In Dubai, the rental market is a pivotal aspect of residents’ lives. With a significant portion of the population opting for rental accommodations, disputes during lease renewals are not uncommon. Disagreements over rent, lease term preferences and maintenance responsibilities are some common examples.
As many navigate these complexities, Dubai real estate continues to adapt to the dynamic needs of its diverse and growing population. Judicial systems like the Rental Dispute Settlement Centre (RDC) by DLD cater to such scenarios and offer assistance to both tenants and landlords.
Here, we have listed the reasons and types of rental renewal disputes in Dubai.
Reasons and Types For Dispute on Rental Renewal in Dubai
Dubai hosts a myriad of rental options. Regarding rental disputes, they may arise for several reasons such as rent changes and property maintenance. To govern and solve such instances, the role of RDC comes into play to foster a healthy tenant-landlord relationship. It is a judicial body under the DLD umbrella and is responsible for settling the different types of rental renewal disputes in Dubai.
In addition, the RERA tenancy laws ensure a smooth rental process in the emirate. The Law No. 26 for 2007 and its amendments outline the landlord rights and responsibilities and the rights and responsibilities of tenants in Dubai. As per the law, a landlord has the right to apply for the evacuation of a property in specific circumstances. These circumstances, totalling 12 cases, provide legal grounds for landlords to seek the removal of tenants and refuse to renew the lease.
Let’s go through the most common cases where a landlord can do so. These are also the top reasons for disputes on rental renewal in Dubai.
DUE RENTS
The most common type of rental renewal dispute in Dubai arises when tenants fail to pay the rent on time. It is also among the most common reasons for tenant eviction in Dubai. However, the landlord must provide a 30-day notice period to the tenants.
DEMOLITION AND MAINTENANCE OF PROPERTY
In Dubai, landlords have the right to evict tenants when faced with the necessity of property demolition or significant maintenance. The process includes giving proper notice, stating the reasons for eviction and informing tenants about the maintenance or demolition plans.
Moreover, if a tenant damages the property that renders it unsafe, they may face a tenancy eviction notice in Dubai.
PROPERTY RETRIEVAL FOR PERSONAL USE
Tenants may also face eviction if the landlord decides to recover the property for personal use. They can do so for their personal or immediate family use. In addition, after the tenant is restored, the landlord cannot lease the property to others for at least two years (for residential) or three years (for non-residential).
It will be unless the committee decides otherwise based on specific reasons. If the landlord violates this rule, the tenant can ask the committee to order fair compensation.
INCREASE IN RENT
Another common type of rental renewal dispute in Dubai is the increase in rent. In terms of rent increases, the tenants should receive a 90-day notification before the end of the lease. It can be done either through a notary public or registered mail.
In addition, the RDC frequently handles cases related to rent hikes, citing the law that permits landlords to raise rent legally. In such cases, the RERA rent calculator can assess the permissible increase based on certain factors such as the property’s size, location and provided services. Landlords can increase the rent upon contract renewal or they must provide a 90-day notice after two years of the tenancy contract.
TENANT INSURANCE
Among many reasons for disputes between landlord and tenant for rental renewal is tenant insurance. According to the law, a landlord can provide insurance to the tenant until the contract lease ends to look after the property. This insurance serves to cover maintenance expenses. When the contract period ends, the landlord must reimburse the tenant with the full insurance amount or any remaining balance.
Similarly, it is the tenant’s responsibility in Dubai to return the property in the same condition as they received it. This means the tenant is responsible for maintaining the property but is not accountable for issues that arise from normal living or unforeseen circumstances.
Moreover, the responsibility of tenants and landlords for property maintenance depends on the contract terms. They might differ for each case and must be discussed clearly by both parties.
FAQs
How to solve a rental renewal dispute in Dubai?
To file a rental dispute in Dubai, one can visit the RDC located in Deira.
What are the types of rental dispute cases raised in the rental dispute centre?
The list of rental renewal dispute types in Dubai includes issues like rent increases, maintenance disputes, security deposit disagreements and breach of tenancy agreements.
Can a landlord refuse to renew your lease in Dubai?
A landlord must notify the tenant 12 months in advance. For a valid eviction notice, it needs to be notarised and delivered through the court or registered emails as specified in the tenancy contract.
This wraps up the different types of rental renewal disputes in Dubai. These aspects must be considered to maintain a healthy landlord-tenant relationship. Moreover, when renting an apartment in Dubai, be mindful of your responsibilities as a tenant. Make sure the contract terms are clear between you and the landlord.
For more on the rights and responsibilities of tenants and landlords in Dubai, keep reading dubizzle’s property blog.
