Explain the method of calculating the increase in rental properties in the Emirate of Dubai by Decree No.

2/2011
The relationship between the average rental value of the average rent allowance and the proportion of the planned increase in the rental value

Proportion of the planned increase in the rental value

Average Rent allowance According to the rental index

Current value of the rent in the applicant's contract

There is no increase in rent

Equal to the average rental

There is no increase in rent

Equal to 25% of the average rent From 26% to 35% from the average rent From 36% to 45% from the average rent From 46% to 55% for the average rent Of 56% and higher than the average rent

5% Increase in rent

10% Increase in rent

15% Increase in rent

20% Increase in rent

Example:
The method of calculating the increase in rental properties in the Emirate of Dubai, according to the decree No. (2/2011): * Average rent in the rental index = 100.000 DHS *Current rent in the tenancy contract = 60.000 DHS * Calculating the percentage of rental value decline from the average rent in the rental index = 100.000 60.000 x 100 100000 *Decrease the rental value of the average rent in the rental index = 40%

When you return to the increase of percentages mentioned in the decree if the rent value was 36% to 45% less than the average of rental index , which allows an increase of 10% Increase in rent = 60.000 x 10% (= 6000 DHS ) Value of the new rent increase ( 60.000 + 6.000 = 66.000 DHS )