Clarification needed on rent cap increase please | ExpatWoman.com
 

Clarification needed on rent cap increase please

573
Posts
EW GURU
Latest post on 23 June 2013 - 09:09

I just needed clarification on this, does this mean the rent CAN increase in the first year but just not more than 5%.

I always thought it can not be increased AT ALL in the first year.

http://www.thenational.ae/news/uae-news/abu-dhabi-rent-rises-capped-at-5

Hope someone can advise soon, I have a colleague who is desperate to know as she just got notification of an increase and its her first years renewal.

Thanks.

4747
Posts
EW MASTER
Latest post on 23 June 2013 - 15:24
Thank you ladies. So to sum it up, it can be increased every year in Abu Dhabi (she lives there) so I can tell her this. it can be increased every year yes, the rent cap which was imposed a few years ago and each year they look at it and leave it the same 5% but thats not to say it will stay the same number it may well change.
573
Posts
EW GURU
Latest post on 23 June 2013 - 12:46
Thank you ladies. So to sum it up, it can be increased every year in Abu Dhabi (she lives there) so I can tell her this.
4747
Posts
EW MASTER
Latest post on 23 June 2013 - 10:19
your link says it all if you read it right, in dubai they are not allowed to increase for 2 years.
4747
Posts
EW MASTER
Latest post on 23 June 2013 - 10:18
I just needed clarification on this, does this mean the rent CAN increase in the first year but just not more than 5%. I always thought it can not be increased AT ALL in the first year. http://www.thenational.ae/news/uae-news/abu-dhabi-rent-rises-capped-at-5 Hope someone can advise soon, I have a colleague who is desperate to know as she just got notification of an increase and its her first years renewal. Thanks. yes they can increase every year upto 5% (they look at this ruling each year to ascertain if its the 5% is still applicable every year it has stayed). you are confusing the rules with dubai, dubai are slightly different, in dxb they cannot increase the first renewal, but they have a rera sliding scale and so the 5% is different, you have to look at the rera reports and they can put it up more than 5% if the rent was under market value at the beginning. but in auh yes CAN increase EVERY YEAR.