Everything You Need To Know About RERA Rental Property Laws

Just as every game should have its rules, every rental activity in Dubai must follow well-defined laws. These laws govern the rights and obligations of both landlords and tenants, ensuring fairness and transparency.

At BSO, we help landlords stay fully compliant with Dubai’s rental laws so they can focus on maximizing returns without worrying about legal pitfalls.

Key Laws Regulating Rental Relationships in Dubai

The Dubai rental market is primarily governed by three regulations:

1. Law No. 26 of 2007
2. Law No. 33 of 2008
3. Decree No. 43 of 2013

Law No. 26 of 2007

This law sets the foundation for rental relationships, covering:

• Signing and registering tenancy contracts (EJARI)
• Tenancy duration and renewal rules
• Rent value, payment terms, and amendments
• Landlord and tenant obligations
• Eviction conditions before or upon contract expiry
• Provisions for landlord death, property transfer, and dispute resolution

Law No. 33 of 2008 (Amendments)

This law refines Law No. 26 and introduces critical changes, such as:

• Removal of the two-year moratorium on rent changes
• Inclusion of eviction for commercial shops
• Eviction for demolition/reconstruction (under Dubai requirements)
• Eviction due to landlord’s intention to sell the property (upon expiry)
• Updated eviction notice requirements

Decree No. 43 of 2013

This law regulates rent increase caps. Rent hikes must align with the RERA rental index and cannot exceed the limits set by the decree.

Important Rental Law Considerations

Landlords Cannot Claim Lease Renewal Fees

Some landlords wrongly demand a renewal fee when tenants continue renting directly without an agency. Under Dubai law, this is not permitted, since the landlord provides no additional service beyond the rental itself.

However, a renewal fee charged by a property management company (such as BSO) is legitimate, as it covers services like:

• Drafting and verifying contracts
• Ensuring EJARI registration compliance
• Hassle-free facilitation using modern tools like e-signature

Automatic Lease Renewal

Under Article 6 of Law No. 26 of 2007, if a tenant continues to occupy the property, the lease automatically renews:

• For 1 year, if the previous contract was 1 year or more
• For the same term, if the contract was less than 1 year

What counts as “Landlord’s Objection”?

Defined under Article 25, clause 2, a landlord can refuse renewal only if they intend to:

• Renovate the property
• Demolish the property
• Sell the property
• Personally occupy the property

In such cases, the landlord must provide written notice via Notary Public or registered mail at least 12 months before contract expiry.

Why Partner with BSO for Rental Compliance?

At BSO, we:

• Ensure all contracts are EJARI-compliant
• Handle renewals transparently and legally
• Protect landlords from disputes and penalties
• Provide full property management services to save time and effort

Verdict: Rental laws in Dubai safeguard tenants, but also empower landlords who follow them correctly. With BSO, your rental business always remains legally compliant and stress-free.

Contact BSO today to place your property under professional management and enjoy total peace of mind.

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