ALL ABOUT DUBAI TENANCY LAW: WHAT YOU NEED TO KNOW
If you’re thinking of renting a place in Dubai, it’s important to understand the rules and regulations of the RERA tenancy law. RERA, the Real Estate Regulatory Agency, is in charge of protecting the rights of tenants and making sure landlords follow the rules. Let’s take a look at the main points of Dubai’s tenancy law, including the terms of the contract and rent increases.
WHAT IS RERA?
RERA is a part of the Dubai Land Department that makes sure landlords and tenants have a fair relationship. There are four important laws related to the RERA tenancy law in Dubai:
1. Law No. (26) of 2007: This law governs the relationship between landlords and tenants.
2. Law No. (33) of 2008: This law changed some parts of Law No. (26) of 2007 and also applies to the relationship between landlords and tenants.
3. Decree No. (26) of 2013: This law created the Rent Disputes Settlement Centre (RDSC), which helps with rental disputes.
4. Decree No. (43) of 2013: This law specifically talks about rent increases in Dubai.
Let’s focus on the terms of the tenancy law in Dubai based on Law No. (26) of 2007.
WHAT YOU NEED TO KNOW ABOUT THE RERA TENANCY LAW
The RERA tenancy law has specific rules set by the Real Estate Regulatory Agency to make sure renting properties works smoothly. Here are some important things to know:
1. Registering the Tenancy Contract: Tenants and landlords must register the contract with RERA through Ejari to prevent renting the same property to multiple people.
2. Automatic Renewal: If a tenancy contract ends and the tenant stays in the property without any problems, the contract will automatically be extended for the same period, up to one year, with the same conditions.
3. Transfer of Property Ownership: If the property is sold to a new owner, the tenant still has the right to live there.
CHANGING THE CONTRACT TERMS
If the landlord or tenant wants to change the contract terms, they must let the other party know at least 90 days before the contract ends.
ENDING THE TENANCY CONTRACT
Neither the tenant nor the landlord can end the rental agreement on their own, unless they both agree. If the tenant passes away, the rental agreement can be transferred to their heirs, who can choose to end the contract by giving 30 days’ notice or until the contract ends, whichever comes first.
If a tenant wants to end the contract early, they have to follow the early termination clause in the contract. If there’s no such clause, the landlord may ask for compensation.
MOVING OUT OF THE PROPERTY
According to Law No. (33) of 2008, tenants don’t have to give a 90-day notice before leaving the property when the contract ends. However, it’s important to check the specific terms of the contract, as it may require a different notice period. Not following the notice period may lead to penalties.
In certain cases, landlords can ask tenants to leave before the contract ends. These cases include not paying rent, subleasing without permission, engaging in illegal activities, causing damage to the property, or using the property for other purposes than allowed. For commercial properties, tenants can be evicted if they close their operations for a specific period or for urban development reasons.
Rent increases are regulated by Law No. (26) of 2007. The rent stated in the contract cannot be increased for the first two years. Landlords must inform tenants about any planned rent increase at least 90 days before the contract ends. The tenant can accept or refuse the increase, but they must give a 60-day notice of refusal before the renewal date. Rent increases must follow Decree No. (43) of 2013, with a maximum increase of 20% since December 21, 2013. The specific maximum increase depends on the current rent of the property.
RESPONSIBILITIES OF TENANTS AND LANDLORDS
Tenants must pay rent on time, ask for permission before making changes to the property, return the property in the same condition (except for normal wear and tear), and pay necessary taxes and fees, as stated in the RERA tenancy law.
Landlords must provide the property in good condition, maintain and repair it, not interfere with the tenant’s use of the property, and obtain necessary permits or licenses for construction or redecoration.
These are the basic rights and responsibilities of tenants and landlords in Dubai according to the RERA tenancy law.
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