Featured answer
Under Decree No. 43 of 2013, there is no rent increase if the current rent is up to 10% below the average comparable rent. The maximum increase is 5% if the current rent is 11% - 20% below the benchmark, 10% if 21% - 30% below, 15% if 31% - 40% below, and 20% if more than 40% below. In practice, users now check this through DLD's Rental Index / Smart Rental Index service.
What the RERA Rental Index actually does
The index does two jobs. First, it gives the average rent of similar units in the relevant market segment. Second, it acts as the benchmark for Decree No. 43 of 2013, which caps how much rent can increase on renewal. DLD's current service states that the tool calculates both the rental increase and the average rent in the market by using the contract expiry date, property type, area, rooms, and current annual rent.
Why 2026 is not the same as old rent-index years
On 2 January 2025, Dubai Land Department launched the Smart Rental Index 2025. DLD said the new model uses an advanced building classification system and weighs technical and structural characteristics, quality of finishes and maintenance, location, and service and facility quality including cleanliness, maintenance, and parking management. The practical meaning for landlords and tenants is that the benchmark is no longer just a broad area average in the old sense. Building quality and condition matter more than before.
Decree 43 table: the only increase bands that matter
This table comes directly from the official tenancy guide's reproduction of Decree No. 43 of 2013.
| Difference Vs Average | Maximum Increase | What It Means |
|---|---|---|
| 0% to 10% below average comparable rent | 0% | No increase. |
| 11% to 20% below average | 5% | Limited increase. |
| 21% to 30% below average | 10% | Moderate increase. |
| 31% to 40% below average | 15% | Higher increase allowed. |
| More than 40% below average | 20% | Highest band under the decree. |
Step-by-step: how to calculate the legal increase
- 1
Check the contract expiry date
The official DLD tool asks for the contract end date because the inquiry is renewal-focused.
- 2
Open the official DLD Rental Index tool
Use the DLD website or Dubai REST App rather than a third-party calculator.
- 3
Enter property type, area, room count, and current annual rent
The benchmark only works if the unit profile is matched correctly.
- 4
Read the average market rent returned by the tool
This is the benchmark for your comparable-rent calculation.
- 5
Measure how far below the benchmark your current rent is
Use the Decree 43 table to identify whether the maximum increase is 0%, 5%, 10%, 15%, or 20%.
- 6
Check the 90-day notice rule separately
Even if the index allows an increase, Article 14 in the tenancy law framework still requires timely notice unless the parties agreed otherwise.
Worked example
The official DLD tenancy guide gives a worked example: if the average rent in the official index is AED 80,000 and the current contract rent is AED 60,000, the rent is 25% below the benchmark. That places it in the 21% - 30% band, allowing a 10% increase. The new rent becomes AED 66,000.
Fees
- DLD's public Rental Index service is an information/calculation tool. The public service page does not state a user fee for checking the index.
- The real financial issue is not the lookup cost but the rent increase that may or may not be allowed.
Common mistakes
- Using asking rents from listing portals instead of the official DLD benchmark.
- Ignoring the 90-day notice rule and focusing only on the calculator result.
- Choosing the wrong property type or room count in the official tool.
- Assuming the Smart Rental Index means landlords can bypass Decree 43. It does not.
- Treating area-level hearsay as stronger than the official result returned by DLD or Dubai REST.
Official links
- DLD Rental Index
Official calculator and benchmark service.
- Smart Rental Index 2025 announcement
Explains the updated index methodology.
- Official tenancy guide (Decree 43 + 90-day notice rule)
Contains the actual legal increase table and notice rule.
Need help reading the result?
If the official DLD result and the landlord's position do not line up, a property lawyer or rental-disputes specialist can review the contract timing, the notice trail, and the comparable-rent logic before a dispute escalates. This page is informational only and is not legal advice.
References
- DLD: https://dubailand.gov.ae/en/eservices/rental-index/?r=1Official rental index and calculator service.
- DLD: https://dubailand.gov.ae/en/news-media/smart-rental-index-announcementOfficial Smart Rental Index 2025 announcement and methodology summary.
- DLD / Legal Affairs: https://dubailand.gov.ae/media/051bem5a/tenancyguideen.pdfOfficial tenancy guide containing Decree No. 43 of 2013 and 90-day notice rule.
Informational only. This page is not legal advice. Use the live DLD/RERA tools and official tenancy documentation for the operative result on your contract date.