Ulitmate guide to renting an apartment in Dubai
I
thought that this might be useful for the forum, as it is a topic that
comes up a lot, and is probably too big to be a section of the "read
before posting" sticky.
When first coming to Dubai, one of the
first things many people do is decide where to live. Depending on where
they are coming from they have different expectations of the process. I
will attempt to give a general guide that everyone can use!
Legal issues
In
Dubai the rental contracts are for a fixed term of one year from the
start date. As of today (10/9/2011) there is a legal requirement that
obligates the landlord to offer the same terms the following year,
however this is superceded by the actual terms on the contract, so read
read them carefully.
It is legally impossible to rent a long term
apartment without a valid residence visa. However the banks will allow
you to open an account with a letter from your company stating that the
visa is under process. This is somewhat a grey area, as DEWA will also
accept this. If for any reason your visa does not happen you will
forfeit any legal right to money spent on rent for the apartment.
Many
landlords will only accept payment in one to four cheques. These
cheques are payable at the start of the contract and in the event that
you have agreed to pay in more then one, the others are post dated. This
is very important as the cheques are more then just a method of payment
in Dubai, they are a legally enforced bond, and there can be serious
consequences if you don't cover the funds.
Generally there is a
period of notice at the end of a contract, within which you tell the
landlord whether or not you are staying. If you fail to give notice,
then legally you are bound to renew on the same terms. This is really
important as you don't want to be bound into two contracts if you have
found a new place.
Only make cheques payable to the registered
owner. The only way of checking the owner is to see the title deed, or
the sales contract. Either of these are valid proof. You may also make
payment to a power of Attorney (poa). In this instance it is wise to
have the POA document checked. There are commonly in Arabic, and will
sometimes be dated and should always have the court stamps and stickers
attached. If its a copy and you have doubts,then ask to see the
original.
Agents
Everyones favorite people! There
is a massive variety of people who operate in Dubai as real estate
agents, reflecting the general diversity of the population. These
differing people work to different ethics and standards, and you will
have to find someone you trust and are comfortable working with. A word
of warning however, most agents do not have very high professional
standards, and will generally not respond to emails, texts etc. There
are others that do but they are a minortiy.
The main source of
properties in Dubai is a website called Dubizzle.com. Most agents in
Dubai will put there properties on there on a daily basis. An important
difference in Dubai as opposed to the UK is that there is no sole agency
system in Dubai. A landlord can as will give his property to many
different agents. This leads to problems when trying to arrnage
viewings, as it is not uncommon to view the same property with different
agents. It is also fairly common for an agent to send a client directly
to a property without going to meet them. This leads to further issues
such as doors being locked, or walking in on people who have just moved
in. In order to avoid these occurances there are a few steps you can
take, such as booking viewings a day in advance, and reconfirming an
hour before you go. Ask who you are going to be meeting, and where. Try
to confirm which apartment/villa you are going to see and check you
haven't seen it already. If you find an apartment you like, only put the
offer through the agent who showed you it. By shopping for a better
price through a different agent, the landlord will think that there are
several interested parties and will be firmer on his price. Also try to
only see properties that an agent has direct, as if there are more
agents invloved they will try to charge more commisssion to make it
worthwhile.
The agent is responsible for arranging all the paper
work, and drawing contracts. Before handing over any money you should
see all the ownership documents, and also make sure that the agent is
registered with RERA, as it is illegal to deal with an unauthorised free
lance agent. Try to do the paper work in their office and NEVER make
rent cheques payable to an agent unless they have a valid POA. Check the
POA with the court if the agent is claiming to be the POA.
Bills
Almost
as popular as agents! Every property in Dubai needs to have DEWA
connected. Dubai Electric and Water is exactly that. On top of the
actual amount of each that you use you will also be liable for a housing
fee. This is essentially a tax collected through DEWA. The amount is 5%
of the total rent for the year, split into monthly payments. You can
pay DEWA online, at petrol stations, or a variety of other places.
If
you live in an apartment, depending on the area you may also have a
chiller fee. This is where the AC is centralised and charged per
apartment. All of the Palm and JBR is like this, as are some towers on
the Marina and Downtown. You need to check how much this fee is as it
can be scary, and make a cheap apartment look like less of a bargain.
Depending
on where the property is determines who the service supplier is for TV,
interent and Landline. It will be either Du or Etisalat, and there is
no choice in the matter. They are both fairly expensive, and make sure
you choose the package you want in the beginning as changing it is
heartbreakingly difficult.
Gas supply changes from building to
building, with most just being a simple canister arrangement, but check
when you are viewing a property that you think you will like.
Areas
Difficult one this, and I will only give a very brief overview.
Arabian ranches
Very popular with families. Range from 2 bed townhouses to 6 bed Hattan villas. Prices from about 75k to 340k
Marina
Very
popular with everyone. Bit noisy, massively varying quality in the
different towers. Stick to developments by Emaar, Cayan, Trident and you
will find a nice apartment. If you are a bigger family or have a bigger
budget then the Original 6 is probably the best development.
Palm
Possibly
the best place to live in Dubai! (I am biased!) Good mix of villas and
apartments. All a little bigger then the norm in the Marina. Goes from
modestly priced to very expensive. Contact me for specific information.
Downtown
This
covers all the big towers of Shiekh Zayed and all the Emaar area around
Dubai Mall. Very popular place, like the Marina but possibly better
siuated with more amenities. DIFC is very close and is an upcoming area
of Dubai
Tecom
Good mix of lower priced apartments, and
again an area that is improving daily, with the development being
finished and shops and ameninites setting up there.
Greens
Very nice lower priced family area with a nice mix of shops and facilities, and low and high rise apartments.
Al Barsha
Not a big fan myself, but close to the Mall Of Emirates and all the attendant facilities. Good liks to the Metro as well.
Diera/Bur Dubai
The
older part of Dubai. A lot less western then the other areas mentioned,
but no worse for it. Massive diversity of apartments and villas, and
you would have to source a specialist too guide you through.
Jumeirah/Umm Sequim
Ranges
from exclusive to dilapidated, and again an area that specialist agents
have made their own. Source a good one and be guided
Mirdiff
Cheap
and cheerful housing, larger than many other areas mentioned, but
several pitfalls. Large parts of this area are directly under the
flightpath of DXB, and it can be very noisy. The villas are
independantly owned and maintenance can be hit and miss.
JBR
I
am not a fan of this development at all, but there are positives, such
as easy access to the shops bars and restaurants, and of course the
beach, but the apartments are dark, with tiny balconies, and funny
layouts
General tips
The standard of finishing in Dubai
is not always as you'd hope and expect for such a new place. Moving
into a brand new building is always a gamble, as there are nightmare
stories that I have encountered. Be prepared to have to wait
considerable amount of time to have problems rectified.
When
starting a new lease it is fair to expect it to be painted afresh, but
make sure you request it. It is also understood that you will repaint
when leaving. This amount can and is deducted from the security deposit
at the end of the tenancy.
This is all I can think of at the
moment, but I will add to it as I remember other stuff, and I hope it
helps some people through the process!
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