A vast majority of people in the UAE choose to live in a rental home. For both tenants and landlords, it is important to be familiar with the tenancy rules to avoid discrepancies. Ejari, an initiative of RERA, is responsible for recording tenancy contracts within the rules and regulations. Violation of Ejari terms and regulations can have legal consequences.
Hence, when signing any rental agreement, it is important to ensure that both parties are familiar with their rights and obligations. Here’s a guide to RERA rules for tenants and landlords to avoid misunderstandings and have beneficial rental agreements.
RERA DUBAI LAWS FOR RENTAL CONTRACT
The Law No. 26 of 2007 is named as the “Law Regulating Relationship between Landlords and Tenants in the Emirate of Dubai”. This law is applicable to all the leased properties within the Emirate except hotel accomodations and property provided to the employees by the companies at no charge.
These rules and regulations smoothen the rental process. That said, RERA has created contractual obligations to regulate rental property. Let’s get an in-depth knowledge about the RERA rules for tenants and landlords from signing of contract to the lease term end.
LEASE CONTRACT
According to the article no.4 of the RERA tenancy Law, when you rent a property in Dubai, either the tenant or landlord needs to register the written RERA tenancy agreement. Moreover, the other requirements such as property type, landlord and tenant names, term of lease contract, rent value and payment methods must be registered with the authority.
If the rental agreement isn’t registered, the judiciary or authority won’t consider the claim or take any action. Hence, registration of rental agreement with RERA holds utmost importance.
RENTAL TERM
It is necessary to define the term for the lease contract as per the article no. 5 to 8 of RERA rules for tenants and landlords. If the renting agreement has no term period mentioned, it will be difficult to prove the alleged term. That said, the rental agreement will be deemed valid for the specified period until rent is paid.
Moreover, the lease contract can be extended for the same period or one year, whichever is shorter if the landlord doesn’t have any objections. When terminating the contract, both parties must mutually agree else the lease contract will be valid if the decision is unilateral. Furthermore, the sublease contract will expire at the term conclusion. However, if the landlord agrees, it can be extended.
RENT OF THE PROPERTY
Article no. 9 to 14 of RERA tenancy laws define the rent value of the property. That said, both parties must specify the rent in the contract. Besides, the regulatory authority doesn’t allow any amendments in the terms and rent of the lease contract before the two years period. Moreover, RERA holds the right to regulate the percentage of increase in rent.
RERA has an established criteria for increase in the rent. For instance, according to the existing law, landlords can increase the rent by 5% if the current rent is 11 to 20 percent less than the average rent in Dubai. Moreover, RERA laws for tenants direct them to pay the rent on the agreed date. If there is no such agreement for a specific date, the tenants are required to pay advance annual rent in four instalments.
Furthermore, Landlords may increase the rent on the renewal of lease contract according to the RERA rent calculator or a similar category of the property. For instance, the calculated rent will vary for rental residential apartments in Dubai and villas, as well. Tenant or landlord must notify ninety days beforehand if they want to amend or don’t wish to renew the lease contract at term end.
RERA TENANCY LAWS FOR LANDLORD AND TENANTS OBLIGATIONS
RERA rules for tenants and landlords obligations are as followed:
LANDLORD RESPONSIBILITIES
The property regulations authority directs the landlords to perform due diligence and observe the rules from article no. 15 to 18 for better tenant and landlord relationships.
- Landlords must provide tenants a good-condition property allowing the renter proper use of the property it is intended for.
- The property owner will be responsible for any repairs and maintenance work disturbing the tenant’s use of property.
- Law binds the landlord to not make any such changes restricting the tenant’s full use of the property.
- If any damage occurs to the property while making such changes, Landlord will be fully responsible for it.
- The landlord needs to provide approval for such changes that require permission from authorities.
TENANTS RESPONSIBILITIES
RERA rules for tenants and landlords state the following responsibilities of the renters in its article no. 19 to 24:
- Tenants’ duty is to take care of the property as their own and don’t make changes that aren’t permitted by the landlord and authorities in the Emirate.
- The law permits the landlord to refund the security deposit taken upfront at the time of signing the contract which is only possible if the property is in the same conditions as provided.
- Tenants are also directed to pay all the dues (electricity, gas, telephone or water) on time.
- Tenants can not assign the rented property to the use of any sub-lease.
That said, both parties must comply with the laws. If any dispute arises, the case must be brought to RERA which will decide and issue a judgement.
RERA RULES FOR EVICTION
Article no. 25 and 26 define the rental property eviction cases. A landlord may seek eviction in case the tenant fails to pay the rent within the thirty days of notice. Other than that, a landlord can also send eviction notice to the tenants if they use the property other than it is intended for. Besides, if the tenants cause major damage to the property or use it for illegal activities, the landlord may send an eviction notice.
That said, the landlord can seek eviction in case the property needs demolition but this must be approved by Dubai Municipality. If the landlords intend to use the property for themselves or their relatives, they can ask the tenants to vacate the property. However, doing so will legally bind the landlord to not rent a property for a year.
This was all about the RERA rules for tenants which they must keep in mind whether they are renting a villa in Dubai or an apartment. Abiding by laws can not only save you from any charge but builds a healthy tenant-landlord relationship. That said, you can file a complaint to RERA in case of any dispute on the RVS complaint portal and let the special Tribunal settle your problems.
To know more details on real estate authorities and laws in the UAE, stay connected to the top property blog.
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