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Dubai Property Service Charges — The Full Guide

Service charges are the single biggest carrying cost of owning Dubai property after the mortgage. This guide covers what they cover, the official RERA index, typical ranges by area, and your rights as an owner.

What are service charges?

Service charges are annual fees paid by every freehold owner to the building's Owners Association (OA), who use them to cover the operating costs of the building or community: cleaning, security, lifts, pools, gyms, sinking fund (long-term maintenance), insurance, master-community fees, and DEWA for common areas.

Typical ranges by area type (AED / sqft / year)

Building / community typeTypical range
Affordable mid-rise (JVC, Arjan) AED 12 – 18
Standard high-rise (Marina, JLT) AED 18 – 28
Branded / luxury (Address, SLS) AED 28 – 45
Burj Khalifa AED 35 – 55
Villa communities (Hills, Springs) AED 4 – 8 + master
Palm Jumeirah villas AED 8 – 15 + master

The RERA Service Charge Index

Dubai's Real Estate Regulatory Agency (RERA) publishes an annual service charge index that benchmarks "fair" rates per building. If you're being charged materially above index, you can challenge it through the Owners Association AGM and ultimately RERA.

How to budget

Multiply your unit's sqft by the typical band for your area type. A 1,000 sqft apartment in Marina at AED 22/sqft = AED 22,000/year, billed quarterly at AED 5,500. Always confirm the current rate in the building's OA budget — service charges can change year-on-year.

What to ask when buying

  • Last 3 years of service charge invoices (rate trend)
  • Most recent OA AGM minutes (any disputes?)
  • Sinking fund balance (low balance = future special assessments)
  • Outstanding service charge debt on the unit (becomes your problem at handover)

Frequently Asked Questions

No — Dubai law lets the OA register a unit's debt with the DLD, blocking any future sale. You can only dispute the rate, not refuse.

No — they're the owner's obligation. But a sky-high service charge effectively reduces your net yield, so factor it into your investment math.

Older buildings with under-funded sinking funds, or buildings with extensive amenities (private pools, multiple gyms, concierge), legitimately cost more to operate.