A Comprehensive Guide for Landlord Rights in Dubai

Dubai’s real estate market is skyrocketing through the roof with a plethora of opportunities. Rental properties are in solid demand; hence, property owners must know the various landlord rights and responsibilities to adhere to. Whether you’re a tenant or a landlord, understanding the landlord rights in Dubai ensures a hassle-free rental experience. These rental laws create a framework that specifies tenants’ and landlords’ rights and responsibilities. These rights fall under the jurisdiction of RERA Dubai, which oversees real estate purchases in the city. This blog will provide comprehensive knowledge about the rights granted to landlords in Dubai and how to navigate the real estate market effortlessly.

Tenancy Law in UAE

The Real Estate Regulatory Agency (RERA) is the Dubai Land Department (DLD) regulatory branch. Following the landlord rights in Dubai, RERA is responsible for resolving conflicts and maintaining a relationship between a landlord and a tenant. Four main laws to keep in mind when we talk about RERA tenancy law are:

• • Law Number 26 of 2007
  • Law Number 33 of  2008
  • Decree Number of 2013
  • Decree Number 43 of 2013

Landlord Protection Laws

Dubai’s legislation emphasises the balance of rights between the landlord and the tenant to ensure a transparent and fair relationship. Here are some aspects of landlord protection laws in Dubai –

• Guidelines for Rental Increase 

When renewing a lease, landlords in Dubai are subject to restrictions controlling how much they can increase the rent. RERA offers a calculator that helps to avoid arbitrary rent increases and keeps the rent within the boundaries. 

The calculator estimates the maximum permissible rent increase depending on –

• • Property Location 
  • Current Rent
  • Market Situation

• Lease Agreements

The need for signed lease agreements between landlords and renters is emphasised in Dubai. It is important to have a well-drafted contract that complies with Dubai’s rules. This agreement defines the tenancy’s terms and conditions, safeguarding both parties by defining demands and responsibilities.

• Security Deposits

Landlords can demand a security deposit from tenants, equivalent to one or two month’s rent for residential properties. This deposit is the security money against any potential damages to the property or if the tenant fails to pay the rent. Under this law, landlords can deduct expenses from this deposit at the end of the tenure, ensuring a justified process.

• Ejari Registration

Lease agreements should be registered through Dubai’s Ejari system to protect owners and tenants. This online portal works as an official record of the lease conditions and helps prevent any fraudulent activity.

• Tenant Removal

If the tenant fails to pay the rent over a long period or violates the contract terms, the landlord can initiate the proceedings of removing the tenant. In that case, a notice will be issued to the tenant and asked to vacate the property.

• Resolving Disputes

Some systems help resolve disagreements between landlords and tenants in Dubai. The Dubai Rental Dispute Center and RERA offer solutions and arbitration procedures, allowing both parties to address their concerns without undergoing lengthy court procedures.

Rights As a Dubai Landlord

If someone is considering renting a property in Dubai, they should acknowledge their responsibilities towards the landlord. To ensure that the landlord’s rights in Dubai are not violated, both parties must register the tenant contract with Ejari.

That being stated, below are the landlord rights in Dubai that every tenant must understand before moving into a rented home. Dubai tenancy laws govern these landlord rights. 

• Right to Rental Income

Landlords have the right to demand rent from tenants as per the agreed terms and conditions outlined in the lease agreement. The tenant must also pay for the utilities such as water, electricity or gas connection. The tenants can not change the property unless the landlord approves it. According to RERA regulation, if the current rent is 11 to 20% less than the Emirate’s average rent, the landlord can raise the rent by 5%. However, it will be determined in line with the RERA calculator. Rent can also be increased upon lease renewal, but in that case, the tenants are supposed to be officially notified three months in advance.

• Right to Eviction

If tenants violate the terms of their rental agreement, the landlord has the authority to ask them to vacate the property. As per Articles 25 and 26, if the tenant fails to pay rent within thirty days of being notified, the landlord may issue an eviction notice. There are several other reasons as well that might lead to an eviction notice. Damaging the property or making changes to the property without the knowledge of the landlord, property being used for illegal or immoral activities, or the property being used other than its intended purpose are some of the reasons why the landlord has the right to give the eviction notice to the tenant. 

A landlord may also issue an eviction notice if the property is to be razed or renovated for civic development. If the property’s renovation or maintenance cannot be completed while the tenants are still residing there, they will be served with an eviction notice. 

• Right to Inspection

It is among the most important landlord rights in Dubai. To maintain the property and ensure compliance with the tenancy agreement, the landlord must give the tenant a written notice 24 hours before conducting an inspection. It is a common practice in Dubai and other cities.

• Right to Terminate The Agreement

A landlord can also terminate the contract before the tenure is completed. However, this is only permitted under certain conditions, such as damage to the property done by the tenant. The landlord must provide a 12-month written notice if the landlord wishes to terminate the agreement before the end date.

RERA establishes the following regulations for terminating a tenancy contract in Dubai:

• • Both parties must agree upon the termination of the contract.
  • If either party dies, the agreement is transferred to the successor of the deceased person. It may only be cancelled with the heir’s permission. 

• Right To Withhold Security Deposit

When renting a property in Dubai, a security deposit is mandatory. In Dubai, landlords can keep the security deposit if the tenant violates the leasing agreement. It involves any unplanned or accidental expense. The security deposit is a large sum paid in advance by the renter to the landlord when they move into the house.

• Request For Repairs

The tenant is responsible for keeping the premises clean and paying the repair charges for the damage caused deliberately or accidentally. In addition, the repair and maintenance provision in a furnished home should be included in the rental agreement. 

• ​Right to Impose Penalties

If the tenant violates the conditions of the lease agreement, the landlord has the right to impose fines on them. They can imply a late payment penalty if the renter fails to pay the rent on time. The penalty, however, must be reasonable and not exceed 5% of the rental value.

To be noted: If there is a disagreement between the parties, they can bring their case to the RDSC. This government organisation aims to settle disputes between landlords and tenants without going through costly and lengthy court trials. The RDSC is authorised to facilitate discussions, hold hearings, or make decisions on disputes, and its determinations are binding under the law.

Lawsuit After the Tenant Vacates to Determine the Maintenance Cost?

The new rental law in Dubai states that the landlord can file a claim for maintenance and initiate legal proceedings to assess the repair cost if any damage is caused by the tenant beyond repair when they vacate the property. If a landlord suspects any damage to their property, they have the right to request a court-appointed expert to assess the damage and determine the repair costs. The court will carefully review the evidence provided by both parties and then come to a conclusion according to UAE law and the tenancy agreement terms.

Landlords and tenants must know their rights and responsibilities to prevent conflicts. Additionally, both parties should prioritise property maintenance throughout the tenancy.

Roles & Responsibilities of a Landlord in Dubai

Landlords have certain responsibilities defined by the legal framework to maintain a smooth and transparent landlord-tenant relationship. These responsibilities include the property’s maintenance, tenant rights, and compliance with contract rules. Here are some of the most important responsibilities of a landlord in Dubai:

• • Maintenance of the property: The landlord is responsible for the property being well-maintained and safe for tenants.
    
  • Repair work: Landlords should address and fix any damages or complications in the property.
    
  • Returning the security deposit: After the contract is over, the landlord must return the security money to the tenant, which was collected at the beginning of the tenure.
    
  • Lease Agreement: Landlord should provide a clear and comprehensive lease agreement.
    
  • Rent Increase: Landlord should follow the regulations set by RERA before increasing the property’s rent.
    
  • Ejari Registration: The landlord is responsible for registering the lease agreement on the Ejari system. The lease registration is mandatory.
    
  • Privacy and Access: Respecting the tenants’ privacy while visiting the property for maintenance is important. The landlord cannot enter the property in the tenant’s absence or without informing the tenant.
    
  • Communication: Landlords should answer tenant enquiries, complaints, and maintenance requests immediately.
    
  • Adherence to Law: Landlords must follow Dubai’s tenancy laws and eviction process.
    
  • Security Measures: Landlords should ensure that the property has the right security measures, such as functional locks and lighting.

Conclusion

Knowing the landlord rights in Dubai is essential to become a successful landlord in Dubai. This guide to landlord rights in Dubai offers information to help you manage your property, build great landlord-tenant relationships, and make right decisions to help you succeed in the real estate market.

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Frequently Asked Questions (FAQs)