How To Rent Property in Dubai

Since the dawn of the 21st century, Dubai’s real estate property market has evolved rapidly. Dubai has seen significant development and improvement in its infrastructure, security, laws, and regulations, which has helped it become a world-renowned metropolis. People from numerous nationalities live and work in the city, buying and renting properties.

Renting a property is a very attractive option for a passive income. With laws and regulations by the Real Estate Regulatory Authority (RERA) in Dubai protecting tenants’ and landlords’ rights, renting a property has been very easy. The demand for rental real estate properties is at its highest, and here are some tips for you to consider before renting out your property in Dubai.

Tenancy Contract Duration

Before renting out your property, as a landlord, you have to decide whether to rent out your property for a short- or long-term period. This is essential as both short-term and long-term tenancy have advantages and disadvantages.

A significant part of a tenancy duration is keeping your property occupancy rate high. The property always rented out is always beneficial but tiresome, too. For this purpose, hiring a property management company is a good option as it will find tenants on your part and will get you rid of the hassle. 

For a short-term tenancy, it is beneficial as, after the 6-month or 1-year period, you can get new tenants at a higher rate than the last tenants without worrying about the rental controls. If your property is near a popular tourist destination like Burj Khalifa, Palm Jumeirah Dubai Marina, etc, you can get short-term rentals at a higher rate than average.

You have to register your property with the Dubai Department of Tourism and Commerce Marketing before making this decision and taking this step. However, the flip side is that you may have to go through a process of finding and hiring the tenant quite frequently, which is a cumbersome task altogether. 

Long-term rentals are a straightforward decision in most cases. It provides a stable and streamlined income without the hassle of finding tenants frequently. This also saves the cost of hiring agents and property management companies.

The rental rate does not frequently change and takes a small chunk of future income. On the contrary, it saves the time and effort required to go through the process of finding a suitable tenant for your property.

Market Analysis of Your Property

Market Analysis of the property clearly shows the actual market value your property can be rented out to. The analysis brings a clear and comprehensive report about your property. It also highlights the attributes that may increase or decrease the property’s rental value. You may find some amenities you need to add or improve to increase your rental income through a particular property.

Asking too high from the market price may result in lesser attention from the potential tenants, and the delay will be a loss to you and add more cost. On the contrary, not being transparent about the value of your property may result in you agreeing to a lesser price, hence sacrificing your potential income. Market analysis can be done by seeking professionals or real estate companies. 

Elevating and Getting Your Property Ready

Getting your property ready before you find a tenant results in quick decisions by the tenants to finalize your property. The tenants are usually quick on the move, like the property ready to move in, and do not require small functional work like plumbing, electrical, etc.

With getting your property ready, you can also add some attributes like wooden flooring and new windows to enhance the appeal of your property. Suppose you need clarification about designing the interior of your property. In that case, you can always seek a professional interior design servicing company to help you raise the appeal of your property, which can increase its rental value.

Get Professional Help

Hiring a real estate agent to rent your property is not a compulsion. Hiring a real estate professional can be beneficial as the agent will take care of the procedure and save you time and effort finding a tenant, negotiating, preparing documents, and finalizing the move-in procedure.

Sometimes, a landlord or a tenant needs to be made aware of specific laws, which can cause a problem with the tenancy contract in the future; hiring a real estate agent can cover this up as he has experience dealing with these laws daily. Signing a RERA listing form is compulsory when renting your property through a real estate agent. The permit requires 

• Title Deed
• Copy of Passport
• Signed Listing Agreement

Ensure the documentation is correct when renting out your property in Dubai. This can be quickly done when you seek the help of a professional real estate agent.

On the other hand, the landlord may need help with cleaning services, finding a handyman to fix some minor property issues, and elevating or refurbishing the property. This requires the help of professional services, which can save time and help raise the property value.

Suppose the landlord has multiple properties or he has a busy schedule. In that case, he can also seek the services of a property management company to help him collect rentals, find tenants, do tenant background checks, perform periodic maintenance, etc., which can be very helpful for the landlord.

The landlord can also seek professional marketing services for his property. This will help them advertise the property with high-quality photos and videos. Many real estate agents can also provide marketing services to their clients. 

Advertise Your Property

Advertising your property through High-Definition photos and videos is essential when renting out your property in Dubai. This investment adds some cost and expense on your side but will bear fruit when you find a tenant at our desired price. Professional HD photos and videos are an attention grabber and help quickly find the tenants compared to photos and videos taken by an average person from his mobile.

Facilitating the potential tenant in viewings and trying to schedule your appointments according to his availability adds trust and confidence with the potential tenant. Moreover, the property should be kept in a ready-to-move-in condition as this will quickly help you find a future tenant. 

Background Check on the Tenant

Knowing about your potential tenant beforehand can be very beneficial. You can get his credit and background check through your real estate agent or other professionals. You can ask him about the Certificate of Good Conduct. Another option is talking to the tenant’s previous landlords about his conduct to ensure you and your property are fine. 

Tenancy Contract

If you think the potential tenant is good and he likes and finalizes your property, it’s time to sign the agreement. Usually, if you seek help from a real estate professional, they use a RERA Unified Tenancy Contract. Once both parties sign the contract, you can apply for an Ejari certificate. This is one of the most critical steps when renting your property in Dubai.

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