Security Deposit Rules in Dubai: What Landlords and Tenants Need to Know in 2026

The legal framework governing security deposits in Dubai

All residential tenancy relationships in Dubai are governed by Law No. 26 of 2007 (Regulating the Relationship Between Landlords and Tenants in the Emirate of Dubai), as amended by Law No. 33 of 2008. This is the primary legislation that sets out the rights and obligations of both landlords and tenants, including the rules around security deposits.

The Rental Disputes Centre (RDC), established by Decree No. 26 of 2013 under the Dubai Land Department (DLD), handles all formal disputes between landlords and tenants. Ejari, the DLD's official tenancy registration system, is mandatory for all tenancy contracts. Without Ejari registration, neither party has formal legal standing in a dispute.

How much can a landlord charge?

The security deposit amounts that govern almost every rental in Dubai are 5% of the annual rent for unfurnished properties and 10% for furnished properties. These figures are not fixed statutory amounts in the law text itself. They are market norms that RERA has established and that the RDC consistently applies when resolving disputes.

In practice, this distinction rarely matters. RERA recognises these percentages as the standard, and the RDC applies them accordingly. A landlord asking for significantly more than these figures would face a difficult position in any dispute. On a property renting at AED 140,000 per year unfurnished, the deposit would typically be AED 7,000. On a furnished property at the same rent, it would be AED 14,000.

The deposit is fully refundable at the end of the tenancy, minus any legitimate deductions the landlord is entitled to make.

What the law says about deposits: Article 20

Article 20 of Law No. 26 of 2007 states:

“When entering into a rent contract, a landlord may collect from the tenant a security deposit for the purpose of maintenance of the real property upon the expiry of the rent contract. The landlord must refund this deposit or the balance thereof to the tenant upon expiry of the rent contract.”

Two things in this article matter. First, the deposit is specifically for covering maintenance and condition costs at the end of the tenancy, not during it. The separate question of who is responsible for maintenance and repairs during the tenancy is governed by Articles 15, 16 and 19 of the same law, with thresholds often set further by the tenancy contract itself.

Second, the default legal obligation is to refund. The landlord must return the deposit or its remaining balance when the tenancy ends. The burden of justifying any deduction rests with the landlord.

What can legitimately be deducted

A landlord in Dubai can retain part or all of the security deposit to cover:

• Repair costs for damage beyond normal wear and tear, including broken fixtures, cracked tiles, holes in walls, and burned or heavily stained surfaces
• Damaged or missing furniture or appliances in furnished properties
• Unpaid DEWA (Dubai Electricity and Water Authority) bills at the end of the tenancy
• Unpaid utility, chiller, or municipality charges
• Professional cleaning costs if the property has been left in an unreasonably poor condition, and only where the tenancy contract expressly provides for this
• Unpaid rent

Deductions should be supported by itemised documentation. The RDC accepts both invoices for completed work and quotes for work yet to be carried out, but invoices for work already done carry more evidential weight than quotes produced after the fact. The law does not set a deadline by which deduction documentation must be produced, which means documentation obtained some time after checkout can be presented. In practice, the RDC will weigh the credibility and timing of evidence alongside the deduction itself.

The wear and tear vs damage question, which sits at the centre of most deposit disputes, is covered in full detail in a separate guide: Wear and Tear vs Damage: What Landlords Can and Cannot Deduct from a Deposit in Dubai.

What cannot be deducted

By default, under the law, a landlord cannot make deductions from a security deposit for:

• Ordinary wear and tear, including faded paintwork, minor scuffs, small nail holes, and carpet wear from normal use
• Damage or deterioration that was present at the start of the tenancy
• Damage caused by events outside the tenant's control, including flooding or extreme weather
• Repairs that fall within the landlord's maintenance responsibilities under the law
• Vague or unitemised claims without any supporting documentation

The word “default” matters here. Many of these protections can be modified by the terms of the tenancy contract. If a landlord adds a clause requiring the property to be repainted at the end of the tenancy, or that carpets must be professionally cleaned regardless of condition, and the tenant signs the contract, that clause is enforceable. The signed contract overrides the default legal position on those specific points.

This is the basis for a common landlord position in Dubai: that the property must be returned in the same condition it was provided. That is not the default legal standard, but it becomes the applicable standard if a tenant has agreed to it in writing. Many tenants accept non-standard contract terms without realising they are giving up protections the law would otherwise afford them.

Before signing any tenancy contract, read the checkout and condition clauses carefully. A standard RERA-aligned contract offers the default protections. An addendum or modified clause can significantly change what you have agreed to return.

Is there a deposit protection scheme in Dubai?

Unlike in the United Kingdom and some other jurisdictions, Dubai does not operate a mandatory third-party deposit protection scheme. There is no government-run or independently regulated custodial service that holds deposits on behalf of landlords and tenants.

The deposit is held by the landlord for the duration of the tenancy. Protection for both parties comes from the law, which places the burden of justification on the landlord, and from documentation, which determines whether either party can prove their position in a dispute.

This absence of a protection scheme makes a contemporaneous record of the property's condition at both the start and end of the tenancy more important, not less. Without a properly documented record of what the property looked like when the tenancy began, any dispute about deductions becomes a contest of competing accounts.

When must the deposit be returned?

Article 20 of Law No. 26 of 2007 requires the landlord to return the deposit “upon expiry of the rent contract.” The law establishes the obligation to return but does not prescribe a specific number of days.

In practice, landlords are generally expected to return the deposit within 14 to 30 days of the tenant vacating and handing over the keys and a cancelled Ejari certificate. Ashish Mehta, founder and Managing Partner of Ashish Mehta and Associates and the Khaleej Times' legal columnist, has cited 30 calendar days as the period most landlords aim for. This is established practice, not a statutory deadline.

The RDC will take account of unreasonable delay when assessing any complaint, and tenants can file a complaint with RERA or bring a money claim to the RDC if a deposit is withheld without justification or for an unreasonable period.

One practical point on proof of payment: the RDC lists deposit receipts and cheques as supporting documents when filing a deposit claim. If a formal receipt was not issued at the time the deposit was paid, a bank record confirming the cheque cleared, together with the tenancy contract specifying the deposit amount, establishes proof of payment. Tenants in this position should retain both documents. A cleared cheque is recognised as evidence of payment; the absence of a separate receipt does not prevent a claim from being filed.

What changed in the Dubai rental framework in 2025 and 2026

Security deposit rules themselves have not changed in 2025 or 2026. The 5% and 10% norms remain in place and the primary legislation governing deposits is unchanged.

Two broader developments in the Dubai rental framework are worth knowing about.

The Smart Rental Index, launched January 2025. The Dubai Land Department, through RERA, replaced the old static RERA Rent Calculator with the Smart Rental Index on 15 January 2025. The new system uses artificial intelligence and real-time transaction data drawn directly from Ejari registrations to determine fair market rent values at the level of individual buildings rather than broad geographic areas. This affects how permissible rent increases are calculated at renewal. It does not affect deposit rules, but it does affect the broader rental framework both landlords and tenants operate within.

Monthly rent payments. The Dubai rental market has seen growing availability of monthly payment structures, driven partly by DLD digital infrastructure and partly by tenant demand. Monthly payment arrangements are not a legal right for either party and are not mandatory. Whether a tenancy uses monthly payments or annual cheques is a matter of negotiation between landlord and tenant. Annual cheque arrangements remain common and fully lawful. The shift toward monthly structures is a market development rather than a legal requirement, though it is likely to continue growing as payment platforms mature.

Neither of these changes alters the fundamental deposit framework described in this article.

What to do if you disagree with a deduction

If a landlord retains part or all of a security deposit and the tenant disputes the deduction, the Rental Disputes Centre is the formal route for resolution. The most direct mechanism for a deposit claim is a Writ of Payment or money claim.

The filing fee for a money claim at the RDC is 3.5% of the claimed amount, with a minimum of AED 500 and a maximum of AED 15,000. For a typical deposit on an AED 140,000 per year unfurnished property (5% of annual rent, so AED 7,000), the filing fee would be AED 245, below the minimum, so the fee payable would be AED 500. On top of the filing fee, additional costs to be aware of include Arabic translation or typing fees for any English-language documents (charged per page by RDC typist services or private translation offices), and a small case registration fee. If the case is appealed, the appellant must deposit 50% of the judgment amount as security, which is refundable if the appeal succeeds. Legal representation is optional but adds cost for larger claims.

Before filing formally, RERA operates an amicable settlement process. A complaint filed with RERA will be assigned to a mediator who attempts to resolve the dispute without formal proceedings. If mediation fails, RERA issues a referral letter that permits the complainant to file a formal case with the RDC.

Documents and language requirements. The RDC requires that all documents submitted be in Arabic or legally translated into Arabic. Hard copies are not accepted; all documents must be uploaded electronically. Tenants and landlords with English-only documents will need to arrange official Arabic translation before filing, which adds cost and time to the process. RDC typist services are available on-site to assist with translation at the time of filing, but preparing translations in advance is advisable.

On signatures and digital records. The RDC accepts emails and WhatsApp correspondence as supporting evidence. An agreement reached by message is not worthless. However, a condition report with signatures from the parties present at the inspection carries significantly more evidential weight than an informal exchange, because it creates a single contemporaneous document both parties acknowledged on the day. Pramana's app captures signatures from all parties present at the inspection.

On quotes and invoices. Both are accepted by the RDC as evidence of deduction costs. An actual invoice for completed repair work is more persuasive than a quote obtained after the tenancy ended. Tenants who dispute a deduction have the right to request an itemised breakdown from the landlord and to challenge the reasonableness of any figure presented.

The strength of either party's position at the RDC depends on the quality of their documentation. Cases supported by a check-in report and a check-out report, which establish what the property's condition was at the start and end of the tenancy, resolve more clearly and more quickly than those relying on photographs, WhatsApp messages, and conflicting accounts.

Why documentation matters at both ends of the tenancy

The law establishes the framework. The contract sets the specific terms. Neither can substitute for a contemporaneous record of what the property actually looked like when the tenancy started and when it ended.

A check-in report produced at the start of the tenancy establishes the baseline. A check-out report produced when the keys are returned establishes what changed. Together, they answer the questions the RDC needs to resolve any disputed deduction: what was there, what changed, and when.

Without a check-in report, a landlord cannot prove damage was caused during the tenancy. Without a check-out report, a tenant cannot prove the property was returned in good condition. Both documents matter equally, and neither is useful without the other.

A condition report produced in both English and Arabic, as Pramana's reports are, removes one further complication if a dispute ever reaches the RDC: the report is ready to submit without incurring translation costs or delays.

Pramana produces RERA-aligned property condition reports with timestamped, photo-locked entries and on-site digital signatures captured at the time of inspection. Reports are completed in under 30 minutes and are available to all parties immediately afterwards.