Letting property in Dubai means transparent rules, a large tenant pool drawn from the city's resident population, and clear regulation through RERA. It also means the Ejari system, rent-increase limits and a market that moves with the seasons. Augusta Properties, part of Augusta Properties Brokerage LLC (RERA licence 52101), manages the process for owners who live abroad.
Tenant demand in Dubai
Dubai's rental demand comes from its resident population: most are expats, and most of them rent. RERA's rules keep the market structured and disputes rare. What a given property earns as a let is shaped by its entry price per square foot, its service charge, how long it typically sits vacant between tenants, and whether it is offered furnished. Dubai charges no income tax on rental income; what that means for your position at home is a question for your tax adviser there.
RERA regulation and the legal framework
The Real Estate Regulatory Agency (RERA), part of the Dubai Land Department, regulates all rental activity in Dubai. Every tenancy contract must be registered with Ejari, the official online rental registration system. Without Ejari registration a tenancy contract is not legally valid and the tenant cannot obtain a DEWA connection (water and electricity) in their own name.
RERA also determines maximum rent increases through the Rental Index Calculator. Landlords may not raise the rent at renewal at will; the permitted increase is linked to the gap between the current rent and market value. If your rent is up to 10% below market value, no increase is permitted. If the gap is between 11% and 20%, you may increase by a maximum of 5%. Where the gap exceeds 40%, a maximum of 20% applies. This system protects tenants against excessive increases and gives landlords a predictable framework.
The Ejari registration system explained
Ejari (Arabic for "my rent") is the Dubai Land Department's mandatory registration system for all tenancy contracts. Registration costs AED 220 and is required for both residential and commercial leases. Upon registration you receive an Ejari certificate that serves as official proof of the tenancy agreement.
Ejari registration is not a mere formality. Without Ejari the tenant cannot apply for a DEWA connection, cannot link a residence visa to the address and cannot access certain government services. For you as a landlord, Ejari is essential in the event of a dispute: the Rental Dispute Settlement Centre only accepts Ejari-registered contracts. Augusta Properties handles the complete Ejari registration as part of our management process.
What you keep as the owner
Running costs come off the rent before it reaches you: the building's service charge, Ejari, any agency or management fee, and maintenance as it comes up. What you keep after those costs is shaped far more by the service charge and how well the property is managed than by anything else.
How your Dubai property and its rental income are treated where you live depends on local rules and any tax treaty with the UAE. That is a question for your own cross-border tax adviser; we can put you in touch with one.
Long-stay versus short-stay letting
In Dubai you have two principal options: long stay (annual leases, minimum 12 months) and short stay (holiday letting, less than 30 days per stay). Long stay offers stability and lower management costs: the typical management fee is between 5% and 8% of the annual rent. Short stay offers potentially higher income but requires a DTCM license (Department of Tourism and Commerce Marketing) and more intensive management at higher fees of 15% to 20% of revenue.
For most owners managing remotely from abroad, long stay is the more prudent choice. It offers predictable income, less operational complexity and a stable tenant relationship. Short stay is attractive for premium properties in prime tourist locations such as Dubai Marina, Downtown and Palm Jumeirah, where occupancy remains high throughout the year.
How Augusta Properties manages your rental
Our team in Citadel Tower, Business Bay, handles the entire letting process. We begin with a thorough market analysis and pricing strategy, followed by professional photography and placement on all relevant platforms (Property Finder, Bayut, Dubizzle). Prospective tenants are screened on Emirates ID, employer confirmation and salary verification.
Once a tenant is selected, we draw up a RERA-compliant tenancy contract, complete the Ejari registration and arrange the DEWA transfer. Throughout the tenancy we manage the cheques, coordinate maintenance and provide you with monthly financial reports. At renewal we calculate the permitted rent increase in accordance with the RERA Rental Index and advise on the optimal strategy. You receive your rental income in your bank account abroad, without having to take any action yourself.