Renewing of tenancy contract is a complicated process, But with a clear-cut understanding of their rules and regulations. it becomes an easy task. In this guide, we will provide all the necessary information a tenant needs for a smooth & effortless renewal process and details about Dubai tenancy contract renewal rules.

Understanding Tenancy Contract Renewal Dubai

Dubai tenancy contract renewals are governed by the Real Estate Regulatory Agency (RERA), which makes sure of fair practices for both tenants and landlords. The contracts are usually renewed on an annual basis and tenants have the right to renew if they meet the required terms and conditions.

Key Considerations Before Renewal

Review the Current Contract

• Revise the conditions of your existing tenancy contract in Dubai, Including the rent amount, payment schedule, and other responsibilities.

Know Your Rights

• According to Dubai’s Rental Law and its amendments, a tenant cannot be evicted during the lease duration unless some specific legal reasons are met.
• Any rent increase must comply with the RERA rental index and should be made known at least 90 before the renewal.

How to renew tenancy contract in Dubai 

Step 1: Receive Renewal Notice

• if there are any changes in the contract such as an increase in rent should be informed by the landlord to the tenants at least 90 days before the expiration of the contract.
• If no notice is given by the landlord, it means that the contract is renewed under the same conditions.

Step 2: Negotiate Terms

• any changes in rent or contract terms & conditions should be discussed with your landlord 
• You can make use of the rera rental index to check if the presented rent is under the legal limits.

Step 3: Draft and Sign the New Contract

• Once all the terms & conditions are agreed upon, a new Dubai tenancy contract is drafted and which should be  signed by both the parties 
• Make sure that all the changes are mentioned in the contract

Step 4: Update Ejari Registration

      The renewed contract must be registered with Ejari

• ejari tenancy contract can be completed online

Rent Increases and the RERA Rental Index

What Is the RERA Rental Index?

• The rental index is a tool which regulates the fair rental value of properties in Dubai.
• It makes sure that rent increases are justified and Within the control limits 

Legal Rent Increase Limits

• 0% if the current rent is less than 10% below market rate.
• 5% if the rent is 10–20% below market rate.
• 10% if the rent is 20–30% below market rate.
• 15% if the rent is 30–40% below market rate.
• 20% if the rent is more than 40% below market rate.

Common problems during Tenancy contract Renewal Dubai

Disagreements Over Rent

• You can take the help of the rera index to resolve any dispute 
• If not agree, then tenants can file a case with the Rental Dispute Settlement Center (RDSC).

Landlord Refusal to Renew

• Landlord must give a valid reason for the non-renewal of the contract such as selling the property or using it for personal use.
• A 12 months written notice should be issued through the registered email or the notary public 

Property Maintenance Issues

-Make sure all the pending maintenance issues are handled before signing the new contract 

-Landlords are responsible for the majority of the repairs unless something else is mentioned in the contract 

Tips for a Smooth Renewal Process

• Start Early: You should start discussing the terms with your landlord at least three months before the expiration of the lease
• Stay Informed: Get yourself familiar with the rental laws of Dubai and rera rental index 
• Document Everything: You should keep written records of all your communication with the landlord 
• Seek Legal Help if Needed: You should consult RDSC for disputes which cannot be resolved easily 
• Budget for Ejari Fees: You should allot AED 170–220 for the Dubai tenancy contract renewal fee

Benefits of Tenancy Contract Renewal Dubai

Stability and Convenience

Staying in the same property for a long time saves you the struggle of moving and other moving-related expenses

Retaining Favorable Terms

Long Terms tenants usually get lower increases in rent as compared to the new leases 

Stronger Landlord-Tenant Relationship

Renewing the lease agreement promotes a sense of trust and cooperation between the tenant and the landlord 

When Should You Consider Moving?

If the presented rent increase is exaggerated or the property doesn’t meet your needs, it may be time for you to move places and check out other options . You can make use of property platforms or consult real estate agents to best options which suit both your budget and lifestyle 

Conclusion 

Tenancy contract Renewal Dubai can be a smooth process if the tenants understand their rights and responsibilities. By staying careful, negotiating the term carefully and complying with all the legal requirements you can easily fix a renewal which benefits both you and your landlord. You should always communicate openly with your landlord or agent and make clear any extra free to avoid any last-minute surprises. With proper preparation, you can easily get a tenancy contract Dubai Renewal and continue the enjoy living in this gem of a city.