The Hidden Costs of Renting Properties in Dubai


 

There are several hidden costs that come with renting a property in Dubai, in addition to the monthly rent. Here are some of the most common ones:

  1. Agency Fee: 5% of annual rent + VAT
  2. Security Deposit: 5% for unfurnished properties, 10% for furnished.
  3. DEWA: (Water and electricity) - AED 2,130 deposit
  4. Chiller fees: These will vary from community to community, In general, chiller fees can range from AED 500 to AED 1500 per month for apartments and AED 1500 to AED 3000 per month for villas.
  5. Housing Fee: 5% of annual rent, split over 12 months. 
  6. Ejari: (To register your tenancy with the Dubai Land Department) AED 220.

So if you want to purchase a furnished apartment for AED 100K/year, be prepared to pay:

AED 5,000 - Agency Fee (upfront payment)

AED 10,000 - Security Deposit (upfront payment)

AED 2,130 - Dewa (upfront payment)

AED 12,000 - Chiller fees (AED 1k/month avg.)

AED 5,000 - Housing Fee (Split over 12 months)

AED 220 - Ejari (upfront payment)

____________

Total = 34,350 


Contact a fäm Properties expert today to begin your rental journey, and visit DXB Interact today to see real-time rental property values in Dubai.

 



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