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Find out How EJARI Works When Renting a House in Dubai

Find out How EJARI Works When Renting a House in Dubai

The greatest purpose of EJARI is to provide legal security to both landlords and tenants. As a resident looking for a house for rent in Dubai, you have likely come across the term EJARI when it comes to tenancy agreements. These are the things that you have to know about EJARI:

Defining EJARI

In Arabic, it means "my rent". This is the government registration system for both commercial and residential leases which are less than ten years.

Reason for It Being Mandatory for Tenancy

Under the Dubai Landlord and Tenant Laws, all properties must be a Real Estate Regulatory Agency (RERA) registered. Starting March 1, 2017, a prerequisite for registration has been set. It is that a standard form EJARI contract is agreed upon by both parties to a lease. This form is compulsory, and both parties can supplement their preferred terms and conditions.

This requirement is one of the steps taken by the government towards making the city a business hub and providing the tenants with legal protection and security for their properties. It also allows the authorities to record lease transactions.

Reasons for EJARI Registration

1. VISA Application

EJARI registration is required when obtaining a UAE sponsorship both for renewals and new applications.

2. Legally Compulsory

Every leased property must be registered whether it is residential or commercial.

3. Entity Incorporation

EJARI is a requirement for the complete incorporation of companies. It is also required for establishing a branch in mainland Dubai. It is also required for renewing the trade licenses of these entities in the future.

Source: propertyfinder

4. Utility Connections

For tenancy contracts to be acceptable by the Dubai Electricity and Water Authority (Dewa), they have to be EJARI registered. These EJARI-registered tenancy contracts are required by Dewa to be able to connect water and electricity services. Such services will only be activated when you are given the unique EJARI number. The number can be obtained only when the tenancy contract is added to the EJARI system.

5. Guarantees Rights

EJARI protects all the rights of the two parties involved in a tenancy contract. All government agencies accept the tenancy contract as valid once it is EJARI registered. This protects all the parties involved as regards the enforcement of the agreed terms under each tenancy contract.

The standard EJARI contract ensures the clarity of commercial terms, such as rental amount, duration, and payment terms. It also functions as the official record of the agreed rental amount. This makes it difficult for the landlord to circumvent the rental cap rules.

Dubai Court’s Rent Disputes Settlement Centre and other judicial bodies won’t hear any action or claim based on a lease unless it is EJARI registered.

How to Register and How Much

EJARI registration is the responsibility of both the tenant and the landlord. Usually, however, it is the tenant and the real estate agent who will work together to complete the process and comply with the fees.

Registration can be done through one of the approved typing centers or by the EJARI online portal, which is often used by large scale landlords and letting agents. The average cost for an EJARI registration is Dh220 (inclusive of VAT) when it is done through the approved centers. For online registration, it is usually Dh170 inclusive of VAT. You must also upload all copies of the required documents.

Required Documents

  • Title Deeds of the Rental Property
  • Passport of the Landlord
  • Trade License (for Commercial Entities)
  • Passport, Emirates ID, and UAE Visa of the Tenant
  • Form for Property Details Undertaking
  • Tenancy Contract and Any Other Supplementary Contract
  • For Renewal, Previous EJARI
  • Dewa Bill for Renewal, Final Bill for New Registration.

Once you have completed the EJARI registration, the official EJARI contract will be handed to you. This includes the main terms and conditions, a breakdown of your payment, and an attestation that your contract is now registered with EJARI.

If you are looking for a house for rent in Dubai, EJARI is one of the most important considerations. For you to get started, you can check ReDubai.

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