Dubai: Recent updates to Dubai’s Real Estate Regulatory Authority (RERA) Rental Index have introduced new procedures for obtaining rent valuation certificates. These changes are crucial for property owners and tenants, particularly when facing rent disputes in Dubai’s real estate market.
Under the updated RERA system, rent valuation certificates can now only be requested if a dispute is registered with the Courts or the Rental Dispute Centre (RDC). Previously, these certificates could be obtained without a dispute, often leading to inconsistencies in rental evaluations and frequent disagreements between landlords and tenants.
The RERA Index remains the primary reference for determining rental amounts. If there’s a disagreement over the rental amount, either party can file a case to potentially obtain a rent valuation certificate.
The RERA Rental Price Index, accessible via the smart investment map, provides clear guidelines on permissible rent increases based on how the current rent compares to the average annual prices in the area. Rent increases can range from 5% to 20%, depending on how much lower the current rent is compared to the area’s average.
For those looking to apply for a rental valuation certificate, applications can be submitted online through the Dubai Land Department’s website or the ‘Dubai REST’ app. Required documents include property photos and either a lease contract registration certificate or a judicial order related to the property’s rent evaluation. The application fee is Dh2,000 per property unit, with a maximum fee of Dh10,000, and processing takes about seven working days.
These updates to Dubai’s rental evaluation system aim to streamline the rent valuation process, reduce disputes, and provide clear, consistent guidelines for both landlords and tenants, ultimately fostering a more transparent and fair rental market in Dubai.
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