Your contract renewal
When it comes to your annual tenancy contract renewal of your Dubai property, remember that 90 days is the magic number. Given that Dubai has such a wide range of living options from low rises to huge magnificent villas, RERA’s Rental Calculator affords everyone the opportunity to stay put and not pay exorbitant increases and check their landlords’ expectancy of rental increase, if any.
Quick facts you should know as a Dubai tenant
1. 90 days’ notice.
Either party (tenant and landlord) must give 90 days’ notice to the non-renewal of the tenancy contract, unless otherwise agreed. A 90-day notice period is also applicable if the landlord wants to increase the rent, as per the RERA index. No notice means that a landlord cannot raise the rent. If there is no electronic or written communication being served, the Dubai property rental contract is automatically renewed at the same rental price and based on the same conditions as the previous year.
2. 12 months’ notice.
lf the landlord wants to sell or use the Dubai 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. This is non-negotiable.
3. Register the tenancy contract with RERA.
This ensures that the same Dubai property is not rented out twice at the same time. 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.
4. Rent payment.
The rent is normally paid as per the agreed terms in the Dubai property tenancy contract. Payment of rent is usually made in the form of post-dated cheques.
5. Price change.
If you and your landlord don’t mutually agree to a price change prior to a contract renewal, you have the right to file a case with the Rental Dispute Settlement Centre. In this case, you will have to pay 3.5 percent of your annual rent as non-refundable fees (minimum AED 500 to maximum AED 20,000) and visit the dispute centre before a judgment is passed.
As a tenant, you are not required to renew DEWA (Dubai Electricity & Water Authority) every year. When you leave the Dubai property, you should give the landlord or agent a copy of the final DEWA bill.
Most importantly, keep copies of all correspondence. This will come in handy if you need to take your case to RERA or Dubai Rental Dispute Centre.
If you have more queires check out our blog – Know your rights as a tenant in Dubai