Market Analysis4 April 20265 min read

Is My Dubai Rent Increase Legal? RERA Decree 43 Explained (2026 Update)

Dubai landlords cannot increase rent by whatever they want. RERA Decree No. 43 of 2013 sets strict brackets based on how far below market your rent is. Here is exactly how the rules work — and how to check your number.

Every year in Dubai, tens of thousands of tenants receive rent increase notices from their landlords. Some are legal. Many are not. Under RERA Decree No. 43 of 2013, a landlord's right to increase rent is strictly limited by how far your current rent sits below the RERA Rental Index market rate. This is the law — and understanding it is worth thousands of dirhams per year to any Dubai tenant.

The RERA Rental Index: What It Is

The Dubai Land Department's RERA division publishes a regularly updated Rental Index — a community-by-community, property-size-by-property-size database of market rent ranges. For any given unit, the index provides a market rate range (typically a low, average, and high for that building or area). This is the benchmark landlords must use when proposing a rent increase.

The Maximum Legal Increase Brackets (Decree 43)

Decree No. 43 sets the following maximum annual rent increase brackets: • Current rent is 0–10% below index: NO increase permitted • Current rent is 11–20% below index: Maximum increase of 5% • Current rent is 21–30% below index: Maximum increase of 10% • Current rent is 31–40% below index: Maximum increase of 15% • Current rent is more than 40% below index: Maximum increase of 20% The brackets apply from the CURRENT rent, not the previous year's rent. If your rent is already at or above the index value, your landlord cannot legally increase it — even if inflation is high or they simply want more.

How to Calculate If Your Increase Is Legal

Step 1: Find your community and unit size on the RERA Rental Index (rera.gov.ae or search 'RERA Rental Index Dubai'). Step 2: Note the market rate for your property type and bedrooms. Step 3: Calculate the gap: (Market Rate − Current Rent) ÷ Market Rate × 100 = % below market. Step 4: Match the percentage to the bracket above to find the maximum permitted increase. Step 5: Compare the proposed increase from your landlord to the calculated maximum. If the proposed increase exceeds the permitted bracket, it is not legally enforceable. The Altamimi RERA Calculator (roi.altamimirealestate.com/rera) automates steps 3–5: enter your current rent and the RERA index rate, and it immediately shows the applicable bracket, maximum legal increase amount, and new maximum permitted rent.

What If Your Landlord Ignores the Decree?

If a landlord proposes an illegal increase and the tenant refuses, the landlord cannot evict the tenant for that refusal alone. The legal remedies for tenants: 1. File a complaint with the Dubai Rental Dispute Centre (RDC) — a specialised quasi-judicial body that adjudicates rental disputes at low cost and high speed (most cases resolved within 30 days). 2. The RDC can order the landlord to reduce the rent to the legally permitted level and may award costs against the landlord. 3. RERA registration: the new tenancy contract must reflect the legally permitted rent; refusal to register the contract does not create a valid tenancy extension. Tenants are advised to respond to illegal notice letters in writing by registered mail, clearly citing Decree 43, and to file with the RDC if the landlord proceeds with the illegal amount.

The 12-Month Notice Rule for Eviction

A related and equally important rule: landlords in Dubai must give 12 months' written notice before terminating a tenancy for any reason other than tenant breach (non-payment, property damage, illegal use). This includes selling the property and owner own-use ('moving in'). Notice must be given via registered mail or notary — WhatsApp messages do not qualify. Many tenants receive eviction notices that are invalid simply because they were not served via the correct legal channels or lacked 12 months' lead time.

Investor Perspective: RERA Increases and ROI

For property investors, the same Decree 43 system that protects tenants creates a pricing floor for landlords in below-market leases. If you acquire a tenanted property where the existing rent is 30% below market, you are legally permitted to increase rent by up to 15% per year — a meaningful uplift that accelerates your ROI versus a property with above-market rent already in place (which can receive zero increase). Our ROI Calculator models annual rent escalation scenarios so investors can model these dynamics accurately under realistic RERA-constrained trajectories.

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