Ending
tenancy
contract guide

Step-by-step guide for ending tenancy contract

1Register the tenancy contract with RERA

This ensures that the same Dubai property is not rented out twice at the same time. If you do not register the tenancy contract, any dispute arising out of the same will not be entertained by the Dubai Rent Dispute Settlement Centre.

2Rent payment and Security Deposit

The rent payment and security deposit are normally paid as per the agreed terms in the Dubai property tenancy contract. Security deposit has a standard percentage of 5% for Unfurnished and a 10% for Fully-Furnished or depends on the agreement of both parties. Payment of rent is usually made in the form of post-dated cheques.

3Price change.

If you and your landlord don’t mutually agree to a price change prior to a contract renewal, you have the right to file a case with the Rental Dispute Settlement Centre. In this case, you will have to pay 3.5 percent of your annual rent as non-refundable fees (minimum AED 500 to maximum AED 20,000) and visit the dispute center before a judgment is passed.

490 days’ notice. (Early Termination)

Either party (tenant and landlord) must give 90 days’ notice to the non-renewal of the tenancy contract unless otherwise agreed. A 90-day notice period is also applicable if the landlord wants to increase the rent, as per the RERA index. No notice means that a landlord cannot raise the rent. If there is no electronic or written communication being served, the Dubai property rental contract is automatically renewed at the same rental price and based on the same conditions as the previous year. In case of early termination of the tenancy contract, the tenant agrees to give three (3) months' written notice to the landlord and agrees to pay two (2) months of rent starting from the move-out date as the penalty of early termination

512 months’ notice. (Eviction Notice)

if the landlord wants to sell or use the Dubai property for his personal use or for his relatives of the first degree or desires to demolish the premises in order to reconstruct it, he/she must provide you with 12 months’ written notice prior to the eviction date through notary public or registered mail. This is non-negotiable.

6Utilities (DEWA, Chiller, and Gas)

As a tenant, you are not required to renew DEWA (Dubai Electricity & Water Authority) every year. When you leave the Dubai property, you should give the landlord or agent a copy of the clearance for utility bills.

7Proof.

Most importantly, keep copies of all correspondence. This will come in handy if you need to take your case to RERA or Dubai Rental Dispute Centre.

CLOSE YOUR RENTAL CONTRACT