Rent is sometimes the largest expenditure for any household, therefore tenants want to spend as little as possible to get the greatest value for their money. So, how can you tell if you’re overpaying or underpaying your rent? That is where the RERA Rental Increase Calculator comes in. Our guide contains all of the information.
WHAT IS RERA?
For those who are unfamiliar with RERA, it is a division of the Dubai Land Department (DLD) that governs the relationship between a landlord and a tenant. RERA is the governing body for all organizations and persons involved in the real estate sector in Dubai.
RENTAL INCREASE CALCULATOR
The Rental Price Index in Dubai is one important factor for which RERA is accountable. This database records average rental pricing and is updated yearly to provide transparency in rental transactions across Dubai properties.
To make the Rental Price Index more accessible and user-friendly for UAE citizens, RERA launched the ‘Rental Increase Calculator.’ It is known as the RERA calculator, and it assists users in determining the potential rent rise and the average ‘trending’ rent of any area in Dubai.
This web service is free for all Dubai residents and is a useful tool for making educated decisions regarding renting in Dubai.
Consider how the RERA Calculator Dubai 2023 works.
HOW DO I USE THE RERA RENTAL INCREASE CALCULATOR?
If you wish to rent a 1-bedroom flat in Dubai or a bigger property, you may use the RERA calculator. The RERA calculator is simple to use and just requires a few taps on the REST app. The RERA calculator compares the price of your home to the average cost of comparable properties in the area you live in.
- Before you begin, you should be aware of the following information.
- Type of property: residential, commercial, industrial, or staff housing
- Contract expiration date
- Location/area of the property and ownership (if it is a freehold property)
- Type of property (apartment or villa)
- Total number of bedrooms
- Annual rent at the moment
Once you have the information, follow these steps to use the online RERA rent calculator.
- Open the official website of the Dubai Land Department or log into the Dubai REST app.
- “Inquiry about the Rental Index” should be opened.
- Fill in the RERA rent calculator with all the necessary details, including the property type, contract expiration date, certificate number, certificate year, and current annual rent.
- Press the “Calculate” button to obtain your outcome.
The typical rentals in your neighborhood for the type of property you have chosen, as well as your eligibility for a rental increase, will be displayed on the screen when you click the “Calculate” button on the RERA calculator.
The RERA rent calculator’s data can assist you in determining the true worth of the property you are renting, whether you want to move into flats or rent villas in Dubai. Additionally, you’ll determine whether your landlord is overcharging you or not.
APPROPRIATE RENT INCREASE DUE TO DUBAI 2016 RENTAL PRICE INDEX
A landlord may use this framework of price increases in accordance with the most recent price Price Index in Dubai.
- If the yearly rent is currently less than 10% of the market value, the rent cannot be raised.
- The landlord has the authority to raise the rent by up to 5% if it is currently between 11% and 20% below market value.
- The landlord may raise rent by up to 10% if it is currently between 21% and 30% below market value.
- The landlord may raise the rent by up to 15% if it is currently 31% to 40% below market value.
- The landlord may raise the rent by up to 20% if it is now more than 40% below market value.
- If your current rent falls inside the specified range, there won’t be a rental increase.
FAQS REGARDING THE RENT INCREASE CALCULATOR FOR RERA
WHEN IS A RENT INCREASE ALLOWABLE?
According to the guidelines, the landlord must notify the tenant of any increases in rental fees at least 90 days prior to contract renewal. If this criterion is not satisfied, the tenant has the right to refuse the increase.
WHAT ARE SOME CONSIDERATIONS ABOUT THE RENTAL INCREASE IN DUBAI?
When negotiating lease contracts, RERA urges tenants and landlords to utilize the Rental Increase Calculator. Existing and new tenants must do a fast check of the Rental Price Index using the RERA rent calculator before renting properties in Dubai.
LANDLORDS: HOW CAN THE RERA RENTAL INDEX 2023 CALCULATOR BE USED?
Landlords can utilize the RERA calculator to see if they qualify to raise the rents on the housing units they lease. According to the current RERA Tenancy Act, landlords can only request a rental price increase three months before the rental contract expires.
WHAT ARE A TENANT’S RIGHTS IF A LANDLORD FAILS TO COMPLY WITH THE RULES?
As a tenant, keep in mind that if your landlord fails to follow these regulations, you have the right to refuse the rate increase. If the RERA rent calculator indicates that the asking rent is significantly more than the range specified, you can complain to your landlord and request a reduction. If the negotiation fails, you can register a complaint with Dubai’s Rental Dispute Settlement Centre (formerly known as the RERA Rent Committee).
WHAT SHOULD A TENANT THINK ABOUT BEFORE RENTING A PROPERTY?
When it comes to tenant rights in Dubai, the restrictions are severe. To minimize issues, make sure you are aware of the factors to examine when renting a property. Understanding the various RERA forms might also be beneficial.
That’s all there is to it! Everything you need to know about the Dubai rent calculator. We hope you found our RERA Rental Increase Calculator Dubai post useful. Check out our post on Ejari in Dubai to learn about additional regulatory frameworks in Dubai.
