Rental property agreement in Dubai

Tuesday, September 20, 2016

Confused about the changing rental Dubai property laws? Make sure you know your legal rights as a tenant. Here’s a quick look at the top things to...

 

Confused about the changing rental Dubai property laws?

 

Make sure you know your legal rights as a tenant. Here’s a quick look at the top things to remember when renting a Dubai property.

 

  • Rent increases are dealt with by Real Estate Regulatory Agency (RERA): RERA reserves the exclusive authority to specify the percentage of rent increase in Dubai. RERA’s website (www.dubailand.gov.ae) provides a rental increase calculator for calculating the legally permissible increase in rent. The maximum increase permitted is 20 percent and against the rent index. A property would need to be over 40 percent undervalued for a 20 percent rent increase to be legally applicable.
  • 90 days’ notice: You and your landlord must give 90 days’ notice for the non-renewal of the tenancy contract, unless otherwise agreed. In the case of commercial properties, the landlord may demand eviction if the tenant has closed for 30 consecutive or 90 inconsecutive days without valid reasons.
  • 12 months’ notice: lf the landlord wants to sell or use the property for his personal use or for his relatives of first degree, he/she must provide you with 12 months’ written notice prior to the eviction date through notary public or registered mail.
  • Register the rental contract with RERA: If you do not register the tenancy contract, any dispute arising out of the same will not be entertained by the Dubai Rent Dispute Settlement Centre.
  • Rent payment: The rent is paid as per the agreed terms in the tenancy contract and in the form of post-dated cheques.
  • Repairs and maintenance: The landlord is responsible for handing over the Dubai property to you in good condition, undertaking major maintenance and repair works and providing you with all the approvals required by government authorities to carry out the agreed work. In return, as a tenant you should pay the rent on time and all other government charges and fees (as agreed), maintain the property, not carry out any changes, renovations or maintenance without the landlord’s permission and return the Dubai property in good condition.

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