Dubai's Smart Rental Index helps residents negotiate unfair hikes

Launched in January, the tool relies on an advanced building classification system that considers all technical and service-related aspects of properties

- Waheed Abbas

Tenants in Dubai are increasingly benefitting from the Smart Rental Index as they are successfully challenging unfair and unjustified rent increases by the landlords.

Therefore, rents in older buildings have started to correct downward six months after the introduction of the index as tenants successfully reverse landlord's decision to hike rents without a valid reason.

"Tenants are using the index to stop unfair hikes — and successfully," said Grace Jackson, leasing manager - Dubai, Huspy.

"A landlord proposed a 25 per cent increase for a tenant. Using the Smart Index, we found the legal increase was only 10 per cent based on similar buildings and the law. After showing this, the landlord agreed to reduce the hike. Another tenant in Dubai Marina challenged a 15 per cent rent jump. The Smart Index showed the market rent hadn't moved much for that building type. The landlord agreed to renew at the current rate," said Grace.