home-icon
HomeCubes
arrow-icon
Blog
All You Need to Know About Dubai Tenancy Law

All You Need to Know About Dubai Tenancy Law

February 5, 2025

Dubai’s real estate market is one of the most dynamic in the world, with a fast-growing population and a steady influx of expatriates. As a result, understanding the legal framework surrounding rental agreements is essential for both landlords and tenants. This is where Dubai Tenancy Law comes into play. The law provides clear guidelines to ensuring the protection of rights and responsibilities of both parties.

In this article, we’ll explore key aspects of the Dubai Tenancy Law Guide, including tenant rights, landlord obligations, rent regulations, and the procedures involved in disputes. Whether you’re a tenant looking for clarity on your rights or a landlord seeking guidance on your responsibilities, this guide will help you navigate Dubai’s tenancy laws with ease.

What is Dubai Tenancy Law?

Dubai Tenancy Law governs the relationship between landlords and tenants in rental agreements. The law is to regulate the rental market, protect the rights of both parties, and ensure fair rental practices. It provides a framework for disputes, rent increases, tenancy contracts, eviction procedures, and other key aspects of rental agreements.

Dubai’s tenancy law is governed by Federal Law No. 26 of 2007. It also known as the UAE Civil Code, and Dubai Law No. 33 of 2008, which specifically deals with tenancy agreements in Dubai. The Real Estate Regulatory Agency (RERA) and the Rent Disputes Settlement Centre (RDSC) are the primary authorities. They are responsible for enforcing these laws and resolving conflicts related to property rental in Dubai.

Key Components of Dubai Tenancy Law

1. Tenancy Contracts

A tenancy contract in Dubai is a legally binding agreement between the landlord and the tenant. According to Dubai Tenancy Law, a written contract must be signed by both parties to formalize the rental agreement. This contract should include details such as:

  • Duration of the lease: The rental term can be fixed for one year or longer. However, it can also be extended with mutual consent.
  • Rent amount: The amount of rent, including the payment schedule (monthly, quarterly, or yearly).
  • Security deposit: The amount of the security deposit, typically equivalent to 5% of the annual rent for residential properties and 10% for commercial properties.
  • Tenant and landlord obligations: The responsibilities of both parties regarding property maintenance, payment of utilities, and other terms.

The contract must be registered with the Dubai Land Department (DLD) through the Ejari system, an online platform that ensures the agreement is legally recognized and registered.

2. Rent Increases

One of the most frequently asked questions about Dubai Tenancy Law Guide is how rent increases are handled. According to the law, rent increases are subject to specific regulations to prevent landlords from arbitrarily raising rents.

One of the benefits of The Real Estate Regulatory Agency (RERA) for the Dubai real estate market is to set guidelines to regulate rent increases. In general, landlords can increase rent once a year, but only within a specific percentage based on the property’s market value. The following rules apply:

  • If the rent is 11% to 20% below the average market rent for similar properties, the landlord can increase the rent by up to 5%.
  • If the rent is 21% to 30% below the average, the landlord can increase the rent by up to 10%.
  • If the rent is 31% to 40% below the average, the landlord can increase the rent by up to 15%.

The landlord must communicate with the tenant about any rent increase at least 90 days before the renewal of the contract. Additionally, if a tenant does not agree to the rent increase, they have the right to dispute the increase through the Rent Disputes Settlement Centre.

3. Tenant Rights

  • Right to quiet enjoyment: Tenants have the right to live in a peaceful environment without unreasonable disturbances from the landlord or other parties.
  • Right to maintenance: Landlords are responsible for maintaining the property in a habitable condition. This includes repairing any structural issues and ensuring that all essential systems (e.g., plumbing, electrical, and HVAC) are functioning properly.
  • Right to a fair contract: Tenants have the right to sign a contract that is fair and transparent. The terms of the contract, including rent and duration, should be clearly outlined.
  • Right to renewal: Tenants have the right to renew their lease agreement upon expiry unless the landlord decides to terminate the contract or raise the rent significantly 
  • Right to dispute resolution: If there is a dispute between the tenant and landlord, the tenant has the right to file a case with the Rent Disputes Settlement Centre (RDSC) for a resolution.

4. Landlord Obligations

Just as tenants have rights, landlords also have certain obligations under Dubai Tenancy Law. Some of the primary duties of landlords include:

  • Property maintenance: Landlords must ensure the property is in good condition and carry out necessary repairs to ensure it is habitable.
  • Respecting tenant privacy: Landlords cannot enter the property without prior notice unless it is an emergency.
  • Providing proper documentation: Landlords must provide tenants with a written and signed tenancy contract and ensure it is registered with Ejari.
  • Rent receipt: Landlords must issue a receipt for any rent payments made by tenants.

Failure to meet these obligations could result in legal action by the tenant through the Rent Disputes Settlement Centre.

All You Need to Know About Dubai Tenancy Law

5. Eviction Procedures

Eviction is a sensitive subject in Dubai tenancy law, and the process must follow strict legal procedures. A landlord cannot evict a tenant without valid grounds.

Valid reasons for eviction include:

  • Non-payment of rent for a specified period (usually three months or more).
  • Violation of the terms and conditions of the tenancy agreement.
  • The landlord needs to sell the property or use it for personal purposes, but only after providing proper notice time.

If a landlord wishes to evict a tenant, they must follow a legal procedure. This includes issuing a notice of eviction and filing a case with the Rent Disputes Settlement Centre if the tenant does not vacate the property voluntarily. The RDSC will hear the case and make a ruling.

6. Dispute Resolution

Disputes between landlords and tenants are common, and Dubai Tenancy Law provides a clear path for resolving them. The Rent Disputes Settlement Centre (RDSC), a division of the Dubai Land Department, handles all rental disputes in Dubai. Both tenants and landlords can file complaints with RDSC, which will then schedule hearings and work toward a resolution.

The RDSC has the authority to:

  • Resolve disputes related to rent increases.
  • Handle eviction cases.
  • Address breaches of contract by either party.
  • Resolve issues regarding the return of security deposits.

Both parties must adhere to the ruling issued by the RDSC, and failure to comply may result in legal consequences.

7. Termination of Tenancy Contract

Either party can terminate the tenancy agreements under specific circumstances:

  • By the landlord: If the tenant has violated the terms of the contract (e.g., non-payment of rent, damage to property), the landlord can terminate the agreement.
  • By the tenant: Tenants can also terminate the contract if the property is deemed uninhabitable or if the landlord fails to maintain the property.

In both cases, the party seeking termination must follow the correct legal procedures, including providing appropriate notice and fulfilling any remaining financial obligations.

Final Thoughts

Dubai Tenancy Law provides a comprehensive legal framework to regulate rental agreements and protect the rights of both tenants and landlords. Understanding the UAE’s taxation system in the real estate sector as well as the key provisions of the law, such as tenancy contracts, rent regulations, and dispute resolution procedure is essential for anyone involved in the Dubai real estate market.

Whether you’re a tenant seeking to understand your rights or a landlord ensuring compliance with the law, the Dubai Tenancy Law Guide offers clear and accessible guidelines to help navigate the rental landscape.

Homecubes as the leading and licensed property tokenization platform in Dubai has got a range of fractional ownership projects in the pipeline. Do not hesitate to contact us and make yourself available for such a lucrative fractional investment opportunity in the Dubai real estate market.