If you own a villa in Dubai and want to raise the rent to align with current market rates, there are regulations to follow. Rent increases are governed by Decree No. 43 of 2013 which links the increase to the average rent of similar properties in the area.

The allowable rent increase during lease renewal depends on how much below the average rent your property is:

• No increase if the rent is up to 10% below the average.

• 5% increase if the rent is 11% to 20% below the average.

• 10% increase if the rent is 21% to 30% below the average.

• 15% increase if the rent is 31% to 40% below the average.

• 20% increase if the rent is more than 40% below the average.

The Dubai Rent Index managed by RERA (Real Estate Regulatory Agency) determines the average rent values. Rent increases must align with this index and landlords are required to give tenants at least 90 days' written notice before changing rent terms.

If you and your tenant can't agree on the new rent, the Rental Dispute Centre can step in to resolve the issue based on RERA's guidelines.