Dubai’s real estate market thrives on transparency and fairness, thanks to the stringent regulations set by the Real Estate Regulatory Authority (RERA). Whether you’re a tenant searching for a home or a landlord renting out a property, understanding these laws is essential. Here’s a detailed exploration of RERA’s tenancy laws and what they mean for residents and property owners in Dubai.
Key RERA Tenancy Laws in Dubai
RERA, a branch of the Dubai Land Department, oversees several critical laws that govern tenancy agreements. Here are the primary regulations:
- Law No. (26) of 2007: This foundational law establishes the framework for landlord-tenant relationships in Dubai.
- Law No. (33) of 2008: This law amends and refines specific articles of Law No. (26) of 2007, addressing various aspects of tenancy agreements.
- Decree No. (26) of 2013: This decree led to the establishment of the Rent Disputes Settlement Centre (RDSC), which efficiently handles rental disputes.
- Decree No. (43) of 2013: This decree focuses on rent increases, setting caps and guidelines for landlords to follow.
Essential Terms Defined by Dubai’s Tenancy Law
Under Law No. (26) of 2007, RERA defines key contractual parameters to ensure smooth operations within Dubai’s rental market:
- Registration Requirement: Tenants and landlords must register their tenancy contracts with RERA through the Ejari system to prevent double leasing and ensure the contract’s validity.
- Automatic Renewal: If a tenancy contract expires and the tenant continues residing without objections from the landlord, it automatically renews for the same duration, up to one year.
- Transfer of Property Ownership: This provision ensures that tenants’ rights are protected even if the property changes ownership during the tenancy period.
Amending Contract Terms
Article 14 mandates that any proposed changes to the tenancy contract, such as rent adjustments or clause additions, require mutual consent from both parties. Notification of such changes must be given at least 90 days before the contract’s expiry.
Terminating a Tenancy Contract
Article 7 stipulates that valid tenancy agreements cannot be unilaterally terminated during their term without mutual agreement. In the event of the tenant’s or landlord’s death, Article 27 ensures the contract’s continuity by transferring it to the party’s heirs unless terminated with a 30-day notice.
Vacating Notice for Tenants
While the mandatory 90-day vacating notice was removed by Law No. (33) of 2008, tenants must still adhere to the notice periods specified in their contracts. Failure to comply may result in compensation claims from landlords.
Eviction Regulations in Dubai
Article 25 outlines the valid reasons for eviction, including non-payment of rent, unauthorized subleasing, property damage, or failure to meet contractual obligations. Landlords can also reclaim property for personal or family use, provided they give tenants a mandatory 12-month notice period.
Rent Increase Guidelines
Rent increases are regulated under Article 9 of Law No. (26) of 2007 and Decree No. (43) of 2013. Rent increases cannot occur within the first two years of the contract’s start date, and landlords must notify tenants 90 days in advance. Tenants have 60 days to accept or reject the increase, which is subject to caps based on the current rent.