What are service charges in Dubai and how much are they?
Service charges (also called maintenance fees) are annual fees paid by property owners to cover the upkeep of common areas in their building or community - lobbies, pools, gyms, landscaping, security, elevators, and shared facilities.
Who sets them? The Owners Association (OA) for each development sets the annual service charge budget, which is then divided among unit owners based on unit size (AED per square foot per year). The budget must be registered and approved by RERA via the RERA Service Charge Index.
Who pays? The registered owner - regardless of whether the property is occupied or vacant. Service charges continue even when your property is empty.
How much?
Rates vary significantly by community, building age, and amenity levels:
| Community | Typical Rate (AED/sqft/year) |
|---|---|
| Dubai South, JVC | AED 10-16 |
| Business Bay | AED 14-20 |
| Dubai Hills Estate | AED 12-18 |
| Dubai Marina | AED 15-22 |
| Downtown Dubai | AED 18-25 |
| JBR | AED 20-28 |
| Palm Jumeirah (villas) | AED 20-35 |
On a 1,000 sqft apartment in Downtown Dubai: AED 18,000-25,000 per year.
On a 1,000 sqft apartment in JVC: AED 10,000-16,000 per year.
What to check before buying:
- Request 3 years of service charge statements for the building
- Check if there are any outstanding arrears on the specific unit (seller should clear before transfer - this is part of the NOC process)
- Ask if the building has any major upcoming capital expenditure (lift replacement, façade repair, pool refurbishment) that will require special levy contributions
Poorly managed Owners Associations accumulate arrears and deferred maintenance. All unit owners collectively bear the cost of under-maintenance. A building with low service charges but a long track record of deferred maintenance is not necessarily a bargain.
The RERA Service Charge Index (published at dm.gov.ae) provides reference rates for most Dubai communities. If a building is charging significantly above the index, ask why.
Questions about service charges on a specific property you’re considering?
Related Questions
Have a different question?
Ask Dave directly - he responds to genuine questions.
Ask Dave on WhatsApp