Rent Increase Formula:
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The CPI (Consumer Price Index) rent increase in UAE is calculated based on inflation rates, subject to RERA (Real Estate Regulatory Agency) rules which typically cap the maximum increase at 20% regardless of CPI.
The calculator uses the formula:
Where:
Note: The calculation applies RERA's maximum cap of 20% increase regardless of CPI percentage.
Details: Accurate rent increase calculation helps both landlords and tenants understand their rights and obligations under UAE rental laws, ensuring compliance with RERA regulations.
Tips: Enter current CPI percentage (available from Dubai Statistics Center) and current monthly rent in AED. The calculator will show the permitted rent increase and new rent amount.
Q1: What is the maximum rent increase allowed in UAE?
A: According to RERA rules, the maximum rent increase is capped at 20% regardless of CPI percentage.
Q2: Where can I find the current CPI for Dubai?
A: The CPI is published by Dubai Statistics Center and is available on their official website.
Q3: How often can rent be increased in UAE?
A: Rent can typically be increased only at the time of contract renewal, not during the contract period.
Q4: Are there exceptions to the rent increase cap?
A: The 20% cap applies to most residential properties, but there may be different rules for commercial properties.
Q5: What if my landlord tries to increase rent beyond the allowed amount?
A: You can file a complaint with RERA's Rental Dispute Center for resolution.