Security Deposits, DEWA and Move-In Costs for Tenants in Dubai: A 2026 Guide

Signing a Dubai tenancy contract is only part of the spend. Before you collect the keys, you also have to fund a string of one-off, upfront charges that most first-time renters underestimate: a refundable security deposit to the landlord, a DEWA deposit to switch on electricity and water, the Ejari registration fee, agency commission and, in many towers, district cooling and move-in deposits. Budgeting for these hidden costs of renting in Dubai is the difference between a smooth handover and a scramble for cash on move-in day. This tenant guide breaks down what each charge is, the indicative amounts in the current market, and how to get your money back when you leave.

Security Deposit in Dubai: 5% Unfurnished, 10% Furnished

The headline upfront cost is the tenant security deposit paid to the landlord. The long-standing market convention in Dubai is 5% of the annual rent for an unfurnished property and 10% of the annual rent for a furnished one, though some landlords instead ask for a flat amount equal to roughly one month's rent. On an unfurnished apartment rented at AED 100,000 a year, that is around AED 5,000; furnished at the same rent, closer to AED 10,000.

This deposit is refundable and is held as security against damage, not as extra rent. It is paid as a single cheque or transfer at the point of signing, separate from the rent cheques themselves. Dubai rents are still commonly settled in one to four post-dated cheques across the year, so the deposit sits on top of your first cheque rather than replacing any of it. Treat these figures as indicative market averages; the exact percentage, like the number of cheques, is negotiable and written into the tenancy contract.

Getting Your Security Deposit Refunded

The deposit covers damage beyond fair wear and tear. Reasonable ageing — minor scuffs, small nail holes, general use — is the landlord's responsibility, but a landlord may lawfully deduct for genuine damage, unpaid utility balances or missing fixtures when you vacate. In practice, repainting and minor repairs are frequent points of dispute, so photograph the property on move-in day, keep the signed handover inventory, and settle every DEWA and chiller bill before you hand back the keys.

A clean handover is usually refunded within a few weeks of vacating, once final meter readings and outstanding charges are confirmed. If a landlord withholds a deposit without justification, a tenant can file a case at the Rental Disputes Centre, the judicial arm that resolves landlord-tenant disputes in Dubai. Keeping your paperwork — contract, Ejari certificate, deposit receipt and inventory — is what makes that claim straightforward.

DEWA Deposit and Activation: Electricity and Water

No property in Dubai is habitable until the Dubai Electricity and Water Authority (DEWA) account is live in your name. The DEWA security deposit is refundable and is set by property type: around AED 2,000 for an apartment and AED 4,000 for a villa. On top of that sits a small non-refundable charge of roughly AED 130 for a standard apartment connection — made up of a connection fee of about AED 100 plus registration, knowledge and innovation fees of around AED 10 each — rising to roughly AED 300 where a larger meter or villa connection is involved.

Activation is fast once you apply. DEWA typically energises the supply within about 15 working hours of payment, provided your Ejari is already registered, since the Ejari number is required to open the account. You apply through the DEWA app or website using your tenancy contract, Ejari certificate and Emirates ID. When you move out, you close the account through the same app, and the refundable deposit is returned — commonly within about 7 to 10 working days — after any final bill is deducted.

The 5% Housing Fee on Your Monthly Bill

One recurring charge catches many tenants by surprise because it is not a deposit at all. The Dubai Municipality housing fee is set at 5% of your annual rent and is collected monthly through your DEWA bill, spread across 12 instalments rather than charged upfront. On an AED 100,000 lease that is roughly AED 5,000 a year, or about AED 417 added to each monthly DEWA bill. It is worth building this into your running budget, because it continues for the life of the tenancy and is separate from the one-off deposits above.

Ejari Registration and Agency Commission

Ejari is the Dubai Land Department system that makes your tenancy contract legally recognised, and registration is mandatory. You cannot activate DEWA, sponsor family visas or settle many disputes without an Ejari certificate. Registering through a typing or trustee centre runs to around AED 220 including service fees, while registering yourself online through the Dubai REST app is cheaper, at roughly AED 155 to AED 178. The tenant commonly pays this fee unless the contract states otherwise.

Agency commission is the other standard line. Where a broker arranges the lease, the fee is typically 5% of the annual rent plus VAT, and some agencies apply a minimum of around AED 5,000 on lower-value units. On a AED 100,000 lease that is about AED 5,000 plus VAT. This is a one-off cost paid at signing, not a recurring charge.

District Cooling, Gas and Move-In Deposits

Many Dubai communities are served by district cooling rather than individual air-conditioning, supplied by providers such as Empower, Emicool and Tabreed. Where it applies, expect a separate refundable cooling deposit — indicatively in the region of AED 2,000 to AED 6,000 depending on unit size — plus an account activation step, with consumption then billed monthly on top of DEWA. Some older or villa communities use piped gas instead, where a new connection commonly costs in the region of AED 600 to AED 800.

Buildings add their own layer. A large number of managed towers charge a refundable move-in and move-out deposit, often in the range of AED 1,000 to AED 5,000, to cover any damage to lifts and common areas during the shift, and some issue access cards or require a move-in permit booked through the building management. These are controlled by the owners' association or management company, not the landlord, so confirm the exact figures with building management before your moving date.

Budgeting Your Total Move-In Cost

Stacking the charges shows why the real entry cost sits well above the rent. On an unfurnished apartment at AED 100,000 a year, a tenant might reasonably budget around AED 5,000 for the landlord's security deposit, about AED 2,130 for the DEWA deposit and connection, roughly AED 220 for Ejari, about AED 5,000 plus VAT in agency commission, and a further AED 1,000 to AED 6,000 if district cooling and a building move-in deposit apply — before the first rent cheque and any removal or furnishing spend. All of these are indicative market averages that vary by unit, building, floor and view, and the deposits are refundable at a clean handover, so much of the outlay returns to you when the tenancy ends.

Planning a move or a renewal and want the deposit, DEWA and move-in costs mapped against a specific building or community before you commit? The team at Al Dar Aljadeed Real Estate can walk you through the full upfront budget, explain your tenant rights on deposit refunds, and help you secure the right home across Dubai and Abu Dhabi. Reach out to Al Dar Aljadeed Real Estate for tailored, up-to-date guidance.

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