What service charges cover, how they are calculated and how to check them before you buy — so your rental yield adds up.
Service charges are the annual fees owners pay to run and maintain a building or community. They directly affect your net return, so they belong in every investment calculation.
What they cover
- Cleaning, security and maintenance of common areas
- Pools, gyms and other shared amenities
- Building insurance and management
- A reserve fund for major repairs
How they are calculated
Each building's annual budget is approved and divided among owners in proportion to the size of their units, giving a rate per square foot. Your annual charge is that rate multiplied by your unit's area.
How to check them
Approved service charges are published through the Dubai Land Department's Mollak system, and you can look up a building's rates through the DLD or the Dubai REST app before you buy.
Apartments, villas and amenities
Buildings with extensive amenities usually have higher charges. Villa owners in master communities pay community charges, which are often lower per square foot because there is less shared building to maintain.
A high rent with high service charges can return less than a modest rent with low ones.
If you think charges are unreasonable, raise them with the building's owners association; disputes can be taken to RERA.
