Dubai Tenants Face Urgent Choices Amid Rising Rents

Dubai Real Estate News For Investors

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Dubai tenants are facing tough decisions in the coming weeks as they need to decide whether to renew their leases or relocate, prompted by changes in the RERA Rental Index.

This updated index allows landlords to set rents in line with current market rates, leading to expected double-digit rent increases, particularly for apartments. Rent hikes could reach up to 20 percent upon lease renewal, significantly impacting tenants’ budgets.

With the summer break approaching, tenants must make these decisions quickly. The revised index grants landlords greater flexibility, aligning rents with market averages, which complicates the renewal process and increases costs for tenants.

Consequently, they must evaluate whether to accept higher renewal rates or search for new rental properties that might offer more favorable terms.

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