Questions & Answers
A new owner wants to increase the rent beyond RERA guidelines. What should I do?
As'salaam Alaikum,
Good Morning!
I live in Dubai and have rented an apartment since November 14, 2022, which I renewed on November 13, 2023, for a year at an amount of 41,800 AED (4 cheques).
Three to four months ago, the owner sold the apartment to a new person, and I had to change 2 payment cheques to the name of the new owner, one of which has already been encashed.
Now, as the renewal date (November 13) approaches, the new owner is asking for a rent increase of 5,000 AED.
I live in Dubai Silicon Oasis, and according to the RERA rental index, the maximum rent increase is 2,090 AED, which I informed the new owner. However, the new owner insists that, according to RERA, they can increase the rent by 5,000 AED.
I have researched extensively but found no information indicating that a new owner can increase the rent by this amount. Could you please clarify if the new owner can increase the rent by 5,000 AED?
How should I proceed if the new owner goes against RERA guidelines?
Wa'likom Assalam, dear Questioner,
No, he cannot increase the rent as he wishes. He must follow RERA laws. We can file a rental dispute with the RDC.
Please contact our senior legal consultant Mr. Muhammad Abdullah on WhatsApp for further details.
Dear Questioner,
Thanks for your inquiry!
Regarding the above, we would like to inform you that, by following these steps, you can address the situation effectively and ensure compliance with Dubai's rental laws.
- Rent Increase Limitation:
RERA guidelines for Dubai Silicon Oasis indicate a maximum rent increase of 5% to 7% based on the current rent and market rates.
- Owner's Claim:
The new owner's request for a 5000 AED increase exceeds these RERA guidelines.
- Verification and Communication:
Verify RERA's current guidelines directly from their official sources. Clearly communicate with the new owner, providing them with the correct information and citing RERA guidelines.
- Seek Resolution:
If the owner persists in requesting an excessive increase, consider disputing this through RERA's dispute resolution mechanisms.
- Legal Assistance:
Seek legal advice if necessary to ensure your rights as a tenant are protected under Dubai's rental regulations.
I hope this helps clarify your situation. If you have any more questions or need further assistance, feel free to contact us via phone or email.
Greetings,
Dear Questioner,
The new owner must notify you of the increase at least 90 days before the end of the contract.
If he does so and does not agree to reduce the amount, you can file a lawsuit in court to force him to adhere to the RERA index
If anything else is required, don’t hesitate to contact us via email or call our offices in Dubai or Sharjah.
Jasim Al Haddad Law Firm
Legal Counsel and Consultations
There is no rule that the new owner can increase the rent beyond the RERA Index.
If he insists you pay more than the index, you can prepare a defense. We will let you know the procedures in detail.
Kindly share your WhatsApp number to discuss this further.
Wa alaikum assalam,
Based on the information provided and in accordance with RERA guidelines in Dubai, the maximum increase in rent that can be implemented by the new owner is typically determined by the RERA rental index.
As you mentioned, the maximum increase according to the RERA rental index for Dubai Silicon Oasis is 2090 AED.
If the new owner insists on a rent increase of 5000 AED, which exceeds the RERA guidelines, you may consider taking the following steps:
1. Communicate Clearly:
Politely communicate with the new owner, referencing the RERA guidelines and the specific increase allowed for your area according to the RERA rental index.
2. Seek Mediation:
If you are unable to reach an agreement with the owner, consider involving a mediator or a legal advisor to help clarify the situation and resolve the dispute.
3. File a Complaint:
If the new owner continues to insist on an unlawful rent increase, you can file a complaint with RERA to seek their intervention and resolve the matter according to the established guidelines.
It's essential to maintain open communication, adhere to the established regulations, and seek assistance from relevant authorities to address any discrepancies in rent increase demands by the new owner.
