Decree No. 43 of 2013 — Rent Increase Regulation
Decree No. 43 of 2013 (issued by His Highness Sheikh Mohammed bin Rashid Al Maktoum) is the regulation that limits how much a Dubai landlord can increase rent at the time of lease renewal. The decree ties permitted rent increases to the RERA Rental Index, capping increases at between 0% and 20% depending on how far below market rate the current rent sits.
Decree No. 43 of 2013 (Determining the Increase of Real Property Rent in the Emirate of Dubai)
“The percentage of rent increase shall be determined according to the rental index issued by the Real Estate Regulatory Agency.”
In Depth
Before Decree No. 43 of 2013, Dubai's rent increase rules under the 2007/2008 tenancy laws allowed increases tied to the RERA index but with less precision. The 2013 decree created a clear tiered structure: if your current rent is within 10% of the RERA index median for your area and property type, no increase is permitted. If it is 11–20% below median, a maximum 5% increase applies. If 21–30% below, a maximum 10% increase. If 31–40% below, a maximum 15% increase. If more than 40% below market, a maximum 20% increase is allowed.
These caps apply only at the time of renewal — not mid-tenancy. A landlord cannot increase rent during the term of an active contract unless the contract explicitly provides for this. Even then, the total amount at renewal must comply with the Decree 43 limits.
The RERA Rental Index, accessible via the Dubai REST app, provides the market benchmark. Tenants can enter their property details (location, type, size, floor level) to receive the permitted rent range. If a landlord's proposed new rent exceeds the legally permitted amount, the tenant can reject the increase and, if the landlord persists, file a case at the RDSC to have the increase nullified.
It is important to note that Decree 43 sets a maximum — landlords and tenants are free to agree on a lower increase or none at all. A tenant who has been a good tenant and maintains a good relationship with their landlord can often negotiate well below the legal maximum.
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