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Renting Property

Costs Involved in Renting

Security deposit, agent fees, Ejari and more.

Updated: September 2026 5 min read

The upfront cost of renting in Dubai is usually the first rent cheque plus about 10% to 13% of the annual rent. That covers a customary 5% security deposit, an agency fee of around 5% plus VAT, Ejari registration of AED 177.75 online and a DEWA deposit of AED 2,000 for a flat.

Security deposit

Dubai's tenancy law doesn't cap the deposit. The customary amount is 5% of annual rent for an unfurnished home and 10% for a furnished one. Under Article 20 of Law No. 26 of 2007 the landlord must refund it when the lease ends, less any agreed deductions for damage beyond ordinary wear and tear. Write the amount and refund terms into the contract.

Agency fee

If you rent through a broker, the fee is agreed with the agency and is not set by the tenancy law. Around 5% of annual rent plus VAT is common practice, sometimes with a minimum amount. Get the figure in writing before your first viewing. Renting directly from an owner avoids it.

Ejari registration

  • Online (Dubai REST app or DLD website): AED 100 registration, AED 10 knowledge fee, AED 10 innovation fee and a AED 55 service partner fee plus VAT, a total of AED 177.75.
  • At a real estate services trustee centre: the same government fees plus a AED 95 service partner fee plus VAT, about AED 220 in total.
  • The same fee applies each time the contract is renewed. Check who pays it; it is often agreed in the contract.

DEWA deposit and connection

  • Refundable security deposit: AED 2,000 for a flat, AED 4,000 for a villa.
  • Activation: AED 125 for small meters (AED 300 for large meters), plus AED 10 each for registration, knowledge and innovation fees.
  • The deposit is set against your final bill when you move out; any balance is refunded.

Dubai Municipality housing fee

Expatriate tenants pay a Dubai Municipality housing fee of 5% of the annual rent. It isn't paid upfront: it is split into 12 monthly instalments on your DEWA bill. DEWA takes the rent figure from your Ejari record, so a renewal at a new rent updates the fee automatically.

A worked example

For an unfurnished flat at AED 100,000 a year with a customary 5% agency fee: deposit AED 5,000, agency fee AED 5,250 including VAT, Ejari AED 177.75 online, DEWA deposit AED 2,000 and activation AED 155. That is about AED 12,583 before the first rent cheque. The housing fee then adds about AED 417 a month to your DEWA bill. Your own figures depend on what you agree.

Cost checklist

  • Deposit amount and refund conditions written in the contract.
  • Agency fee agreed in writing, including VAT, before viewings.
  • Who pays Ejari at signing and at each renewal.
  • AED 2,000 (flat) or AED 4,000 (villa) set aside for DEWA.
  • Rent cheques dated to match the payment schedule in the contract.
  • 5% of annual rent budgeted for the housing fee over the year.

Frequently asked questions

How much money do I need upfront to rent in Dubai?

Usually the first rent cheque plus about 10% to 13% of the annual rent. That covers a customary 5% security deposit, an agency fee of around 5% plus VAT, Ejari registration of AED 177.75 online and a DEWA deposit of AED 2,000 for a flat.

How much is the security deposit on a rental in Dubai?

The law doesn't cap it. The customary amount is 5% of annual rent for an unfurnished home and 10% for a furnished one, and the landlord must refund it when the lease ends, less agreed deductions for damage beyond ordinary wear and tear.

What is the Dubai Municipality housing fee?

Expatriate tenants pay a housing fee of 5% of the annual rent. It isn't paid upfront: it is split into 12 monthly instalments on your DEWA bill, using the rent figure from your Ejari record.

How much is the DEWA deposit for an apartment?

The refundable security deposit is AED 2,000 for a flat and AED 4,000 for a villa. Activation adds AED 125 for small meters (AED 300 for large meters) plus AED 10 each for registration, knowledge and innovation fees. The deposit is set against your final bill when you move out.

Sources

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