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Dubai tenancy renewal: A guide for tenants 2023

A tenant’s guide to Dubai tenancy renewal 2023

Dubai tenancy renewal: A guide for tenants 2023
     

Is it time to renew your Dubai tenancy contract?

In Dubai, there is no shortage of rental options, ranging from cozy studio flats to sprawling multi-bedroom mansions. So, when it comes time to renew your lease, the option to stay or go is a major one. One significant effect might be the rent increase that your landlord demands when the tenancy is renewed.

It is necessary to verify whether the rent increase requested by your landlord is permitted by the Dubai Land Department (DLD). The simplest method to find out is to use DLD’s rental calculator. This useful online tool shows you the current market pricing for comparable rentals, as well as how much the landlord is allowed to raise the rent. This implies that if the landlord demands a significant rent rise, you will have evidence from the DLD to indicate why this may not be permitted.

But it isn’t all. Here are some things you should know if you want to renew your rental in Dubai.

Must-knows for Dubai tenants seeking to renew

Dubai tenancy renewal: A guide for tenants 2023

90-day advance notice

Both tenants and landlords have 90 days to terminate their tenancy arrangement. RERA also compels landlords to give 90 days’ notice before the end of the tenancy agreement if they intend to raise the rent. If the landlord fails to send any electronic or written notice at least 90 days before the end of the lease, the contract will automatically renew at the same rental price and terms as the previous year. There will be no rent increase unless your landlord gives you sufficient notice. Simple as that.

12-month notice

If your landlord wants to sell the property you are renting, or if your landlord intends to utilize the property for personal reasons (or for the use of a first-degree relative), they must give you 12-months notice. The notification must be in written and submitted by registered mail or notary public before the eviction date.

Registered agreements

It is mandatory to get an Ejari certificate by registering your tenancy contract while renting a property in Dubai. This eliminates the prospect of the property being rented out several times at the same time. Furthermore, unless your contract is not registered with Ejari, the DLD’s Rental Disagreement Settlement Centre will not intervene in the event of a dispute or other issue.

Rent payment

The majority of rental homes in Dubai have fixed-term lease agreements. This implies that the landlord and tenant agree to the terms and conditions indicated in the tenancy contract, including the form and frequency of rental payments, for a fixed length of time. Post-dated cheques are the most frequent method of payment, with the annual rent divided into two, four, or six payments. However, beginning in January 2023, the DLD stated that renters would be able to pay their rent automatically using the Noqodi Ejari Direct Debit Service (DDS).

Disputes about rent increases

The landlord’s planned rent increases must be consistent with the RERA rental index. When a rent increase is disputed, any party may send the matter to the Rental Dispute Settlement Center. There is a simplified dispute resolution process in place, which normally takes a few weeks to complete.

Utilities and bills

As a tenant, you are only responsible for paying utilities like power, water, and cooling for the term of your lease. Once your contract is completed, you should contact the utility companies and submit a copy of your last invoices to your landlord and/or agent.

Paperwork

When your rental ends, it is necessary that you maintain a copy of all correspondence, bills, and other associated papers. These will be required if any complaints are filed with RERA or the Dubai Rental Dispute Centre.

Read our blog to learn more about your rights as a tenant in Dubai: know your rights as a tenant in Dubai.

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AR

AR is a word at heart, despite being a minimalist at heart. He is always looking for new topics to write about.

This Blog is provided solely for educational reasons, including broad information and a general comprehension of its content, including related laws and regulations, and is not intended to give particular legal advice. The Blog is not intended to replace competent advice from a registered expert.

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