The Dubai Municipality Housing Fee is calculated as 5% of the annual rent of a property, and is paid in monthly installments. The fee is a mandatory part of living in Dubai, and is collected by the Dubai Electricity and Water Authority (DEWA).
| Annual rent | Housing fee |
|---|---|
| AED 80,000 | AED 4,000 per year, or about AED 333 per month |
| AED 50,000 | AED 2,500 per year, or about AED 208 per month |
The housing fee can change if the rental contract changes, such as when the rent increases. If the property is vacant or owner-occupied, the housing fee is based on the expected annual rent of a similar property.
Other costs to consider when renting in Dubai include:
- DEWA depositWhen moving in, you may need to pay a deposit of AED 2,000 for an apartment or AED 4,000 for a villa. This deposit is refundable when you move out, as long as you pay all your electricity and water bills.
- Activation chargesThese include a connection fee, registration fee, knowledge fee, and innovation fee.
- Renewal feesYou’ll need to renew your Ejari registration with each lease extension, and you may also need to pay agent fees if you use one.