All About Tenancy Rules in Dubai

Approximately 80% of Dubai's residents live in rented apartments, making the residential real estate market heavily dependent on this sector. Issues related to changes in monthly payments, responsibilities for maintaining rental properties, and the rights of tenants and landlords remain topical and provoke lively discussions.

Rental Legislation in Dubai

In Dubai, relationships between tenants and landlords are regulated by the Real Estate Regulatory Agency (RERA), which has developed a series of specialized laws. The primary one is Rental Law No. 26 of 2007. In 2008, Rental Law No. 33 was adopted, introducing several amendments to the original document.

Decree No. 26 of 2013 established the Rental Disputes Settlement Centre (RDSC), which handles all disagreements between parties.

The most recent decree, No. 43 of 2013, regulates issues concerning rent increases in Dubai.

In 2017, the Dubai Land Department (DLD) introduced a unified tenancy contract form in both English and Arabic, standard for all types of real estate—residential, commercial, and industrial. It can be downloaded from the DLD website or through the Dubai REST application.

Who Has the Right to Rent Accommodation in Dubai

Long-term rentals (for more than one year) are available exclusively to individuals with the UAE resident status. Without an Emirates ID (resident card), it's impossible to open a bank account, which is necessary for signing a tenancy agreement. Bank accounts can be opened by individuals over 18 or 21 years old, depending on the bank's requirements. Therefore, to rent accommodation, you must have resident status. If you are in the process of obtaining it, you will need to provide supporting documents.

Occupancy Limits upon Move-In

When renting property, you should consider certain rules in effect in Dubai. No more than three people are allowed to live in a studio apartment, no more than five in a one-bedroom apartment, and a maximum of seven in a two-bedroom apartment.

Rights and Obligations of Landlords and Tenants

RERA has established special laws regulating the relationship between landlords and tenants. The main provisions are summarized as follows:

Landlord's Rights and Obligations

• Article 15: The landlord is obliged to hand over the property in proper condition and ensure its use in accordance with the contract.
• Article 16: The owner is responsible for carrying out all repair and maintenance work on the property.
• Article 17: The landlord is not entitled to make changes or carry out repairs that may negatively affect the tenant's use of the premises.
• Article 18: The owner must provide all necessary licenses and permits for conducting repair or construction work.

Tenant's Rights and Obligations

• Article 19: If the tenant wishes to carry out repairs, the landlord must provide the appropriate permission and necessary licenses.
• Article 20: The tenant is required to pay a refundable security deposit; if the landlord refuses to return it fully or partially, the tenant can appeal to the Rental Dispute Settlement Committee.
• Article 21: Upon the end of the rental period, the tenant must return the property in the same condition, except for normal wear and tear; any disputes are referred to the Rental Dispute Settlement Committee.
• Article 22: The tenant pays all taxes and fees related to the use of the property, including subleasing, unless otherwise specified in the contract.
• Article 23: Upon departure, the tenant is obliged to remove any alterations made to the premises.

Registration of the Contract in the Ejari System

All official tenancy agreements must be registered in the Ejari system. After registration, the landlord cannot change the contract terms. Registration is carried out by an agent who fills out a form online on the Ejari website or at a DLD-approved service center. In the latter case, you need to provide:

• Original tenancy contract
• Copies of the tenant's and landlord's passports
• Copy of the landlord's Emirates ID

The cost of online registration is 172 AED ($47), and 220 AED ($60) when visiting an office.

Additionally, moving into some residential complexes in Dubai requires obtaining prior move-in permission. It is advisable to clarify this with your agent.

Payment of Rent

Upon moving in, you need to pay the rent for a year in advance and make a security deposit, usually amounting to 5% of the total cost. After payment, the landlord hands over the keys, access devices, and necessary property documents required for connecting utilities, internet, and telephone services.

It's important to know that during the first two years, the landlord does not have the right to increase the rent. If an increase does occur, it must correspond to RERA rates, which consider the average rental cost depending on the area and location. Significantly exceeding this norm is unacceptable.

Connecting Utilities

The tenant is obliged to apply for the connection of electricity and water supply (DEWA). The real estate agent should ensure there are no outstanding debts from previous tenants. The application is submitted online using:

• Ejari number
• Passport number
• Emirates ID

A deposit is required: 2,000 AED ($545) for apartments and 4,000 AED ($1,000) for villas. These funds will be returned later. To activate the meters, you need to pay 110 AED ($30) and 300 AED ($82), respectively. An additional 30 AED ($8) is charged for registration and an innovation fee.

Navigate Dubai's rental market confidently with DDA Real Estate. Our expert team simplifies complex rental laws, ensuring you find the perfect property while fully understanding your rights and obligations as a tenant or landlord. Trust us to provide transparent, comprehensive services that make your renting experience smooth and secure.