Dreaming of renting an apartment in Dubai? You’re at the right place! Dubai isn’t just a city—it’s an emotion. With its tax-free lifestyle, numerous properties, iconic skyscrapers, and secure environment, Dubai attracts thousands of new residents every year.

People are exploring Dubai real estate for rent or investment purposes. Whether you are searching for a cozy studio or dreaming of a luxurious villa, Dubai has something for everyone. Rentals in Dubai are not only about monthly rental payments. There are certain costs associated with it, like service charges, maintenance charges, DLD fees, and more.

To effectively manage your budget and avoid any hidden costs, understanding the rent costs in Dubai is important.

What’s Included?

Well, what’s included depends on the property’s owner and type. 

• Basic Rent of the Property

It is the core amount that you need to pay to acquire the property. Basic rent of the property represents the ticket and the right to live there.

Note* Utilities such as water and electricity are sometimes not included in this!

• Utilities

Some communities in Dubai, or rental costs in Dubai, include basic utilities such as electricity and water in the basic rent. However, that’s not always true. Hence, confirming the same with your landlord is a better idea.

• Maintenance Charges

In general, the maintenance charges are covered by the landlord. Maintenance costs are associated with the common building areas, such as elevators, lobbies, and any recreational spaces. On the other hand, in-house maintenance costs include plumbing, electrical repairs, or any other needs to be confirmed by the landlord.

• Additional Costs

In addition to the above costs, it’s important to note the additional costs that you need to pay if you are looking for apartments for rent in Dubai.

Below are some of the hidden costs that you are likely to pay before renting an apartment in Dubai:

1. Cost of Moving

The cost of hiring movers and packers in Dubai depends on 3 factors:

• The size of your house

• The distance to your house

• What level of service do you require?

For your understanding, here’s a rough estimate. Have a look!

• For a studio apartment – AED 1000 to AED 1500

• For a 1 or 2-BR apartment – AED 1500 to AED 2500

The above costs are mentioned to give you a rough idea. The actual cost of movers and packers depends on your specific requirements and the company you choose. Before choosing the best packer and mover, receive quotes from various companies and then decide on the best one!

Note* Hiring the top movers and packers is always advisable if you don’t want to destroy your furniture or other goods.

2. Ejari Registration

Ejari Registration was introduced by RERA (Real Estate Regulatory Authority) for easy regulation of the Dubai rental market. It is an online registration system that protects the rights of both the tenants and the landlords, ensuring transparency at every step.

Now, you must be thinking about the fees and the documents required for Ejari registration. Well, have a look!

The Ejari registration fee is AED 206 plus VAT. And, the renewal fees are AED 120.

The required documents for Ejari registration are:

• Original Tenancy Contract (Signed by both parties)

• Emirates ID & passport, and visa copies of the tenant

• A valid copy of the landlord’s passport (self-attested)

• A valid copy of the title deed provided by the landlord.

Note* some of the tips for a smooth Ejari registration process are:

• The Ejari contract must be under the landlord’s name.

• If the landlord is unavailable to sign the documents, you need to provide high-quality scans of the required documents.

• Locate the DEWA premise number. You can find this number outside your apartment’s front door or next to the garage in villas.

3. DEWA Deposit

For taking advantage of electricity and water services, the DEWA deposit is important. Generally, the DEWA Deposit is a security deposit that a tenant needs to deposit before renting an apartment in Dubai. The main purpose of this deposit is to safeguard against any unpaid bills or outstanding charges.

This deposit depends on the rented property

• The deposit amount is AED 4,000 for villas

• The deposit amount is AED 2,000 for apartments

Note* The DEWA deposit is refundable when you move out of the property.

4. Security Deposit

As a tenant, you need to pay a security deposit to the landlord. For the unfinished properties, it is 5%, and for the furnished ones, it is 10% of the annual rent.

You can get the refund for this deposit at the end of the tenancy contract. On the condition that there are no damages to the property except normal wear and tear.

5. Agency Fees

In Dubai, rents rise faster than salaries! Hiring a real estate agent to find a rental property in Dubai requires an agency fee, around 5% of the annual rent.

Note* Always get in touch with reputable real estate agents in Dubai

6. Housing Fees

It refers to the fees that both the landlord and the property owner need to pay. This fee is collected monthly by the DEWA for the services provided by the Dubai Municipality, which include Public parks and amenities, Food and security, cleanliness, and waste management.

The owner of the property needs to pay 0.5 of his total property value, whereas the tenant needs to pay 5% of the annual rent. The DEWA deposit is required to access electricity and water services. It is a security deposit paid by tenants when renting an apartment. Its main purpose is to cover any unpaid bills or outstanding charges.

This deposit depends on the rented property

• The deposit amount is AED 4,000 for villas

• The deposit amount is AED 2,000 for apartments

Note* The DEWA deposit is refundable when you move out of the property.

Now comes the point;

When, Where, and What to Rent in Dubai

It’s always recommended to start finding a property 2 months before moving into your dream home.

Are you already stuck in the given timeframe of 2 months? Then, it’s time to think about the type of property and its location. You can find numerous communities. You can look at our area guides and understand them better. 

Once you select the community, you need to finalize the property type. If you are a newbie, you can get in touch with the best real estate companies or agents in the particular community.

The real estate agents in Dubai can help you navigate the entire market with ease. You can choose between apartments, villas, townhouses, and penthouses; each equipped with different yet modern amenities.

If you are an individual looking for apartments for rent, consider a studio or 1-BH apartment. On the other hand, if you want to live with your kids and family, you can consider 2-BR, 3-BR apartments, or even villas or penthouses.

Once you find a perfect home, you can make an offer to the landlord of that particular property.

Tips for the Tenants

Before renting an apartment or villa in Dubai, tenants need to follow some tips, such as:

• Before making an offer and signing the rental agreement, clear your confusion with the landlord related to rental costs in Dubai to avoid any hassle.

• Review the tenancy contract 2 times or more to avoid any further misunderstandings.

• Be prepared for the costs to avoid any confusion.

• Agency fees and other costs are negotiable. It’s always better to clear any misunderstanding with the landlord.

This blog will help you easily understand rental costs in Dubai and then make the decisions accordingly.

Tips for the Landlords

Being a landlord in Dubai can be a smart move to generate income. The city’s continuous expansion and influx of people worldwide are clear indicators that this city has something special for everyone.

By following these tips, you can ensure that your property retains its value and contributes to your financial success as a landlord.

• Maintain the first impression of your property as noteworthy

• Use the RERA Rental Index to set the right rent price

• Monitor potential tenants carefully, as finding the right tenant for your property is an important step for a successful rental

• Maintain a friendly and clear tone while giving answers to tenants’ questions and queries

• Instead of settling for a one-year contract, go for long-term leasing by encouraging tenants

• Make major renovations to boost your property’s value and aesthetic appeal

• Stay informed about the latest dynamics and trends in the Dubai real estate market

By following this guidance, you will be able to understand rental costs in Dubai and make well-informed, successful landlord decisions.

Final Words

This blog will help you easily understand rental costs in Dubai and then make the decisions accordingly. By gaining clarity on the costs, you can say goodbye to unexpected losses, and both landlords and tenants can enjoy a smooth journey. 

Looking for a new property in Dubai for rent or to live in? HJ Real Estates has got you covered! Stay in touch with the best real estate agents in Dubai and get the best property!