The service charge index is Dubai’s reference for approved service-charge rates across communities, usually expressed per square foot. It provides an official benchmark for what owners should be paying to maintain their building.
Where you’ll see it
You’ll use the service charge index to check whether the charge on a property is in line with the approved rate for that community. It is helpful when buying comparing the ongoing cost of different buildings and when questioning a charge.
Why it matters
Service charges are a significant recurring cost that affects both affordability and net rental yield. The index lets owners and buyers judge whether a charge is reasonable and approved, rather than taking a quoted figure on trust.
What it is not
The service charge index is not a cap a building can ignore charges are meant to align with approved rates. It is also not the same as the actual invoice, which applies the rate to a specific unit’s area.
Example
Before buying, an investor checks the service charge index for two communities and factors the higher building’s charges into its lower net rental yield.
Connected documents and parties
Approved rates, service-charge invoices; owners, management company, RERA.
Going deeper: related reading: Mollak and rental yield.
Related Terms
How we define terms
Every definition on glossary.ae follows a controlled structure: what the term is, what it is not, when it is used, and where you will see it. Read our editorial methodology to understand how terms are selected, reviewed, and maintained.
Read editorial methodology →
Last reviewed: June 2026