Renting a property in Dubai can be both confusing and stressful so Espace Real Estate have laid out a Rental Guide to help you along the way.
We want to make sure that your rental transaction is straight forward from start to finish.
Three factors to consider when renting a property are:
Terms of Payment:
In Dubai Tenants in most cases pay the full rental upfront in one cheque, however in some cases Landlords allow Tenants to pay in multiple cheques, in this circumstance the Tenant would need to provide the Landlord with postdated cheques prior to the move in date.
The standard tenancy term is 12 months but multiyear contracts (2 year) are also possible. You can now also benefit from Short Term Rentals in Dubai but the process for this is much different.
Know your rights:
RERA (Real Estate Regulatory Agency) is a branch within the Land Department and are responsible for authorizing and regulating the real estate sector in Dubai. Espace Real Estate is a fully licensed and registered company, our ORN (Office Registration Number) is 936.
It’s All About Location!
Dubai is home to some of the best homes and residential areas in the world so Tenants have a wide choice when picking their next home. Many factors must also be considered during this process – local schools, distance to work and community facilities to name a few.
Depending on the area you chose will determine how much rent you are likely to pay. Are you looking for a penthouse apartment with a full sea view, or a villa opposite the park and pool? – these properties all will demand different rental prices.
In order for Espace to help you find your dream home it’s important that you are open when it comes to your specific requirements. A few points to consider:
-Number of bedrooms
-Apartment or Villa
-Furnished or Unfurnished
-Is the apartment serviced?
-Local amenities and facilities
-Is the chiller included?
Once you have chosen your desired location we would recommend checking out the average prices in the area.
Viewings with Espace
Once we have fully taken down your requirements and fully understand what you are looking for we will compile a list of properties for you to view, we will always aim to select between 3-5 properties for you to see on the initial meeting.
Making an Offer
Once you have found your perfect place Espace will discuss putting your offer across to the Landlord. When receiving an offer the Landlord will take into consideration three major factors, these are:
Most Landlords are flexible when it comes to negotiating a price, but there are also some that are not, this really does depend on the Landlords current situation and rental motivation. Ultimately the final decision from the Landlord normally comes down to two things:
The start date can be a major factor when a Landlord is considering an offer, in most cases the average time between the offer being accepted and the Tenant moving in is 2 weeks. There may also be works being carried out on the property which makes it unavailable straight away, the property may also be tenanted or the owner may still be living there.
Number of Cheques:
In Dubai the fewer cheques you pay the more of a discount on rent you can expect. Tenants who pay in one cheque are more likely to receive a better discount on rent than a Tenant who is paying in four cheques.
Once Your Offer Has been Accepted:
As soon as your offer has been accepted and all terms and conditions have been agreed by both parties its essential that you pay your deposit as soon as possible in order to remove the property from the market.
Documents You Will Need:
-Visa if non GCC Resident
You will need to supply a number of documents in order for us to draft the tenancy agreement. We would need the following documents:
-Emirates ID front and back
There maybe situations where your residency visa is being processed, if this is the case we would need a letter from your employer stating that your visa is under process. If your company is signing the contract we would need your companies Trade License, the authorized signatories visa, passport and Emirates ID.
Espace Real Estate use the standard tenancy contract in Dubai for all rental transactions. Most of the clauses in the contracts are non-negotiable and are subject to the current RERA law.
The Landlord and Tenant will need to sign three original contracts, one for the Landlord, one for the Tenant and one for agent (Espace)
To secure your property you will need to pay a security deposit which would need to be a current dated cheque written out to the Landlord. The security deposit amount depends on if your property is furnished or unfurnished.
-5% of the annual rent if the property is Unfurnished
-10% of the annual rent if the property is furnished
The purpose of the Security Deposit is to remove the property from the market and hold until the tenancy begins, this will prevent the Landlord from still letting other agents view the property.
All rental payments are made in advance and must be in cleared funds ready for the contract start date.
If you are paying in multiple cheques you will need to make sure you have written out the current cheque along with all post-dated cheques which will all need to be handed over to the Landlord.
Espace Real Estate charges 5% of the annual rental amount for a standard 1 year (12 month) contract. The agency fee is made payable to Espace Real Estate Broker and is handed over upon the signing of the agreement to ensure that funds are cleared.
Most communities in Dubai have their own individual move in process and each require certain documents which need to be approved prior to the move in date. Failure to obtain a valid move in permit will result in your removal company being refused entry to the community or tower. Espace Real Estate will advise you on your chosen communities move in process.
It is the Tenants responsibility to pay all utilities and the Landlords to pay the community service charges. To have your utilities set up successfully prior to the start date of your tenancy you will need to follow some important steps to avoid being left in the dark.
Tenants have the option to renew their contract for another 12 months (1 year). The Landlord must always be notified at least 90 days (3 months) before the end of the tenancy.