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Guide · Costs and feesReviewed 5 Nov 2026

The Dubai housing fee on DEWA bills explained (2026)

What the Dubai Municipality housing fee is, how it is calculated for tenants and for owners who live in their home, how it appears on the DEWA bill, worked examples and how to correct a wrong amount.

OffPlan Insider ResearchWritten and reviewed by the research desk
Published 5 Nov 202611 min read7 sources cited
The short answer

The Dubai housing fee is a Dubai Municipality charge for its services, collected through the monthly DEWA bill. For a tenant it is 5% of the yearly rent in the registered tenancy contract, split into 12 monthly instalments, so an AED 100,000 lease costs AED 5,000 a year, or AED 416.67 a month. Owners who live in their own home also see the fee on their DEWA bill, based on the unit's rental value as Dubai Municipality assesses it. A wrong amount can be corrected through Dubai Municipality's Adjust Housing Fees service.

Key takeaways

  1. The housing fee is a Dubai Municipality charge, not a DEWA charge. DEWA collects it as a separate line on the monthly electricity and water bill.
  2. For tenants the official formula is 5% of the yearly rent, divided into 12 monthly instalments. AED 100,000 of rent means AED 5,000 a year, or AED 416.67 a month.
  3. The rent used is the one registered on Ejari, which is why the fee follows the DEWA account opened against the tenancy contract.
  4. Owners who live in their home pay a housing fee based on the unit's rental value as Dubai Municipality assesses it. Ask the municipality how your figure was set.
  5. If the amount on the bill does not match your rent or your unit, apply through Dubai Municipality's Adjust Housing Fees service. The stated reply time is three working days.
  6. The housing fee is not a property tax. Dubai has no annual tax on owning a home; the housing fee is a charge for municipal services tied to occupying one.
  7. Landlords should budget for it only when the home is empty or owner-occupied and the DEWA account is in their name. Once a tenant opens their own DEWA account, the fee moves to the tenant.

01What is the Dubai housing fee?

The housing fee in Dubai is a charge that Dubai Municipality makes for its services to people living in the emirate. It is collected on the monthly bill from the Dubai Electricity and Water Authority (DEWA), as its own line.

The municipality's own description calls it an additional, annual charge, paid along with the DEWA bill. DEWA collects it; the money is the municipality's. So the housing fee is not part of the electricity tariff and does not change with how much power or water you use.

It is one of the running costs of living in a Dubai home, alongside service charges, utilities and, for some buildings, district cooling. Our guide to the true cost of buying off-plan in Dubai sets out all of them. This guide covers the housing fee alone: who pays it, how it is worked out, and what to do if it is wrong.

02How is the housing fee calculated?

For a tenant, the housing fee is 5% of the yearly rent, divided into 12 monthly instalments on the DEWA bill. The UAE government portal states that tenants must pay housing fees to Dubai Municipality at 5% of the yearly rental charges, and DEWA's bill guide describes the same 5% of annual rent split into 12 monthly instalments.

The official formula is:

  • Annual housing fee = yearly rent × 5%
  • Monthly line on the DEWA bill = annual housing fee ÷ 12

On an AED 100,000 lease that is AED 5,000 a year, or AED 416.67 on each monthly bill.

The Dubai housing fee formula for a tenant: an annual rent of AED 100,000, as registered on the Ejari tenancy contract, multiplied by Dubai Municipality's 5% rate gives a fee of AED 5,000 a year, collected over 12 months; divided by 12 that is AED 416.67 on each monthly DEWA bill. The housing fee is a separate line on the DEWA bill, apart from electricity, water and sewerage, and is a Dubai Municipality charge that DEWA collects.
The official formula for tenants: 5% of the yearly rent, collected in 12 parts on the DEWA bill.

The rent used is the registered rent. The tenancy contract is registered on Ejari, the Dubai Land Department's lease system, and the tenant's DEWA account is opened against it. Dubai Municipality's Housing Fees service works from the DEWA and Ejari account details. So the rent on your Ejari certificate is the figure to check against.

It is not a deposit. The housing fee is a charge for the year, paid month by month. It is not refunded at the end of a lease the way a DEWA security deposit is.

03What does the housing fee cost at different rents?

Multiply the yearly rent by 5% for the annual fee, then divide by 12 for the monthly line. The table below applies the official formula to five rents.

Worked examples of the Dubai housing fee at 5% of yearly rent, split into 12 monthly DEWA bill instalments: AED 50,000 rent gives AED 2,500 a year, AED 208.33 a month and AED 5,000 over a two-year stay; AED 85,000 gives AED 4,250, AED 354.17 and AED 8,500; AED 120,000 gives AED 6,000, AED 500.00 and AED 12,000; AED 180,000 gives AED 9,000, AED 750.00 and AED 18,000; AED 250,000 gives AED 12,500, AED 1,041.67 and AED 25,000. To check a bill, divide the monthly housing fee by 0.05 and multiply by 12 to see the annual rent it is based on.
Worked examples using the official 5% formula. Monthly figures are rounded to the fils.

The same numbers in text, for reference:

Annual rent × 5% ÷ 12. The two-year column assumes the rent stays the same.
Yearly rentHousing fee a year (5%)Each monthly DEWA billOver a two-year stay
AED 50,000AED 2,500AED 208.33AED 5,000
AED 85,000AED 4,250AED 354.17AED 8,500
AED 120,000AED 6,000AED 500.00AED 12,000
AED 180,000AED 9,000AED 750.00AED 18,000
AED 250,000AED 12,500AED 1,041.67AED 25,000

Worked example 1: a one-bedroom apartment

A tenant signs a one-year lease at AED 85,000 and registers it on Ejari.

  1. Annual housing fee: AED 85,000 × 5% = AED 4,250.
  2. Monthly line on the DEWA bill: AED 4,250 ÷ 12 = AED 354.17.

Add that to the tenant's monthly budget for the home, on top of electricity, water and any cooling.

Worked example 2: a rent change at renewal

At renewal the rent on the same flat rises to AED 90,000, within the limits of the rental index, and the new contract is registered on Ejari.

  1. New annual fee: AED 90,000 × 5% = AED 4,500.
  2. New monthly line: AED 4,500 ÷ 12 = AED 375.

The monthly line rises by AED 20.83. Rent increases at renewal are capped by Decree No. 43 of 2013; see our rental index guide.

Worked example 3: a family villa

A family rents a villa at AED 250,000 a year.

  1. Annual fee: AED 250,000 × 5% = AED 12,500.
  2. Monthly line: AED 12,500 ÷ 12 = AED 1,041.67.

On larger rents the housing fee is one of the bigger monthly lines on the bill, so include it when comparing a villa with an apartment.

Worked example 4: checking your own bill

Your DEWA bill shows a housing fee of AED 500 a month. Work backwards:

  1. AED 500 × 12 = AED 6,000 a year.
  2. AED 6,000 ÷ 5% = AED 120,000.

The fee is based on a yearly rent of AED 120,000. If your Ejari rent is AED 95,000, the fee should be AED 395.83 a month, and you can ask Dubai Municipality to adjust it.

04Who pays the housing fee: the tenant or the landlord?

When a home is let, the tenant pays. When it is empty or lived in by its owner, the holder of the DEWA account pays, which is usually the owner.

The UAE government portal is direct: tenants must pay housing fees to Dubai Municipality, and the fee is added to the tenant's monthly electricity and water bills. In practice, the fee follows the DEWA account:

  • A let home. The tenant opens a DEWA account using the registered Ejari contract. The housing fee for the tenancy appears on that account.
  • A home the owner lives in. The DEWA account is in the owner's name, and the housing fee is charged on it.
  • A home between tenants. If the owner has the DEWA account back in their name while the home is empty, check the bill. Ask Dubai Municipality how the fee is set for that period.

For landlords. The housing fee is not one of the costs you pay while a tenant holds the DEWA account. It does matter when you hand over: close or transfer your DEWA account before the tenant moves in, so the tenant's account carries the fee from the start. Our Ejari guide covers that hand-over, including how DubaiNow now links the DEWA connection to the lease.

What a lease cannot change. A lease may say who pays utilities, and most Dubai leases put them on the tenant. The housing fee is billed to the DEWA account holder either way, so if you agree something different in the lease, you settle it between yourselves.

05How is the housing fee worked out for an owner who lives in the home?

An owner who lives in their own home also pays a housing fee on the DEWA bill. There is no Ejari rent for the formula to use, so Dubai Municipality bases the fee on the unit's rental value.

Dubai Municipality's services list describes its housing fee adjustment as covering both leased and owned units, adjusted based on the unit's rental value. Its Housing Fees service asks the applicant to state whether they are the owner or the tenant, and an owner applies with the DEWA account only.

Who the Dubai housing fee follows. Tenant, let on Ejari: the base is the yearly rent in the registered tenancy contract, the rate is 5% split over 12 DEWA bills, and the tenant pays through the DEWA account opened on the Ejari. Owner who lives there, DEWA in the owner's name: the base is the unit's rental value as Dubai Municipality assesses it, the amount appears on the owner's DEWA bill, and the owner should ask Dubai Municipality how the figure was set. If the amount is wrong, Dubai Municipality's Adjust Housing Fees service covers leased or owned units, needs a DEWA and/or Ejari account number, and has a stated reply time of three working days.
The housing fee follows the DEWA account. Tenants pay on the Ejari rent; owners who live in the home pay on the unit's rental value.

What to do as an owner-occupier.

  1. Read the housing fee line on your first full DEWA bill after you move in.
  2. Work out the annual figure: the monthly line × 12.
  3. Ask Dubai Municipality how the rental value for your unit was set, if the figure looks out of line with similar homes in your building.
  4. Apply to adjust it through the municipality's service if you think the rental value is wrong, with your DEWA account number and the unit details.

You can see recent rents for comparable homes through the Dubai Land Department's rental index on the Dubai REST app. That gives you a reference point before you contact the municipality.

After handover of an off-plan home. The housing fee starts once a DEWA account is active for the home and someone is living there, whether that is you or a tenant. Plan for it with the other costs that begin at handover, set out in our handover guide.

06Where does the housing fee appear on the DEWA bill?

As a separate line, usually labelled as the housing fee or Dubai Municipality fee, beside the electricity, water and sewerage charges. The total you pay DEWA includes it.

Three practical points:

  • It is fixed each month. It does not rise in summer when the electricity charge does, because it is based on rent, not use.
  • It is paid with the bill. You cannot pay the electricity and water and leave the housing fee; it is part of the amount due on the account.
  • It shows the rent behind it. As in worked example 4, the monthly line × 12 ÷ 5% gives the rent the fee is based on. That is the quickest check that the right contract is linked.

If your building has district cooling, that is billed separately by the cooling provider, not on the DEWA bill. The housing fee does not apply to that bill.

07What if the housing fee is wrong?

Apply to Dubai Municipality to adjust it. The municipality runs an Adjust Housing Fees service for leased and owned units, and states a reply time of three working days.

Common reasons for a wrong amount:

  • An old rent is still linked. The lease was renewed at a different rent but the new contract is not reflected on the account.
  • A rent cut is not reflected. If you agreed a lower rent and registered it, the fee should follow.
  • The wrong unit or premises number. The DEWA account is linked to a different unit or to an incorrect contract.
  • An owner's rental value looks high. The owner believes the assessed rental value does not reflect the unit.

How to apply. Dubai Municipality's Housing Fees user manual says the service is available without registering with the municipality. You need a DEWA account and, for a tenant, the Ejari account. An owner enters the DEWA account number; a tenant enters the DEWA and Ejari details. The form asks for the property type, area, number of bedrooms and contract end date, and for an acknowledgement that the information is correct.

Have these ready:

  1. Your DEWA account number and the premises number from the bill.
  2. For a tenant, the registered Ejari certificate showing the yearly rent.
  3. For an owner, the title deed details and the unit size and bedrooms.
  4. A recent DEWA bill showing the housing fee line.

What happens next. The municipality reviews the request and updates the fee if it agrees. Ask how any amount already overpaid will be credited, and keep the reference number until you see the corrected line on a bill.

08How does the housing fee fit with other costs of renting and owning?

The housing fee is one of several charges around a Dubai home. It helps to know which are paid once, which recur, and who pays each.

The housing fee alongside the other charges on a Dubai home.
CostWho sets itWho usually paysHow often
Housing feeDubai MunicipalityDEWA account holder: the tenant if let, the owner if owner-occupiedMonthly, on the DEWA bill
Electricity, water and sewerageDEWADEWA account holderMonthly
DEWA security depositDEWADEWA account holderOnce per account, refundable
District coolingThe cooling providerDepends on the leaseMonthly, separate bill
Ejari registrationDubai Land DepartmentAs agreed; on DubaiNow the tenant paysEach new or renewed lease
Service chargesBuilding budget approved by RERAThe owner, even if the home is letYearly, often in instalments

For owners comparing costs. The housing fee is not one of an owner's costs while a tenant holds the DEWA account, but service charges are, because the law makes the owner liable for them. Our guide to service charges in Dubai explains how they are set and approved. The full list of what an owner pays, once and every year, is in our guide to property tax in Dubai.

09Is the housing fee a property tax?

No. Dubai has no annual property tax on homes. The housing fee is a charge for municipal services tied to living in a home, and it is collected on the utility bill, not on ownership.

The difference matters for two reasons:

  • It follows the occupier, not the deed. A landlord whose home is let does not pay it; the tenant does.
  • It is based on rent, not value. For a tenant the base is the rent paid. A home's purchase price is not the basis of the official formula for tenants.

10What should tenants and landlords check?

A short list, to keep the fee right from the first bill.

Tenants

  1. Register the lease on Ejari before you open the DEWA account.
  2. Check the first full bill: housing fee line × 12 ÷ 5% should equal your Ejari rent.
  3. Register each renewal, so a new rent is reflected.
  4. If the line is wrong, apply to Dubai Municipality to adjust it, and keep the reference.
  5. When you leave, close the DEWA account so the fee stops with your tenancy.

Landlords

  1. Close or transfer your DEWA account before the tenant moves in.
  2. Keep the Ejari registration current at each renewal.
  3. Between tenancies, check how the fee is charged on any account in your name.
  4. If you move into the home yourself, check the housing fee on your first bill and ask the municipality how the rental value was set.

Buyers of off-plan homes

  1. Budget for the housing fee from the month you or a tenant move in.
  2. If you plan to let, the tenant will pay it; if you plan to live there, you will.
  3. Ask Dubai Municipality how the fee is set if you plan to run the home as a holiday home.

11What about the other emirates?

The housing fee described here is Dubai's. Other emirates set their own municipality charges on tenancies and collect them in their own way.

The UAE government portal says Abu Dhabi charges a municipality fee on tenancies, collected over 12 months on the water and electricity bill. Sharjah registers leases with Sharjah Municipality. Check the current rate and basis with the emirate's own municipality before you rely on a Dubai figure elsewhere.

12Key terms

  • Housing fee. Dubai Municipality's charge for its services, collected on the DEWA bill.
  • DEWA. Dubai Electricity and Water Authority, which supplies electricity and water and collects the housing fee.
  • Ejari. The Dubai Land Department's system for registering tenancy contracts. The registered rent is the basis of a tenant's housing fee.
  • Rental value. For an owner who lives in the home, the value Dubai Municipality uses as the basis of the fee.
  • Adjust Housing Fees. Dubai Municipality's service for correcting the fee on a leased or owned unit.
  • Premises number. The DEWA identifier for the property, printed on the bill.

13Where to go next

If you are budgeting for a Dubai home, start with the true cost of buying off-plan, then read our guides to Ejari and service charges. To compare homes and rents, browse all off-plan projects or ready projects.

FAQQuestions buyers ask.

What is the housing fee on my DEWA bill?

It is a Dubai Municipality charge for municipal services, collected by DEWA on the monthly electricity and water bill. It appears as its own line, separate from the electricity, water and sewerage charges. DEWA passes it to the municipality; it is not part of DEWA's own tariff.

How is the Dubai housing fee calculated?

For a tenant, it is 5% of the yearly rent in the registered tenancy contract, split into 12 monthly instalments on the DEWA bill. The formula is annual rent × 5% ÷ 12. On AED 60,000 of rent that is AED 3,000 a year, or AED 250 a month. For an owner who lives in the home, Dubai Municipality bases the fee on the unit's rental value.

Do owners pay the housing fee in Dubai?

Yes, if they live in the home and the DEWA account is in their name. Dubai Municipality's services cover housing fees on both leased and owned units, and its fee for an owned unit is based on the unit's rental value. Ask the municipality how the rental value for your home was set if the amount looks wrong.

Who pays the housing fee, the landlord or the tenant?

The tenant, when the home is let and the tenant holds the DEWA account. u.ae states that tenants must pay housing fees to Dubai Municipality, calculated at 5% of the yearly rent. When the home is empty or lived in by its owner, the fee is billed to whoever holds the DEWA account, usually the owner.

Is the housing fee charged every month?

Yes. The annual amount is divided into 12 instalments and one instalment is added to each monthly DEWA bill. If your lease starts or ends mid-year, the fee follows the DEWA account and the tenancy linked to it, so check the first and last bills of a tenancy.

How do I change a wrong housing fee in Dubai?

Use Dubai Municipality's Adjust Housing Fees service, which covers leased and owned units and adjusts the fee based on rental value. You need your DEWA account number and, for a let home, the Ejari details. The municipality states a reply time of three working days.

Is the Dubai housing fee the same as property tax?

No. Dubai has no annual property tax on homes. The housing fee is a municipal charge linked to occupying a home, collected on the utility bill. Owners' recurring costs are covered in our guide to property tax in Dubai.

Does the housing fee apply to holiday homes?

The fee follows the DEWA account for the unit, and a holiday home has no annual Ejari rent for the formula to use. Ask Dubai Municipality how the fee is set on a home that holds a holiday home permit before you budget for it.

Sources & methodWhere these figures come from.

Sources

  1. UAE Government portal: Leasing a property in the UAE
  2. dm.gov.ae: Dubai municipality services
  3. hub.dm.gov.ae: Servicedetails
  4. housingfees.dm.gov.ae: HousingFeesUM Customer.pdf
  5. dewa.gov.ae: Bill5
  6. Dubai Land Department: Register renew ejari contract
  7. Dubai Legislation Portal: Law No. (26) of 2007

What we could not verify

  • Dubai Municipality does not set out on a page we could open how the rental value for an owner-occupied home is assessed, or which rate is applied to it, so the guide gives no worked example for owners and tells them to ask the municipality.
  • Who is exempt from the housing fee, including whether UAE nationals are exempt, could not be confirmed from an official page, so the guide does not state any exemption.
  • How the fee is billed on a home with a holiday home permit, and on a home that is empty between tenancies, could not be confirmed; the guide tells readers to ask Dubai Municipality.

5 Nov 2026 · Reviewed by OffPlan Insider Research. First published 5 Nov 2026.

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