RERA TENANCY LAW IN DUBAI

The regulatory agency in charge of regulating the real estate market in Dubai, United Arab Emirates,
is RERA, which stands for Real Estate Regulatory Authority. The Dubai Landlord and Tenant
legislation, often known as the RERA tenancy law, was put into effect by RERA as part of its mission.
To provide a thorough legal framework that oversees the interaction between landlords and renters in Dubai, the RERA tenancy legislation was created in 2007. Its main goal is to protect the rights of both landlords and renters while ensuring openness, equity, and stability in the rental market.

Important clauses in the RERA tenancy law include:

1. Rental Disputes Settlement Centre (RDSC): The RDSC was created as a specialised tribunal to handle rental issues under the RERA Tenancy Law. Landlords and renters may address their disputes on an effective and accessible platform through the RDSC, which guarantees a prompt and impartial resolution procedure.
2. Rental Contracts: According to the legislation, every rental agreement must be put in writing and use the standard Ejari contract. The Ejari contract is a legally binding document that specifies the terms and conditions of the tenancy, including the amount of rent to be paid, how often it is to be paid, how long the lease will last, and both parties’ responsibilities.
3. Rent Increases: There are certain rules for rent increases under the RERA Tenancy Law. If the new rent value is equivalent to similar properties in the same region, the rent rise after the renewal is
limited to a maximum of 20%.
4. Security Deposits: The legislation controls the taking of security deposits and their repayment.
Tenants may provide a security deposit to landlords; however, it cannot be more than 5% of the yearly rent for a residential property. At the end of the rental period, the deposit must be refunded to the renter, less any deductions for damages above ordinary wear and tear.
5. Maintenance and Repairs: Both landlords and renters are subject to various maintenance-related duties under the RERA tenancy law. Landlords oversee making sure the property is liveable, paying for any necessary repairs, and taking care of any structural problems. Contrarily, tenants are required to care for the property and notify the landlord of any damages.
6. Eviction and Termination: Under what conditions a landlord may terminate a tenancy agreement, such as non-payment of rent or violation of contract, is outlined in the law. Like landlords, renters have the option to end the agreement in certain circumstances, such as when the latter neglects to make the required repairs. The legislation provides appropriate notification requirements for each party.
7. Dispute Resolution: The RERA Tenancy Law promotes the peaceful resolution of issues between landlords and renters via negotiation or mediation. The RDSC will examine the evidence and render a binding judgement if the parties are unable to agree.

In essence, four key statutes regulate Dubai's RERA Tenancy Law.

• Law No. (26) of 2007: This legislation governs how landlords and renters interact in Dubai.

• Law No. (33) of 2008: This legislation, which also regulates the landlord-tenant relationship in
Dubai, redefined a few sections of Law No. (26) of 2007.

• Decree No. (26) of 2013: This regulation created Dubai's Rent Disputes Settlement Centre (RDSC), which resolves all rental grievances.

• Decree No. (43) of 2013: Dubai's rent rises are expressly regulated under this legislation.

Terms of Dubai's RERA Tenancy Law.

The Real Estate Regulatory Agency has contractual requirements that enable the efficient operation of the rental property market in Dubai under the Law Regulating Relationship between Landlords and Tenants in the Emirate of Dubai No. 26 of 2007.
Article 4 of Law (33) of 2008 states that either the tenant or the landlord must use Ejari to register the lease agreement with the Real Estate Regulatory Agency (RERA). This prevents the unit from being leased more than once at the same time.
According to Article 6 of RERA's Tenancy Law (26) of 2007, if the tenancy agreement in Dubai
expires and the tenant stays in the home without the landlord objecting, the term of the tenancy will be automatically extended for the same amount of time, or one year (whichever is less), under the same terms and conditions.
A transfer of property ownership to a new owner will not affect the tenant's ability to occupy the property, according to Article 28 of the property rent legislation in Dubai.

Modifying the agreement's provisions.

The landlord or tenant must provide the other party notice of any contract amendments under Article 14 of the Dubai Tenancy Law at least 90 days before the contract's expiration date.
Therefore, three months before the end of the tenancy agreement, the landlord or tenant must
communicate any changes they wish to make to the rent amount, the length of the contract, or the
inclusion or exclusion of any clauses.

Dubai tenancy contract termination.

According to Article 7 of the RERA tenancy legislation in Dubai, legally binding rental agreements
cannot be revoked during their term by either the tenant or the landlord arbitrarily unless both parties consent to do so.
Even if the tenant or landlord passes away, the tenancy agreement remains in effect, according to
Article 27. In such circumstances, the tenancy relationship is transferred to the party's heirs, and the contract continues in effect unless and until the heirs decide to terminate it. Depending on their decision, the heirs must send notice 30 days before the contract expires or the number of days left in the contract, whichever comes first.
The early termination of lease agreements is not particularly governed by RERA property rent laws in Dubai. A tenant must abide by the departure or early termination provision in their lease if they want to terminate their renting agreement in Dubai. If there is no such provision, the landlord may demand payment to terminate the lease agreement early.

Notice to Vacate.

Per Law No. (33) of 2008, the renter is not obligated to give any notice before leaving the premises
once the contract has expired.

It was no longer necessary to provide landlords in Dubai a 90-day notice to vacate per Law No. (33)
of 2008.
Priority is given to the provisions of your tenancy agreement, which may call for a certain notice time
if the contract is not renewed.
If you violate this provision of your contract, the landlord may seek damages as restitution for your
failure to give the requisite notice.
The landlord must also return the security deposit to the renter when they vacate the property, either in whole or the balance after any deductions.

Evictions.

Under Law No. (33) of 2008, which revised Law No. (26) of 2007, Article 25 provides that the
landlord may seek the eviction of the tenant in the following circumstances:
• The tenant does not pay the rent within 30 days after receiving written notice from the landlord.
• Without the landlord's express written consent, the tenant sublets the property.
• Tenant engages in or permits others to engage in immoral or unlawful activity on the property.
• Tenant puts the property's safety in peril by damaging it or by permitting others to do so.
• The tenant makes use of the space for reasons other than those for which it was rented.
• Within 30 days of receiving written notice from the landlord, the tenant violates any provision of the lease agreement or the law.
• In cases where a tenant has stopped operating for 30 consecutive days or 90 days not consecutively
in commercial premises, the landlord may demand eviction.
• If the government deems the property necessary for demolition to further the emirate's urban
development.

Other grounds for eviction.

Under the RERA tenancy contract guidelines, the landlord may also request eviction following the
conclusion of the tenancy agreement if:
• The property needs major repairs or renovations that cannot be done while the renter is living there.
• The property is being sold by the landlord.
• The property is going to be used by the landlord for his purposes or even by first-degree relatives.
In these circumstances, the landlord is required to provide the other party with a 12-month written
notice through registered mail or public notary.

Increase in Rent.

Following Article 9 of Law (26) of 2007, the parties to a tenancy agreement must agree on a rent
amount. This rent cannot be increased until two years have passed since the original contract date.

The landlord must notify tenants of any planned rent increases at least 90 days before the lease
agreement expires, just like with all other modifications. The tenant has the option to accept or reject
the increase, with a refusal requiring at least 60 days' notice before the renewal date.
The Rent Dispute Settlement Centre in Dubai is the place to go if both parties are unable to agree or if the tenant wants to protest an unreasonable rent increase.
All rent increases for properties in Dubai must be following Decree No. (43) of 2013. The increase is
capped at 20% from December 21, 2013, until the present. Depending on the property's existing rent, varying maximum rent increases are permitted under Dubai's rental legislation.
For instance, the Dubai tenancy legislation stipulates that a rent increase is not permitted if the
property's existing rate is up to 10% less than the average rent for identical units but is permitted if it is between 11% and 20% less.
The Real Estate Regulatory Agency is given the jurisdiction to set the proportion of rent increases in
Dubai under Article 10 of Law (26) of 2007.

General responsibilities and rights of tenants.

• Article 19: The renter is required to pay the agreed-upon rent on time. The landlord must give the
renter permission before performing any repairs, renovations, or alterations to the property.
• Article 21: The renter must return the property after the lease term in the same condition, except for normal wear and tear.
• Article 22: The renter is responsible for paying all applicable taxes and fees to the appropriate
government agencies unless the landlord and tenant have agreed differently.
• Article 23: Unless otherwise agreed upon by the parties, the renter may not remove any
modifications made to the property before departing it.

Landlords' general responsibility.

• Article 15: The landlord is responsible for ensuring that the property is in good shape and that the
tenant can utilise it completely per the lease.
• Article 16: Unless otherwise specified, during the duration of the lease agreement, the landlord is
liable for the maintenance, repair, and restoration of any faults, defects, and general wear and tear on the property.
• Article 17: The Landlord may not alter the rented property in a way that prevents the tenant from
using it entirely as intended.
• Article 18: The Landlord shall deliver to the Tenant, when applicable, any government licences
and/or licences necessary for the Tenant to carry out any construction or redecoration of the Property.
In conclusion, to maintain compliance and safeguard their rights, landlords and renters in Dubai
should become familiar with the RERA tenancy law's requirements. The legislation, which offers a just and open framework for both landlords and tenants, has significantly contributed to the
development of a more balanced and regulated rental market in Dubai.

This article's information should not be regarded as legal advice. Hassan Al Reyami Advocates and legal consultants will be happy to discuss your concerns during a 30-minute free legal consultation session if you are involved in any legal issues related to the following subject or have any questions.