LetA�theA�Rent Index be your Guide

http://www.dubailand.gov.ae/English/Pages/Rental-Increase-calculator.aspx

The Dubai Land Department manages and updates the Rent Index, which serves as a reference point for both tenants and landlords. The index shows the average annual rents for all residential and commercial areasA�in Dubai. The Rental Increase Calculator tells you whether your rent is eligible for a hike, and if so, by what maximum percentage. If youa��re hoping to get your rent reduced, make sure you stay abreast of the changes in the Rent Index.

For example, the most recently updated rent index shows that annual rents for two-bedroom apartments in Dubai Marina have dropped from a range of AED140,000-180,000 to AED 120,000-160,000.

Search the Market for current Rental Expectations

A�It is just as important to be aware of the rental market sentiment within your community, as it is to be aware of the macro-economic aspects affecting the rents in your city and country. So if property reports highlight your locality as one of those thata��s witnessing the highest drop in rents, how about you do a bit of your own research too? Check online property portals and call real estate agents to get an idea about the highest and lowest rents in your apartment complex or villa community, or if there are any new construction/infrastructure plans proposed in or around the area.A�It would be smart to be armed with these statistics when you approach the landlord.

If nothing else works, threaten to leave

If all other negotiation tools fail, you can inform your landlord that youa��re serious aboutA�not renewing the contract. But make sure the timing is right when you do so a�� If market rents have been stagnant or are falling, this might spell bad news for the landlord. By letting you go, he would risk havingA�the property unoccupied for an uncertain period of time, losing rental income in the interim. And if the landlord does manage to find a tenant, therea��s the risk of having to rent out the property at a lower rent.

But watch out, this could backfire just as easily. In a market scenario where average rents are higher than what youa��re currently paying, this could be the ideal window of opportunity for your landlord to lease the property out at a higher rent.

Now that most people are back in town, some useful tips to help save money?

GREG POGONOWSKI

www.yourmoney-matters.net

email: greg@yourmoney-matters.com