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A tenant in Al Barsha pays AED 72,000 a year. The RERA rental index puts the average rent for similar units at AED 96,000. On renewal, what is the highest annual rent the landlord may ask?
Decree No. 43 of 2013 caps renewal increases by how far the current rent sits below the index average (Arts. 1 and 3, in force 12 Oct 2026). Gap: (AED 96,000 - AED 72,000) / AED 96,000 = 25% below, which falls in the 21%-30% band, so the maximum increase is 10%. AED 72,000 x 1.10 = AED 79,200. Moving the rent straight to the index average (AED 96,000) is what the decree prevents; AED 82,800 applies the next band up. Source: Decree No. (43) of 2013, Arts. 1 and 3 (in force 12 Oct 2026).
Thinking the landlord may raise the rent all the way to the index average.
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