What the Rental Index is
The Rental Index is the Dubai Land Department's official record of what homes really rent for, built from the tenancy contracts registered in Ejari — not from asking prices. RERA, the regulatory arm of DLD, uses it to fix the average market rent for every kind of property in every area of the emirate, and that average is what decides whether your landlord may raise the rent at renewal, and by how much.
Since January 2025 the index has run on a new engine, the Smart Rental Index. Instead of one annual update for a whole area, it is refreshed continuously, and it rates every residential building individually — so the average your contract is measured against reflects your actual building, not just your neighbourhood.
The Smart Rental Index and building ratings
The Smart Rental Index, launched by DLD on 2 January 2025, gives each residential building a classification based on a broad set of criteria: structural and technical characteristics, the quality of finishes and maintenance, the building's location, and the level of services and facilities — cleanliness, parking management, upkeep. Artificial intelligence combines these with the live Ejari contract data.
The consequence is practical: two towers on the same street no longer share one average. A well-run building earns a higher benchmark; a poorly maintained one cannot ride its neighbourhood's reputation. DLD announced the index covers all residential areas of Dubai, including special development zones and free zones, and that over 900,000 rental contracts were registered in 2024 — the data the averages are built from.
The law behind the cap: Decree 43 of 2013
The maximum increase is not RERA's discretion — it is written in Decree No. 43 of 2013, and it works in bands. The only question that matters is how far your CURRENT rent sits below the average rent for similar units in the index:
| Your current rent vs the index average | Maximum legal increase |
|---|---|
| Up to 10% below the average | No increase allowed |
| 11% to 20% below | Up to 5% |
| 21% to 30% below | Up to 10% |
| 31% to 40% below | Up to 15% |
| More than 40% below | Up to 20% |
Two worked examples. You pay 80,000 AED and the index average for similar units is 100,000 AED: your rent is 20% below the average, so the most your landlord may ask at renewal is 5% — 84,000 AED. You pay 55,000 AED against the same average: that is 45% below, the deepest band, so the cap is 20% — 66,000 AED. And if you pay 95,000 AED against a 100,000 average, you are within 10% of the market and no increase at all is lawful.
Using the calculator, step by step
The calculator is free, public, and takes a minute. It is on the DLD website under eServices, Rental Index, and in the Dubai REST app.
- 1Choose your sector tab: Residential, Commercial, Industrial, Industrial Lands or Staff Accommodation.
- 2Enter your contract end date — the renewal the calculation is for.
- 3Pick the property type: apartment, villa or hotel apartment on the residential tab; offices, shop, showroom or commercial villa on the commercial one.
- 4Choose how to identify the property. The most precise key is your DEWA premise number — the nine-digit number on any DEWA bill — because it points at your exact building. You can also use your Ejari contract number, or simply pick the area and number of bedrooms.
- 5Enter your current annual rent and press Calculate.
The result shows the average market rent for units like yours and the maximum increase, if any, the law permits at your renewal. If it says zero, a demanded increase is simply not enforceable.
What the result is worth in a dispute
The index is not advisory. Under Law 26 of 2007, RERA has the exclusive authority to set rent increase percentages, and the Rental Disputes Centre applies the index's averages when a renewal disagreement reaches it. A landlord demanding more than the band allows has no legal route to collect it; a tenant refusing an increase the index does permit will lose on that point. Knowing the number before you negotiate is the whole game.
Does the cap apply to my first renewal?
Yes. The bands of Decree 43 of 2013 apply at every renewal. Any increase also requires 90 days' written notice before the contract expires under Article 14 of the tenancy law — an increase sprung on you at signing time is not valid.
My building is in a free zone. Does the index still bind my landlord?
Yes. Article 2 of Decree 43 of 2013 applies it to all landlords in the emirate, expressly including special development zones and free zones such as the DIFC.
Where do I find my DEWA premise number?
On any DEWA bill, near the account details — it is a nine-digit number identifying the physical premises. Searching the index with it gives the most building-specific answer.
Does the index cover offices and warehouses too?
Yes. The calculator has separate tabs for commercial, industrial, industrial land and staff accommodation, each with its own property types and areas.
This article is general information, not legal or financial advice. Rules change — confirm your own position with a qualified professional before deciding.
