Looking to rent in Dubai? When you first move, trying to navigate the processes can seem like a maze, however this guide will help you to find the way out…
Long term and short term rentals in Dubai
In Dubai, you can choose from long term and short term rentals for apartments. If you’re choosing to go for a short term rental, usually electricity, water and other bills will be included in the rent. Short term usually refers to under 6 months and long term will be over 6 months.
Finding a property to rent
There are various platforms where you can find apartments, villas or houses to rent in Dubai. Try Bayut, Property Finder, or dubizzle where many agents will advertise properties.
Payments
One of the main things that expats find different in Dubai is the rent payment methods. In many countries, tenants pay an equal amount every month as rent. However in Dubai, most landlords will ask that the tenant pays larger amounts via cheque, this could range from one payment to four or five payments for the entire year.
Dubai Land Department, has since digitalised the process and you can now often pay via direct debit.
The Rental Index for fair rent pricing
The Rental Index was introduced by DLD this year to encourage fair rent for both landlords and tenants. It uses AI and big date to provide accurate predictions of rent prices for properties. The index assesses the area, building, facilities, demand and more and provides an accurate price guide.
Ejari
Once you have signed an agreement, you must register your tenancy contract with Ejari. Ejari means ‘my rent’ in Arabic and is mandatory for all registrations of tenancy contracts. Ejari ensure that all rental contracts are officially recorded and you’ll need it to set up utilities.
DEWA
DEWA stands for the Dubai Electricity and Water Authority and the department is responsible for just that. You’ll need to register and activate your electricity and water as you move in.
Chiller free vs district cooling
Dubai can get hot, especially in the summer so that’s why most properties in Dubai will have air-conditioning in some form. There are two main types in Dubai, district cooling and chiller-free. District cooling means that there are large air-conditioning plants around the city that supply to apartments. For district cooling, there are consumption charges and demand charges. In chiller-free areas, the landlord bears the complete cost of air-conditioning and tenants only pay for electricity consumption.
Hidden costs to be aware of when renting in Dubai
If this is your first time renting in Dubai, being aware of hidden costs will save you freaking out when it comes to payment time when you are renting in Dubai.
- Agency fees. For those using an agency, these are usually 5% of the annual rent.
- Ejari fee. This varies due to method however the standard is Dhs100 plus VAT.
- Housing fee. This amounts to 5% of your annual rent and is paid through DEWA billing system.
- Security deposit. The security deposit is usually 5% for unfurnished properties and 10% for furnished properties.
- DEWA deposit. The DEWA set up is Dhs2,000 for apartments and Dhs4,000 for villas. There are also activations charges as much as Dhs300.
- Cooling. Some apartment towers are chiller-free which means air-conditioning is not charged for, other towers are not and you’ll need to pay, plus a deposit on set up.
Also read: Good news for tenants, rental prices in Dubai are dropping
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