Can a New Landlord Evict a Tenant or Increase Rent: RERA Tenancy Guidelines

Illegal rent issues in Dubai

Are you worried about your new landlord suddenly hiking up the rent or sending you an immediate eviction notice? Eviction or rent increase in Dubai is illegal under certain circumstances.

Understanding your rights as a tenant is crucial. It can protect you from unfair practices. Today, we will simplify the tenancy laws for you, empowering you with the knowledge to navigate any confusion.

Legal tenancy guidelines to aware of when renting in Dubai

Eviction & Rent Increase in Light of Dubai Tenancy Guidelines

Imagine the new landlord sending an immediate eviction notice or excessively increasing rent. What will a tenant do? Knowing your rights as a tenant is crucial to avoid such situations. Let’s discuss the topic in light of Real Estate Regulatory Authority (RERA) tenancy guidelines.

Article (28) of Law No. (33) of 2008 amending Law No. (26) of 2007 provides a stable framework for property ownership transfer in Dubai. According to the law, a transfer of property ownership does not modify or change tenancy rights and contracts in any way, ensuring your rights as a tenant remain intact.

The law clearly states that as a tenant, you have the right to reside in the property until and unless the tenancy contract ends. The only condition is that the Lease contract should have a fixed tenancy term, giving you the power to stay in your home.

Although the new landlord can evict a tenant and increase the rent, specific rules apply. The good news is that the new landlord’s tenancy rules remain the same.

Rent Increase in Dubai by New Landlord

There is no need to stress over sudden rental hikes by a new landlord. Article (1) of Decree No. (43) of 2013 gives a landlord (new or old) the right to increase rent only in certain circumstances. Let’s get straight to the point and understand when a fair rental increase is allowed.

Legally Allowed Percentage

Similar to the old landlord, the new landlord can only increase rent as per the RERA Index. The Rent Index of the Emirate of Dubai lists the rental value of similar properties as a guide to increasing rent. Here are the must-to-know facts:

  • The new landlord can only raise the rent if the current rent value of a house is more than 10% less than that of similar property units.
  • In case the rental value is more than 10% less, the amount of rental increase allowed is listed below:
    • 5% increase (11% to 20% less than similar units)
    • 10% increase (21% to 30% less than similar units)
    • 15% increase (31% to 40% less than similar units)
    • 20% increase (Over 40% less than similar units)

Period to Increase Rent

The main question that comes to mind is, can a new landlord suddenly increase the rent? According to the tenancy guidelines, the landlord cannot increase the rent before the lease expires. This clearly states that the rent fixed in the tenancy contract with the old landlord will continue until the lease term expires.

The new landlord can increase rent by giving 90 days’ notice before the tenancy contract expires. This safeguards tenants’ rights from unfair rental increments.

Eviction in Dubai by New Landlord

The main question that comes to mind is whether a new landlord can evict a tenant in Dubai. Let us reveal that the eviction laws remain the same for the new landlord as for the old one—article (25) of Law No. (33) of 2008 amending Law No. (26) of 2007 regulates evictions in Dubai.

Here are the complete details regarding property evictions by the new landlord:

  • If the landlord wants to sell a property and evict the tenant, he must notify the tenant through a Notary Public or registered post. The eviction notice should be sent twelve months before the eviction date.
  • Suppose the landlord has sent an eviction notice, but he sells the property before the lease expiry. What will happen in this case? Nothing much. A tenant has the right to stay in the property under the same terms until the lease expiry.
  • Next comes the case where a landlord sells the property without giving the tenant a 12-month notice. RERA protects tenant rights by allowing the tenant to stay in the property until the lease expires.
  • If the new landlord wants to use the property for his use, he has to give a 12-month eviction notice to the tenant.
  • Eviction grounds before or after the lease expiry remain the same for the new landlord. A few grounds to evict a tenant are unpaid rent, subletting property, illegal property use and property changes.

Property rental laws in Dubai

Ways to Deal with Unfair Eviction or Rent Increase in Dubai

Transfer of property ownership does not give the new landlord a right to trouble the tenant. Tenants have the legal right to challenge unfair practices. Here are a few ways to deal with an illegal eviction or rent increase in Dubai.

1. Communicate

The tenant should communicate and try to sort things out with the old and new landlord. This will save time and stress when filing a complaint.

2. Take Legal Advice

A tenant can also take legal advice to understand the legal practices and act accordingly.

3. File a Dispute

If nothing works out, the tenant can file a dispute with the Rental Dispute Centre (RDSC) by paying 3.5% of the annual rent value.

Eviction or rent increase in Dubai

FAQs

1. How Does the Rera Rental Calculator Work?

The RERA rental calculator determines the fair percentage of rent hikes by comparing the current rental value of a property with similar units. This ensures a legal raise in rent and avoids any future issues.

2. What Things Need to be Checked Before Signing a Tenancy Agreement?

From reading tenancy contracts to asking for proof of paid utility bills, there are some must-do things to avoid future challenges. Before signing the agreement, review this checklist of 10 things to do.

Our guide must have cleared all your doubts regarding new landlords’ rights for eviction or rent increase in Dubai. Remember, knowing your tenant rights is not just about protection; it’s about ensuring a fair and respectful tenancy experience. It’s your shield against illegal practices by new landlords.

Tenants often feel stressed when solving rental disputes. Check out our complete guide to solving rental disputes in Dubai.

This entry was posted in Laws.

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