Q: Dear Sir/Madam, I obtained the rent evaluation certificate, which indicates that the comparable unit rent is AED 160,000. The tenant is currently paying AED 100,800. I understand that the formula for calculating the percentage increase is as follows: 160,000 - 100,800 = 59,200. Since the difference between the exact value of the comparable unit rent (rental evaluation certificate) and the current rent is nearly 59%, am I permitted to request a 20% increase based on the aforementioned information and the law? I am aware of Decree No. (43) of 2013 regarding the Determination of the Increase in Rent for Properties in the Emirate of Dubai. It does not address my specific question regarding the exact calculation formula, particularly in the case where the rent evaluation certificate is used as a reference.

Q: I am a landlord and trying to increase the villa rent in accordance with the DLD rent evaluation certificate basis. 90 days before the current lease expires, I sent the tenant a registered mail and email along with a rental evaluation certificate asking to increase the rent as per DLD valuation. The evaluation certificate showed an increase of 40% in the current rent. My tenant refused the rent increase according to the DLD evaluation certificate and he told me by phone about 30 days before the end of the rent contract that he will deposit the rent with RERA without any increase in the rent. What are my options?

Q: Dear Sir/Madam, Would you clarify whether the Rent Valuation Certificate supersedes RERA's Index for the rent renewal contract process? My tenancy contract is dated 05.10.2023 for renewal. I agreed to increase the rent according to RERA's Index and sent him the RERA index calculation certificate, which shows a 5% increase. However, he replied that, according to Law 43 of the year 2013, the rental index is not the sole reference for the benchmark rent that you have shared. According to the law, he can request a rent evaluation certificate for this apartment, which is currently 20% higher than my rent. Therefore, the rent will now have to be according to the Rent Valuation Certificate. I proposed to him to increase the rent by 7.5% instead of the 5% calculated by the RERA calculator. However, he insists on a 20% increase.

مقال في صورة مقابلة يتناول موضوع العقارات السكنية المُباعة بالتجزئة فيما يتعلق بالمسؤولية عن صيانة الممتلكات العقارية وتداعيات التخلُّف عن سداد الإيجار في الإمارات العربية المتحدة. مقتبس من المدونة الصوتية القانونية للمحامية لودميلا يامالوفا، مؤسسة مشروع لوجيكال مع لايلو.

This Decree determines the maximum percentage of rent increase for real property in the Emirate of Dubai when renewing lease contracts.

The provisions of this Law apply to real property leased out in the Emirate of Dubai, including vacant and agricultural lands, but excluding hotel establishments and real property provided by natural or legal persons as accommodation to their employees at no charge.