Team shortlist21 Feb 2017 AT 10:40 AM

Dubai residents warned to check rental contract before signing

Overlooking this clause could be expensive
Team shortlist21 Feb 2017 AT 10:40 AM
Dubai residents warned to check rental contract before signing
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Moving home is universally acknowledged as one of the most stressful things that you can do in life – up there with losing your job and planning a wedding, apparently – so it’s no surprise that people often overlook the finer details when they find the perfect place.

However, the Dubai Land Department (DLD) is reminding tenants of the importance of reading contracts thoroughly, after Arabian Business raised complains from tenants about the termination clause.

Many tenancy contracts in Dubai now include a clause that stipulates tenants must give three months’ notice to terminate the contract, with financial implications if they breach the contract.

Although there is a united rent contract issued by DLD, landlords can still add multiple clauses, and it seems that the three-month termination is commonplace.

Mohammed Yahya, deputy executive director, rental affairs sector, DLD, told Arabian Business that tenants usually file complaints without reading their contracts thoroughly. “That’s what does not happen in most cases where the tenant files a complaint [with the rent dispute centre] when they need to terminate their contract,” he said.

In previous years, termination clauses of one or two months were more common, however, it’s still possible to negotiate on this with your landlord. According to Parvees Gafur, chief executive officer, PropSquare Real Estate, he usually suggest a two-month termination clause to landlords, so it’s worth asking for this before you sign.

If you’re already locked into a contract, the best thing that you can do is go over all of the clauses to ensure you don’t find yourself in breach without realising it. If not, you could find that it ends up costing you a lot more than you bargained for.

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