A new rent law aimed to clarify and ease the relationship between tenants and landlords drafted recently in Dubai.
Ahmad Saeed bin Mashar Al Muhairi, Secretary General of Supreme Legislation Committee in Dubai, said the law is expected to come into effect by the end of 2018.
The law was designed to provide more tenant rights’ protection and more security to landlords, as well as to give impetus to competitiveness development in Dubai’s real estate rental market.
Al Muhairi explained that the law proposes to bring into life rental agreements division by four different types: for residential rents, for office rents, as well as for commercial and industrial premises lease. The law also clarifies a standardized procedure of increasing rents in both residential and commercial sectors. And besides, the new law also takes into consideration the differences between commercial units with respect to their location and facilities on site.
The circumstances for tenant’s eviction are also made clearer in the new law draft, with more comprehensive legal provisions set to eliminate disputes in this field.
Before proposing the law, the legislators held a number of thorough consultations with Dubai master developers, tenants and landlords. And for now, government agencies are assessing the proposal draft.
According to Asteco latest report, Dubai villa and apartment rental rates dropped by 3 to 4 per cent respectively since the second quarter, "maintaining the downward trajectory" of the past quarters. Year-on-year rental declines were even more pronounced, brining rents down by 14-18 per cent on average, and even up to 20 decline in some communities. The sharpest drop in rental prices was recorded in the areas with the largest influx of new housing on the market. However, this applies mainly to residential properties: commercial rents and office rentals manage to keep rates at almost the same level due to the limited, or sometimes even negative, supply.
If you want to lease out your property at an adequate price, quickly and reliably, and preferably to good tenants, and get rid of managing problems as well, you should definitely take a closer look at
Tel.:+971(50)2528188 (Whatsapp, Viber, Telegram)
Toll Free: 800-IMEX (800-4639)
IMEX REAL ESTATE BROKER LLC, UAE
Office 2502, Marina Plaza, Dubai Marina, Dubai, UAE