Soaring rent increase. Input and forecast?

Well I am not sure what are you trying to ask , but these things are to be expected in fluctuating property market . There are economic cycles and property follows that. Also when economy gets a boost it means more jobs . Also when government increases spending (as happened now) it increases economic activity & projects (like you mentioned some re-started). So that in turn also increases demand for some properties "conveniently located" to benefit from new projects next door etc.

Obviously some brokers & landlords may try to capitalize on the "Expo" factor, but that event is still far away from now. They are in the end only driving some tenants away. I mean the govt can try to regulate it like RERA etc but in the end property value is determined by private sector mostly , demand and supply etc.

On RERA website you can do that average rent increase comparison , although I am not sure why is it not showing data for your area? (I take your word for it). They do have it for rest of city.

In any case there is a rent cap in Dubai of 10% every 2 years ... what is the 20%? are you talking about same or something different. May be they asked 20% increase because rent was same for 4 years before , in that case it is in line with RERA regulations. You can always negotiate with the landlord or threaten to move out. Some landlords who already got higher paying clients lined up actually do increase rent on purpose to get rid of previous "less paying" tenant and lease much higher to the next one. So unless you have a good plan don't risk loosing your residence . Moving in never easy and also can end up costing you more. You can also just wait it out .

@H

Thanks for the update but is that for sure scrapped now? or is it as exception for landlords who didn't increase rents previously / or in some limited areas. In any case I would complain to RERA if the rent was increased more than 10% in any 2 year period , and such increase not within average for rent index for said area.

@WoM: After the 5% rent cap got scrapped a landlord in Dubai can increase the rent up to 20% only when the current rent is more than 40 percent below average rents for similar properties in a similar area.

This might the case for properties where the rent decreased dratically during the financial crisis.

RERA provides benchmarks used for rises at their rent index.

Are you waiting for the bubble to burst or what? If you ain't happy, don't live here. No one is asking you to settle here. Make as much hay as you can while the sun still shines (In this case, until 2020), then get your butt back to Holland where you can maybe buy a cottage among the turnips. Till then, make some sacrifices, share a room. Sharing is caring.

#Ilovemyroommate #freefoodandaccommodation #liferocks

at leat for now the economy is helping us expats . we will see when the low tide comes.