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Dubai Municipality Housing Fee - Everything You Need to Know

  • Better Informed
  • 25 Dec, 2024
Dubai Municipality Housing Fee - Everything You Need to Know

Buying a house in Dubai is the dream of every expat living there. The city’s stable economy, luxurious lifestyle, and unique developments inspire investors and buyers worldwide to invest in Dubai’s real estate. Although the buying process is simple, some other fees are associated with it, and the Dubai Municipality housing fee is one of them. If you have recently moved to Dubai or are planning to do so, you must familiarise yourself with Dubai Municipality’s housing fees. So, let us help you understand everything you need about the Dubai municipality housing fee so you can easily navigate this aspect of living in Dubai.

Dubai Municipality Housing Fee

The Municipality Housing Fee in Dubai is an annual charge charged to homeowners and renters for facilities like cleanliness, security, food safety, waste management, public parks, etc. DEWA collects fees from expats in exchange for these services. The fee is 5% of the property's annual rent, divided into instalments per the contract duration and charged in the monthly DEWA bill.

All expats living in Dubai must pay the municipality fee. If the property is rented out, the renter will pay the fee. However, if the homeowner uses the property or is vacant, the owner will pay the fee.

How to Pay the Housing Fee?

There is no need to make extra efforts to pay the housing fee in Dubai. Dubai Electricity and Water Authority (DEWA) adds the fee to monthly utility bills. This way, you can never miss any payments and avoid surcharges. You can pay the housing fee in the following ways:

  • DEWA website
  • DEWA Smart App
  • DubaiNow App
  • Customer Happiness Centres


You can also pay the housing fee by visiting one of the DEWA quick pay partners, such as an Etisalat machine, EPPCO, or ENOC service station.

Dubai Municipality Housing Fee Adjustment Process

If the rent has increased or decreased, the tenant or the owner is responsible for informing the Dubai Municipality Department of the fee adjustment. Here is how to request a Dubai Municipality Housing fee adjustment. 

  • Visit the Municipality's official website
  • Go to 'Individual Services' under the 'Services' section.
  • Select 'Dubai Municipality Housing Fee' 
  • Click 'Apply to Amend Dubai Municipality Housing Fee'
  • Fill in all the details 
  • Submit the required documents
  • Submit the request


Your municipality fee will be adjusted in the DEWA bill. In case you are overcharged due to a late update, reimbursement will be made on the next bill.

Dubai Municipality Housing Fee – Frequently Asked Questions

Q: How can I calculate the Dubai Municipality Housing Fee?

A: To calculate municipality fees, take 5% of your total rent. Multiply your annual rent by 5% and divide that by 12 to get your monthly payment.

For example, if your annual rent is AED 60,000:

60,000 x 5% = AED 3,000.

Now, divide AED 3,000 by 12 for the monthly fee: 3,000 / 12 = AED 250.

So, you would pay AED 250 each month for municipality fees.

Q: Who qualifies for an exemption from the Dubai Municipality Housing Fee?

A: UAE Nationals, commercial properties, Government-owned properties and some specific developments that have their own infrastructure and services are exempt from the fee.

Q: What happens if the housing fee has been entered incorrectly?

A: You can file a dispute with DEWA if you believe your housing fee has been calculated incorrectly. You must provide the tenancy contract and other relevant information supporting the claim. DEWA will review the case and correct the fee.

Q: Can my friend pay DEWA for me?

A: Yes, he can pay the bill on your behalf. They only need to know your account number and use any payment method mentioned above to pay the bill.

Q: Who pays the outstanding DEWA bill of a previous tenant?

A: The property owner is responsible for settling the outstanding bills before renting the property to a new tenant. 

Conclusion

Understanding the Dubai Municipality Housing Fee is essential for anyone living in or moving to Dubai. This fee helps keep the city clean, safe, and well-maintained, with convenient payment options through DEWA. Knowing how it works, who pays it, and when adjustments can be made, you'll be better prepared to manage your finances and avoid surprises. Whether you are a homeowner or renter, staying informed will help you navigate living costs smoothly in Dubai.

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