When a tenant’s contract expires in the United Arab Emirates, they often start looking for a new tenancy arrangement. While Ejari contracts have simplified the lives of both landlords and tenants, collecting the whole security deposit in the UAE can be challenging at times. When tenants move out, they can request a refund of their security deposit from their landlord. It occurs regularly and is unproblematic. However, the renter may not be aware of some deductions.
The amount deducted is entirely at the landlord’s discretion, as the law does not set any parameters for determining the total cost of damage or wear and tear. And these deductions can be unreasonable compared to a tenant’s security deposit refund in Dubai. However, getting a full security deposit refund in Dubai is still possible if the tenant does their due diligence and protects themselves by following a few simple rules.
To receive a refund of your security deposit in the United Arab Emirates, you must follow the following instructions.
In most cases, the landlord is compelled to return the whole security deposit to the renter if the tenant vacates the premises in the agreed-upon condition. As a result, it is necessary to study the tenancy agreement in the UAE carefully. In addition to detailing each party’s rights and responsibilities, the contract addresses certain (but not all) information important to rental security deposit claims.
Other vital papers included in the tenancy agreement are check-in and check-out reports. These reports feature photographs of the property’s condition before and after the renter moves in and out. These reports should be completed in the tenant’s presence and with the proof in hand.
It’s much simpler to identify any irregularities in the property’s condition and the extent of damage and wear and tear. If the wear and tear are minimal in the UAE, the renter is entitled to a full refund of their security deposit. If issues about the security deposit check repayment remain, the tenant should submit a formal complaint with the Dubai Rental Dispute Centre (RDC) of the Real Estate Regulatory Agency (RERA). The Dubai Land Department’s RDC is a judicial arm that uses flexible mechanisms to handle rental disputes and other real estate-related concerns in the Emirate.
You should know: Termination of tenancy contract (by landlord)
According to Article 20 of Law No. 26 of 2007 regulating the relationship between landlords and renters in the Emirate of Dubai (the ‘Rental Law’), the landlord must reimburse the security deposit to the tenant when the tenant vacates the unit. It unequivocally states that:
“When entering into a lease contract, the landlord may require a security deposit from the tenant to ensure that the property is maintained after the lease contract expires, provided that the landlord agrees to refund such deposit or the remaining portion thereof to the tenant after the lease contract expires.”
This particular requirement is made up of three key elements:
Keep track of the following from the moment you arrive at your Dubai rental home:
When you demand a security deposit refund in Dubai from your landlord, doing so will help you plead your case better.
Also Read more: An Overview of Filing a Rental Dispute Complaint at the Dubai Rental Dispute Centre
5. The Tenant has a right of recourse
Tenants can register a formal complaint with the Dubai Rental Dispute Centre for a charge of 3.5 per cent of the property’s yearly rent, with a minimum of Dh500 ($136) and a maximum of Dh20,000 ($5,445), plus Dh320 ($87) in administrative fees. The Arbitration Department will try to resolve the dispute within 15 days, but a lawsuit will be necessary if that fails. Within 30 days, a decision is expected.
For further advice, please don’t hesitate to contact our Property lawyers in Dubai
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