have given you, and last year’s figure won’t help you.
You can check your own number for free on the DLD website, the Dubai REST app. You’ll need your property type, location, size, and current annual rent. Take a screenshot of the result, because it’s useful evidence if you end up disagreeing with your landlord.
The 90-Day Notice Rule
If your landlord wants more rent, they have to tell you in writing at least 90 days before your contract ends. A few points worth knowing:
- The notice should state the proposed new rent.
- Count the 90 days back from the end date on your tenancy contract.
- If the notice comes late or never comes, no increase can be applied at renewal.
- Email and registered mail both work, though registered mail is harder to argue about.
Don’t ignore a notice, but don’t panic about one either. A late notice simply doesn’t support an increase.
If Your Landlord Asks for More Than the Cap
This happens more than it should, sometimes by mistake and sometimes as a negotiating tactic. Here’s a sensible order of steps.
- Run your details through the Smart Rental Index and save the result
- Check the date on the notice against your contract’s end date
- Reply in writing. Politely refuse the amount above the cap, attach the index result, and refer to Decree No. 43 of 2013
- Offer to renew at the permitted rate. Plenty of landlords back down once they see the number
- If you can’t agree, either side can file a case with the Rental Disputes Centre, which was set up under Decree No. 26 of 2013 and handles these disputes
While this plays out, keep paying your current rent on time, and don’t sign a renewal at a higher figure just to end the pressure. A signed contract is much harder to undo than a disagreement. Keep your Ejari record, the old contract, the notice, your replies, and your payment receipts in one place, because that’s the file you’d need at the centre.
Things Tenants Often Get Wrong
- Rent can go up whenever the landlord likes. It can’t. It only changes at renewal, never during the active lease.
- The cap protects me on any lease. It covers renewals. A new lease, with a new landlord or on a vacant unit, is priced freely at market rates.
- My landlord can end my tenancy if I refuse. Eviction is only allowed on the grounds and with the notice that the tenancy law lists. Turning down an increase above the cap isn’t a shortcut to that. If you receive an eviction notice, get advice quickly.
Renew or Move?
Dubai’s rental market is still busy in 2026, but new supply is giving tenants more choice in parts of the market, and growth has eased in some areas. Renewals are often cheaper than fresh leases because a renewal increase is capped and a new lease isn’t.
Look at what similar units nearby are asking before you decide. If the permitted increase is small, renewing usually makes sense. If comparable places are asking less than your landlord is, that’s useful leverage in a conversation about the renewal and a real alternative if the talk goes nowhere.
Not Sure Your Rent Increase is Lawful? Consult Maaf Legal
If you’ve received a rent increase notice and the number doesn’t look right, speak to Maaf Legal before you reply or sign anything. Our team advises tenants and landlords in Dubai on rent increases, tenancy contracts, notices, and disputes before the Rental Disputes Centre. We’ll check your figures against the index, tell you where you stand, and help you respond. Contact the Maaf Legal team for personalized guidance and support.
Frequently Asked Questions
Can my landlord increase the rent in the middle of my lease?
No. In Dubai, rent can only change when the tenancy contract is renewed. A landlord can’t raise it during the active lease period.
How much notice does my landlord have to give me?
At least 90 days in writing before your contract ends. The notice should state the proposed new rent. If it arrives late or doesn’t arrive at all, no increase can be applied at renewal.
How do I find out the maximum increase my landlord can ask for?
Use the Smart Rental Index on the DLD website or the Dubai REST app. You’ll need your property type, location, size, and current annual rent. The result shows how far your rent is from the average, which tells you whether an increase is allowed and how much. Save a screenshot in case you need it later.
What can I do if my landlord insists on more than the cap?
Reply in writing, refuse the amount above the cap, and attach the index result. Keep paying your current rent on time and don’t sign a renewal at the higher figure. If you can’t reach an agreement, either side can file a case with the Rental Disputes Centre.
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