12 Questions Answered About Property Management Dubai

Q/A Property management

It’s essential but tedious to choose rental property management companies in Dubai. Verifying the company’s trade license and confirming the legality of the services they can offer Reading customer comments and reviews as well as speaking with previous and current customers are additional steps to take while choosing property management services in Dubai.

When managing a property in Dubai, there are a number of things to take into account and details you should be aware of. Our Frequently Asked Questions can assist you through this process.

1. Questions: How does the RERA rent calculator function? How can tenants benefit from it?

Answer: The RERA rental index is a tool that users can use to determine the average market rent (by unit type) in any location and predict potential rent variations. It is regularly updated and calculated utilizing Ejari data for different properties. Tenants can use it to check whether the landlord offers the space they’re looking to rent.

2. Question: What should a tenant do if offered an apartment for rent higher than the market price?

Answer: Rents are typically a market component in a new contract, and the tenant and landlord can negotiate the rent to reach an agreement. On the other hand, increases in renewal rent should be consistent with the rental index. The tenant might seek assistance from the Rental Resolving Disputes Center if there are any lingering disputes in the future.

3. Question: Could you explain the process followed by the Rental Dispute Settlement Center? What happens if a tenant and landlord have a disagreement? How much time will it take to resolve?

Answer: It is advised that if a tenant and landlord are at odds, the tenant should first speak with the landlord and make efforts to resolve the issue. The tenant may seek assistance from the Rental Dispute Resolution Centre if there is a dispute. It contains a quick procedure that takes only a few weeks to resolve complaints about unpaid rent and security deposits.

4. Question: What does the law say about maintaining a rented apartment? For instance, what about painting or minor repairs?

Answer: Unless both parties agree otherwise, the landlord is responsible for performing any necessary or optional maintenance on a rental apartment. However, most rental agreements provide that the tenant is responsible for small maintenance fees (usually less than Dh500). The property owner must repaint at the end of the lease period unless the lease agreement stipulates otherwise. Repainting is considered maintenance work.

5. Question: When and how often are rent increases permitted in Dubai? Is it accurate to say that a landlord cannot increase the rent for the first three years of a lease?

Answer: The conclusion of each lease period may be associated with a rental increase if permitted by the RERA rental index. Although lease terms can vary, most residential and commercial leases last one year or longer. The landlord has the choice to raise the rent or not in response to the RERA rental index and must provide the tenant with 90 days’ notice unless otherwise agreed before the lease term expires. No, given the laws as they are now.

Relevant: Benefits of Hiring a Property Management Company

6. Question: When should a tenant be notified of a rent increase? Do tenants have the option to contest the rent increase? If so, how and under what circumstances?

Answer: The tenant must be given 90 days’ notice in the event of a rate increase based on the RERA rental index. Tenants may object to a rent increase if the asking Dubai Rent falls within the rental index range.

7. Question: How much of a security deposit can be taken out in total? Sometimes, tenants allege that landlords have taken a significant portion of deposits given in good faith. Can a landlord, for instance, remove the expense of painting or doing a thorough cleaning from the security deposit?

Answer: The landlord may collect money from the security deposit for unpaid rent and other expenses listed in the lease agreement, such as standard painting and thorough cleaning fees.

8. Question: What happens when a landlord requests that a tenant should leave? Is it possible for the landlord to issue an eviction order before the lease period is up?

Answer: The landlord must give the tenant a 12-month notice before asking them to vacate the property. The following are excerpts from Law 26 of 2007, which governs the criteria for eviction.

Article (25)

  • A landlord has the right to request the eviction of a tenant before the end of the lease under the following situations: if, following receipt of notice from the landlord, the tenant failed to pay all or part of the rent within 30 days. Without the owner’s express permission, the tenant sublets the entire property or a portion of it; the subtenant is subject to eviction, and the owner retains the right to refer the tenant for reimbursement.
  • If the tenant, or anybody they permit to, utilizes the property for improper or unlawful reasons. Uncertainty if a tenant changes the property that jeopardizes its safety and cannot be repaired, or if he intentionally damages the home or allows someone else to do so owing to gross negligence in failing to take sufficient safeguards. Suppose the tenant uses the property in a way that is against land-use, building, or planning regulations or for other reasons than those for which it was rented. Property owners who believe their structure is in danger of collapse must provide a technical assessment approved by Dubai Municipality.
  • The following situations may arise when a tenant’s lease term expires, and the landlord decides to seek eviction: If the property must be demolished and rebuilt according to government officials’ orders due to the Emirate’s development requirements. Suppose the property requires extensive maintenance or repairs that cannot be made while the tenant is occupying it, provided that a technical report to that effect is presented and certified by Dubai Municipality. 

Relevant: Expert Guide of Tenancy Contract Between Broker & Buyer in Dubai?

9. Question: Who is liable for any service fees associated with a property?

Any service fees associated with a property are the landlord’s responsibility. Still, as a tenant, you are also responsible for paying a municipality tax of 5% of the annual rent, which is indicated separately on your power bill (this is separate from the 5% VAT). If the property needs to be set up to meter each unit independently, you can be expected to contribute to the air conditioning rates. In this situation, the developer/owners association, rather than a separate utility provider, would typically be responsible for billing the fees.

10. Question: What documents are required to rent a property in Dubai?

Your passport, residency visa, and emirates ID are required if the tenancy agreement is created in your name. A company trade license, a passport copy and visa for the company owner, a passport and a visa for the tenant or tenants if the rental agreement is written in the company’s name. A wage certificate might be another need to demonstrate sufficient income to pay the rental sum.

11. Question: Do I need a bank account in order to deposit rental cheques?

Exclusive Links Leasing & Property Management does not require this since we are legally permitted to collect rental checks made payable to our business for the purpose of clearing debts under the terms of our license. There is no need for a local bank account because, once the rental revenues are received, we can process them to any preferred account, including an international bank transfer to your overseas account.

12. Question: Can I sublet my apartment without permission from my landlord?

A tenant cannot sublet the property unless previously agreed upon with the landlord in the tenancy contract or without the landlord’s prior written agreement. They must abide by UAE laws.

13. Question: Can a property manager help me avoid bad tenants?

Property managers stay vigilant and conscious. They make every possible move in order to deal with the stubborn tenants. So if you hire property manager from a notable real estate company you don’t have to worry anymore.

Conclusion

Choosing a property management company in Dubai is an important task. It is recommended that owners engage with a property management company from day one. Next Level Real Estate provides professional property management services in Dubai. If you’ve purchased a newly completed property or looking for apartment maintenance services in Dubai, Next Level will perform a thorough examination right before the warranty period expires. Rental property management companies in Dubai offer this service to help find any defects and free fixes that need to be made by the developer.

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