RERA Calculator: How to use RERA rent Calculator Dubai

You can visit the Dubai Land Department’s official website or use the Dubai Rest App to use the RERA rent calculator to explore rent prices of similar properties in a specific area in Dubai. Upon visiting the mentioned site or app, open the “inquiry about the rental index” option and click on “Access The Services.” Now, choose your property type and add all relevant details such as the type of property, size, location, number of bedrooms, contract end date, etc. Now, click on the “Calculate” option to see your results.

RERA Dubai Calculator is an online tool that is used by real estate buyers, sellers and professionals for accurate property valuation and transparency in real estate transactions. Dubai property rental calculator informs about cost estimation for transactions and allows stakeholders to make informed decisions.  

Dubai’s Real Estate Market And The Role Of RERA Dubai Calculator:

The real estate sector of Dubai has seen unprecedented growth in recent years. People around the globe are traveling to Dubai for various purposes. It has led to the development of new real estate projects and has also proliferated the rental market in the metropolitan area. Many people who visit Dubai choose rental properties mainly because of credit issues or financial constraints. Given this, Dubai is observing a significant increase in rental properties. The available data from 2019 to July 2023 accentuates a 43.5% rise in the tenancy contracts in Dubai. 

Considering this, it becomes essential to help people find the average rental values of different properties. In order to facilitate tenants and landlords, the Real Estate Regulatory Authority (RERA) has established a rental increase calculator to find out the rental value of a property and determine whether a rental increase is allowed for certain properties or not. RERA rental index calculator establishes fair rental prices based on market insights and helps prevent disputes between tenants and landlords.

What Is The Real Estate Regulatory Agency (RERA)?

The Real Estate Regulatory Authority is a government body established to regulate the real estate market in Dubai. This regulatory authority was launched in 2007 by His Highness Sheikh Mohammed Bin Rashid Al Maktoum, the ruler of Dubai, Vice President and Prime Minister of the UAE. RERA is basically a regulatory authority for the real estate market in Dubai.

It is a unit of the Dubai Land Department (DLD). RERA sets rules, regulations, and standards to govern different aspects of the property sector, such as property development, sales, property management, etc. This agency also strives to protect the rights of individuals involved in real estate transactions.

Core Responsibilities Of RERA

This authority is authorized to regulate trust accounts of real estate developers and issue licenses to real estate agencies in Dubai. It also registers and regulates lease agreements, supervises property-related advertisements, and informs people about regulatory frameworks related to buying and renting real estate. 

What Is RERA Calculator? 

The Real Estate Regulatory Agency is a branch of DLD that formulates laws to govern the property market in Dubai. Along with that, it also regulates tenancy contracts between landlords and tenants. This agency has also developed the RERA increase rent calculator, which assists landlords and tenants in finding whether a proposed rental increase is allowed.

People who want to rent a property or renew a rental contract can find the average annual rental index from this calculator to ensure that the rental value of a specified property remains within the established range by the RERA. 

The RERA calculator mainly assists tenants and landlords in determining the rental value and whether the proposed rental value is permissible within Dubai laws. Primarily, it is an online mechanism that helps people make well-informed decisions related to rental properties in Dubai.

In simple terms, The RERA Rent Calculator Dubai is an online tool or mechanism that has been designed to assist landlords and tenants in determining the fair rental values of properties. This initiative ensures real estate transactions are transparent and neither party is in a position to exploit the other one. So, RERA Calculator online reduces the possibility of disputes by ensuring fairness and transparency and assisting both parties in making informed decisions.

How To Calculate Rental Value?

You can find the rental value of a specific property through this online tool in just four steps. Firstly, you need to gather all the necessary information. Secondly, access the RERA Calculator Dubai via the Dubai Rest App or the Dubai Land Department’s official website. In the third step, you are supposed to add or input all the asked details related to a property, and in the fourth step, you will get and review your results.

You may need the following details in order to find out the rental value of a specific property in Dubai 

• Property-related details such as residential, commercial, or industrial property 
• The location of a specific property or main area where it is located 
• Ownership Status (Freehold property or not) 
• Property types like Apartment or villas 
• Current annual rental amount 
• Current contract expiry 
• Total number of bedrooms

Gather all the above-mentioned information or property-related details. Following that, you may visit the Dubai Land Department website or log in to the Dubai REST app. Then, proceed to the section called Inquiry about the rental index. Now, you have to add the requested detail. You also need to input your deed certificate and then click on the “Calculate” button. Now, you can see typical rentals in the neighborhood of your added property.

Make sure you have access to all the required information when using the rera calculator to ensure you get the exact rental value of a specific property. After uploading all the details, you will learn about the average rent in your area for specific properties and also learn whether you are eligible for a rental increase.

How Does the RERA Rental Increase Calculator Work In Dubai, UAE?

Many people ask, “What are rera rules in Dubai?” It is imperative to know about rera rules in Dubai to find out the average rental value of a property. In relation to this matter, several factors, such as property type, location of the property, number of apartments or rooms, and many others, may influence annual rental increases. Rental values are updated annually. 

The increase will not be applicable if the rent is 10% lower than the estimated market value.

Up to 5% rent can be increased if the rent is 10 to 20% lower than the market value.

If the rent is 20 to 30% less than the estimated market value, then around 10% rent can be increased.

Up to 15% rent can be added if the rental value is 31 to 40% less than the market value.

The landlord may add up to 20% if the rent is 40% less than the estimated market value.

You can only increase the rent of a specific property if the current rent is 10% to 20% below the market value. If the current rent is below 10% of the market value, you cannot increase the rental value of a property.

RERA Index Calculator Benefits: 

Improved Decision Making 

Users now can get valuable information related to property that enables them to make informed decisions related to rental properties. People who seek rental properties are advised to use this parameter during lease contract negotiations to avoid any disturbance about rental value.

Facilitates Fact-Checking 

It is an objective tool that is used to determine the rental increase of rental properties in Dubai. It makes real estate transactions transparent and allows tenants to confirm the value of rent by checking property-related facts.

Facilitates Financial Planning

This procedure informs about the estimated cost and rental value of a property, allowing individuals to evaluate their financial feasibility for real estate ventures based on this available data. In short, this online tool assists people in determining the viability of an investment and facilitating financial planning.

Provides Rationale For Negotiation Terms

This calculator serves as a valuable negotiation tool. Both tenants and landlords can justify their points based on proposed rates. It means both can present data-backed arguments for why they believe a certain rental rate is fair. They have market insights and regulatory guidelines to influence rental pricing decisions. This approach fosters the idea of transparent and constructive negotiations.

Lowers The Risk Of Disputes

The absence of an explicit reference may lead to disputes between tenants and landlords. The RERA calculator provides a clear reference to avoid any hassle. The average rent price of specific properties in a particular area and guidance related to rent increases make everything clear. Furthermore, both parties can establish their arguments based on the obtained data to meet their desired ends.

When Is a Rent Increase Allowed? 

If the current rent is 10% to 20% below the average market value, then the property owner is allowed to increase the rent of that particular property by up to 5%. If your property is eligible for a rental increase, your landlord will send you a written notarized notice 90 days before the contract renewal. He may use various means to deliver this notice. If a landlord does not deliver a notarized document 90 days before the contract renewal, a tenant is not obliged to accept the rental increase.

RERA Index Rent Calculator RESET 2024:

On March 1, 2024, the Real Estate Regulatory Authority (RERA) launched an improved version of the rent increase calculator to offer more sophisticated results. This effort was made to make the rent increase system more fair, efficient, and transparent. This update is intended to extend a more explicit picture of the rental value of a particular property for clear and better negotiations.

The Bottom Line:

The RERA Rental Index Calculator Dubai is a tool used for better decision-making and lease negotiations. It is an online calculator or tool that allows landlords or tenants to determine the rental value of a specified property. Based on the obtained information, they can finalize a lease contract. Dubai RERA calculator has made rental property agreements quite smooth and easy.

It is deemed quite beneficial in decision-making and implementing equitable increases in rental value. One can use the DLD website or the Dubai REST app to calculate rental estimated rental value by adding relevant information. It is an online tool that gives you access to your desired information and allows you to determine the rental value of your property without visiting any public office.

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