Renting out as a landlord Updated May 2026

What you can (and can't) deduct from a deposit

Damage beyond fair wear and tear, unpaid bills, and contract-stipulated cleaning. Not faded paint or old grout.

The line between fair deduction and overreach is where most landlord-tenant disputes happen. The Rental Disputes Centre's body of decisions makes the rules clear in practice.

Fair deductions

  • Damage beyond wear and tear — burn marks, large stains, cracked tiles, broken fittings.
  • Unpaid utility bills tied to the property where the tenant was the registered account holder.
  • Cleaning if the contract specifies a professional clean on exit and it wasn't done.
  • Outstanding rent or service charges the tenant owed under the contract.

Not fair

  • Repainting where there's no damage — fading is fair wear.
  • Old grout / minor tile age.
  • "Inspection fees" not in the contract.
  • Costs the landlord would have incurred regardless (annual AC service, common-area cleaning).

Document everything

You're protected if you can show: the move-in inventory the tenant signed, the move-out walk-through (ideally joint), the receipts/quotes for the work, and the email trail. If a tenant disputes deductions at RDC, that paper trail decides the case.

If your contract uses a deposit-deduction schedule (e.g., "AED 500 per replaced door handle"), it must be reasonable. RDC has overturned schedules that look punitive.

Sources: RDC published guidance, Dubai Law No. 26 of 2007.

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