How to Challenge Unfair Increase in Property Rent in Dubai
As one living in a rented apartment in Dubai, the requirements of Law No. 26 of 2007 holding the rapport between residents and landlords in Dubai and those of Law No. 33 of 2008 modifying law no. 26 of 2007 holding the rapport between the tenant and landlords in Dubai is practical.
Rent reduction and enhancement for real estate properties are determined by the Dubai RERA depending on a rent calculator it evolved and runs.
Article 10 of the Dubai Tenancy Law states – “RERA will have the administration measures linking to the ratio of rent growth in Dubai in line with the needs of the overall economic condition in Dubai.”
Depending on the abovementioned requirement of law, you are able to use the RERA rent calculator to find out how much your apartment rents.
In the case you get the rent for the same apartment in your residential space isn’t in line with what has been given to you, you can approach your owner or the real estate agent and inform them of the same.
In case the real estate agent and landlord do not agree, you can request the rental disagreement center of Dubai and lodge a complaint. Depending on your complaint, the RDC can call your landlord and the real estate corporation to determine how much rent you owe on the revitalization of the tenancy agreement.
It is according to Article 13 of the revised Dubai Tenancy Law, which says – “For the objectives of renewing a rental agreement, the resident and landlord can, before the contract expiration, modify any of its terms and reconsider enhancing or decreasing the rent. In case the resident and landlord fail to reach a contract in this regard, the Tribunal can decide the appropriate rent, taking into consideration the standards mentioned in Article 9 of this law.”
RERA Rental Index
In the emirate, RERA has been constituted as a regulatory wing of DLD. The RERA department is liable for regulating the rapport between a landlord and a resident as per the Dubai rules regulating tenancy matters. In this regard, the RERA has presented the Rental Index, according to which rental averages are assigned to different properties, and depending on the provided average, the system produces the relevant legal limitation for a rental enhancement.
The applicable ratio of rental increase –
According to the decree-law, there is a particular rental enhancement ratio assigned to a provided property space, based on different aspects like the fixed average rent determined for that space according to the RERA Index. According to Article 1 of the decree law, the highest rate of enhancement in Dubai will stand decided on the revitalization of the properties’ rent agreements.
Upon receiving a rent enlargement that is unreasonable, the resident is entitled to oppose the enhancement within the standards of the relevant rules. The resident can even object in an example wherein a rental increase is being forced on them throughout the residency. The general standard is that the owner is obliged to give around 3 months’ upfront notice before the expiration of the residency in case there are any alters being proposed in the residency.
It can comprise a rental enhancement. As a first step, determine whether the enhancement is permitted, and in case of lawful, that the landlord has observed the complete processes and given 3 months’ upfront notice regarding the lawfully approved rental enhancement. The notice must stand given in advance of the expiration of the agreement duration, as that would give more time for the resident to make arrangements for vacating in case required.
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