Rental Index Formula:
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The UAE Rental Index is a standardized reference used to determine appropriate rental values for properties in different areas of the UAE. It helps maintain fair pricing in the rental market.
The calculator uses the rental index formula:
Where:
Explanation: The equation calculates the final rent by adjusting the index rent based on property-specific factors.
Details: Accurate rent calculation ensures compliance with UAE rental laws, prevents disputes between landlords and tenants, and maintains market stability.
Tips: Enter the index rent in AED/month and the adjustment factor (typically between 0.8 and 1.2). All values must be positive numbers.
Q1: Where can I find the official index rent values?
A: The official rental index values are published by the respective emirate's Real Estate Regulatory Agency (RERA).
Q2: What factors affect the adjustment factor?
A: Property size, location, amenities, condition, and market demand all influence the adjustment factor.
Q3: How often is the rental index updated?
A: Typically annually, but may be updated more frequently in volatile market conditions.
Q4: Is this calculator legally binding?
A: No, this provides an estimate. Official rent disputes should be resolved through RERA's rental dispute committees.
Q5: Can landlords increase rent beyond the index?
A: Rent increases are capped by law and must follow the official rental increase calculator for each emirate.