Why Renters Feel Surprised
Renting in Dubai often feels like a whirlwind: from glamorous listings to surprise charges you only spot after you’ve moved in. While many see the headline rent, few anticipate the additional costs tucked into contracts—from Ejari to agency commissions. This guide helps you budget beyond rent, avoid surprises, and move in with confidence.
Hidden Cost #1 – Ejari & Tenancy Registration
- What it is: Ejari is the government-backed rental registration—mandatory for legal tenancy.
- How much: Typically AED 170–220, plus admin charges by typing centres or agents.
- Pro tip: Clarify who pays the fee in writing. Ask upfront: “Is Ejari included?” and keep the final Ejari certificate.
Hidden Cost #2 – Security Deposit & Conditions
- Typical charge: 5–10% of annual rent. Often held for “damages beyond wear and tear.”
- What to watch: Terms around cleaning or AC repair can eat into your refund.
- Pro tip: Inspect the property in detail—snap photos, get dated receipts, and confirm cleaning expectations with the landlord.
Hidden Cost #3 – AC Maintenance & Chiller Fees
- Why it’s hidden: Not all contracts include AC servicing or cooling charges.
- Chiller-included? Some buildings add “chiller-free” fees to service bills.
- Pro tip: Ask, “How often is AC cleaned?” and “Are chiller cooling costs included?” before signing.
Hidden Cost #4 – Agency Commission & Admin Fees
- Standard rate: Agents typically charge 5% of annual rent.
- Possible extras: Admin fees for paperwork or Ejari on top of commission.
- Pro tip: Negotiate an all-inclusive, transparent commission. Or request a “no-fee” offer via your trusted real estate agency in Dubai.
Hidden Cost #5 – DEWA Connection & Moving-in Fees
- What to expect: DEWA usually requires AED 2,000–4,000 deposit, plus reconnection fees.
- Why it matters: It’s required before you move in—unexpected if not budgeted.
- Pro tip: Ask the landlord if you can use an existing DEWA account. Or split reconnection deposit.
Hidden Cost #6 – Maintenance & Service Charges
- Why it’s hidden: These community fees can be tenant-responsible, depending on your contract.
- Typical charges: AED 3–30 per sq ft annually.
- Pro tip: Use Dubai Land Department’s Service Charge Index to check historical rates. Confirm if they’re included in your lease.
Hidden Cost #7 – Miscellaneous & Early Exit Penalties
- What to expect: Early lease termination fees, paperwork charges, NOC costs.
- Why it hurts: Breaking a lease early can cost 1–2 months’ rent unexpectedly.
- Pro tip: Ask: “What if I leave six months in?” Check for written notice terms in your contract.
Smart Checklist – How to Dodge These Fees
Use this when signing:
✔️ Confirm Ejari, AC, and chiller fees
✔️ Document property condition with dated photos
✔️ Clarify DEWA setup and deposit responsibility
✔️ Ask who pays service charges
✔️ Get agent fees in writing
✔️ Discuss exit penalty terms
✔️ Negotiate wisely
Budget Smart = Rent Confident
Smart renters plan beyond rent. Knowing these fees lets you avoid nasty surprises and save thousands. Want help evaluating your lease or cutting costs? Contact Splendor.ae for expert guidance and trusted rentals.
FAQ’s
1. What are the hidden costs when renting an apartment in Dubai?
Hidden costs may include Ejari registration, security deposits, DEWA setup, chiller fees, AC maintenance, service charges, and agency commissions.
2. Is Ejari registration mandatory for renting in Dubai?
Yes, Ejari is legally required for all rental agreements in Dubai. It validates your lease and is needed for utilities, visa renewals, and disputes.
3. Who pays for DEWA in a Dubai rental property?
Tenants are typically responsible for DEWA setup, including a deposit (AED 2,000–4,000) and activation fees unless otherwise agreed in the contract.
4. What is a chiller fee in Dubai and is it included in rent?
A chiller fee covers centralized cooling. Some buildings include it in rent (“chiller-free”), while others bill tenants separately.
5. How much is the security deposit for renting in Dubai?
Usually 5% of the annual rent for unfurnished apartments and 10% for furnished ones, refundable at the end of tenancy.
6. Are maintenance and service charges paid by the tenant or landlord?
It depends on the contract. Tenants often pay minor maintenance and service charges, especially in freehold communities.
7. How much is the agent commission when renting in Dubai?
Most real estate agents charge 5% of the annual rent or a flat fee—ensure it’s agreed upon in writing before signing.
8. What should I check before signing a tenancy contract in Dubai?
Clarify all fees (Ejari, DEWA, chiller, maintenance), review exit clauses, confirm AC servicing, and request a detailed property handover checklist.
9. Can I negotiate rental costs or fees in Dubai?
Yes, you can negotiate rent, agent commission, and even fee-sharing for DEWA or maintenance, especially in tenant-friendly markets.
10. What’s the difference between “chiller-free” and “chiller-included” apartments?
“Chiller-free” means the landlord covers the cooling charges, whereas “chiller-included” could still mean hidden fees—always ask for clarification.