Rent Increase Via Rental Valuation Certificate

Landlords in Dubai can increase rent, above the RERA Calculator, in cases where they have obtained a Property Valuation Certificate, issued by the Dubai Land Department.

This Certificate, in turn, can be issued on the basis of Landlord’s proof that the current market value of their property is above that reflected in the RERA Calculator.

Notably, in all cases landlords can only increase rent in line with the allowed percentage of rental increase. Which ranges from 5% to a maximum of 20%.

As per Dubai Decree №43 of 2013 on Rent Increase, and Article 1, in particular.

Noteworthy, for the landlord to increase rent, using the Property Valuation Certificate, still requires: 1) the proper legal notice and 2) tenant’s approval.

In the event the tenant does not agree to the new property value, the Landlord must file a case with the Dubai Rental Dispute Center or RDC, to confirm the new rent, on the basis of the Property Valuation Certificate.

In other words, obtaining the Property Valuation Certificate does not automatically lead to rent increase.

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