By Parag Deulgaonkar
Exclusive: New regulations may come into force by June, say sources
Dubai is likely to unveil new rent regulations by June, which will reduce the number of landlord-tenant disputes as well as stabilise the emirate’s rental market, sources familiar with the matter told Arabian Business.
While the exact details of the draft law were not disclosed, sources confirmed the draft is ready and will soon be sent to the emirate’s Legislative Council for review and discussion.
“It will then be sent to the Executive Council for the final endorsement. The new regulations will stabilise the market and significantly reduce number of landlord-tenant disputes,” the source said.
At the start of this year, Dubai Land Department (DLD) introduced new measures to improve transparency in the market, including the mandatory use of a unified rental lease form from this month.
A DLD official recently told Arabian Business that they are also working on introducing new rental security deposit and unit handover forms.
Although Abu Dhabi abolished its five percent rent cap in late 2013, it re-introduced the rent cap in December 2016 to rein in steep rental hikes. The rent cap was set at seven percent when introduced in 2006 but was reduced to 5 percent in 2010.