Dubai Rental Increase Formula:
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The Dubai Rental Increase Calculator helps tenants and landlords determine the maximum allowable rent increase according to RERA (Real Estate Regulatory Agency) regulations. It calculates the new rent based on the current rent and the applicable percentage increase.
The calculator uses the standard formula for rental increases:
Where:
Explanation: The calculation follows RERA's guidelines for determining the maximum permissible rent increase when renewing a tenancy contract in Dubai.
Details: RERA sets maximum rent increase percentages based on how much the current rent compares to average market rents for similar properties. The calculator helps apply these rules consistently.
Tips: Enter the current rent in AED and the applicable percentage increase (as determined by RERA's rental increase calculator). The result shows the new maximum allowable rent.
Q1: How is the rental increase percentage determined?
A: RERA sets the percentage based on how your current rent compares to average market rents for similar properties in the same area.
Q2: What is the maximum rent increase allowed in Dubai?
A: The maximum increase ranges from 0% to 20%, depending on how much below market rate your current rent is.
Q3: When can a landlord increase the rent?
A: Only at contract renewal time, and only if the current rent is significantly below market rates.
Q4: How do I find the official RERA increase percentage?
A: Use the official RERA Rental Increase Calculator on the Dubai Land Department website.
Q5: Are there exceptions to these rules?
A: Yes, free zones and some special agreements may have different rules. Always check your contract and consult RERA for official guidance.