By Staff

Dubai is set to launch a new “Rent Now, Pay Later” service in September, allowing tenants to pay annual rent in monthly instalments without interest.

The initiative is being developed by the Dubai Land Department (DLD) in partnership with a local bank and is designed to make rental payments more flexible and housing more accessible.

Under the proposed scheme, the participating bank would pay the landlord the full annual rent upfront. The tenant would then repay the bank through flexible instalments over a period of up to 12 months, with no interest charged.

Officials are still finalising the details, including eligibility criteria, application procedures, repayment arrangements and the terms governing relationships between tenants, landlords and the bank.

If implemented as planned, Dubai could become the first city in the world to introduce such a system as an integrated feature of its rental market.

The initiative follows the DLD’s Flexi Rent programme, launched in June, which expanded rental payment options to include monthly, quarterly and semi-annual instalments.

The latest move is expected to provide tenants with greater financial flexibility while supporting stability in Dubai’s rental market.