A rental security deposit is the refundable sum a tenant pays the landlord at the start of a tenancy to cover potential damage or unpaid obligations. In Dubai it is commonly a percentage of the annual rent often around 5% for an unfurnished unit and more for furnished and is returned at the end, less any legitimate deductions.
Where you’ll see it
You’ll pay the security deposit when signing the tenancy contract, alongside the first rent cheque. It is held by the landlord for the duration of the lease and returned at move-out once the property is checked.
Why it matters
Deposits are a frequent source of end-of-tenancy disputes. Knowing that the deposit is refundable, and that deductions should reflect actual damage beyond fair wear and tear, helps tenants protect their money and landlords justify any retention.
What it is not
A security deposit is not rent it cannot simply be used as the last month’s payment unless the parties agree. It is also not a non-refundable fee; absent damage or unpaid amounts, it should be returned in full.
Example
A tenant pays a deposit on signing. At move-out, the landlord inspects the unit, deducts the cost of a genuine repair beyond normal wear, and returns the balance after the Ejari is cancelled and bills are settled.
Connected documents and parties
Tenancy contract, deposit receipt, move-in/out inspection, DEWA final bill; tenant, landlord, rental disputes centre if contested.
Going deeper: if a deposit return is disputed, see the rental dispute guidance.
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Last reviewed: June 2026