The rules that decide your yield: the RERA rent index, Ejari and eviction
Buy to let in Dubai and you soon discover the yield is not entirely yours to set. How much you can raise the rent is decided by a government index, not by you; every tenancy has to be registered; and moving a tenant on to sell or occupy the home follows strict, slow rules. None of this is a trap — it is a well-defined system that protects both sides. But knowing it is what turns a theoretical yield into a real one.
The RERA index: you do not set the increase
The most surprising rule for a new landlord is that you cannot simply raise the rent to whatever the market will bear. Increases are governed by the RERA rental index, which compares your current rent to the average for similar homes in your area. If your rent is already close to that average, you cannot raise it at all at renewal; only when it sits meaningfully below the market are increases permitted, and then only in capped steps. The government publishes a calculator that returns the maximum you may charge. It protects sitting tenants from sudden jumps — and it means a below-market tenant is a lasting discount unless you manage renewals deliberately.
How the increase tiers work
The permitted increase rises with the gap between your rent and the market average. The tiers, in broad terms:
| Your rent vs market average | Maximum increase |
|---|---|
| Up to 10% below | No increase |
| 11–20% below | Up to 5% |
| 21–30% below | Up to 10% |
| 31–40% below | Up to 15% |
| More than 40% below | Up to 20% |
Indicative structure based on the long-standing RERA framework; confirm the current tiers and your specific figure with the official RERA rental increase calculator before serving notice.
Ejari: no registration, no standing
Every tenancy in Dubai must be registered through Ejari, the government system that records the lease. It is not a formality to skip: a registered contract is what gives either side standing in a dispute, and it is required for the tenant’s utility connection and, often, for visa matters. As the landlord, an unregistered tenancy leaves you weaker exactly when you need the system to work for you. Register it, keep the record, and treat Ejari as the backbone of a lettable, defensible tenancy rather than red tape.
Eviction: narrow grounds, formal process
You cannot simply ask a paying tenant to leave because you found a better one. Dubai’s tenancy law sets out specific grounds on which a landlord may end a tenancy at its natural end — chiefly to sell the property, to occupy it personally or house a first-degree relative, or to carry out major works or demolition — and each requires twelve months’ notice served formally, through the notary public or registered mail. Separately, a tenant who fails to pay or breaches the contract can be pursued on a faster track. The system is deliberately protective of tenants, and disputes are heard by the Rental Dispute Settlement Centre rather than the ordinary courts. For a landlord, the lesson is to plan any repossession a year ahead and to serve notice correctly the first time.
What this means for your numbers
Put together, these rules make Dubai rental income stable but slow to reprice. You cannot mark a below-market tenant up to the market overnight; you follow the index, in steps, at renewal. That is good for predictability and bad for anyone whose yield model assumed frictionless annual increases. Build your expectations around capped, tiered rises and a tenant you may hold for years, and factor in the year of notice it takes to get vacant possession if you plan to sell with the home empty. Underwrite the income you can actually charge under the index, not the headline the portal advertised.
A landlord’s checklist
Frequently asked
Questions, answered
How much can a landlord raise the rent in Dubai?
Only what the RERA rental index allows, based on how far your current rent sits below the market average. If it is within about 10% of the average, no increase is permitted; the further below, the larger the capped step, up to 20%. The official RERA calculator gives the exact figure.
What is Ejari and is it mandatory?
Ejari is the government system that registers a Dubai tenancy, and yes, it is mandatory. A registered contract gives both sides standing in a dispute and is needed for utilities and often visa matters. Do not let a tenant occupy without it.
How much notice to evict a tenant to sell or move in?
Twelve months, served formally through the notary public or registered mail, on specific grounds such as selling, personal occupation or major works. It is deliberately slow; a paying tenant cannot be removed quickly or informally.
Where are Dubai rental disputes settled?
At the Rental Dispute Settlement Centre, a body dedicated to tenancy matters rather than the ordinary courts. It relies on your documentation — the registered contract, receipts and correctly-served notices — which is why keeping records matters.