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The Dubai Land Department (DLD) has mandated a 90-day notice for rent increases, validated by the new AI-powered Smart Rental Index. The system aims to regulate rental prices, control inflation, and provide transparency in Dubai’s real estate market.
Key Highlights:
- 90-Day Notice Requirement: Landlords must inform tenants 90 days before lease renewal if they plan to increase rent.
- Smart Rental Index Compliance: Rent adjustments are based on AI-driven analysis of contract values, building classifications, and area averages.
- No Notice, No Increase: If landlords fail to provide notice, they cannot raise rent, regardless of the index findings.
- Index Transition Rules: Contracts renewed before 2025 follow the old index, while those in 2025 must comply with the new system.
- Inflation Control & Market Insights: The AI-powered rental index is designed to curb inflation and help investors make informed decisions.
- Dubai Rental Market Growth: Over 900,000 lease contracts were registered in 2024, an 8% rise from 2023.
- Regular Index Updates: The DLD plans ongoing updates to the rental index to reflect market changes.
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