
Dubai's rental market presents a complex landscape heavily favouring landlords and real estate agents, often to the detriment of tenants through inflexible payments, hidden fees, and minimal tenant protection, claims a recent on Reddit.
In an elaborate post, the Redditor complained that unlike most global cities where rent is typically paid monthly, Dubai landlords frequently require tenants to pay in one, two, or four cheques for the entire year. This structure is misaligned with common income cycles, forcing tenants to manage substantial upfront payments.
Real estate agents in Dubai play a significant role in the rental market but often offer limited support to tenants. "Real estate agents in Dubai do little but collect hefty commissions (5% of annual rent) while siding with landlords. They hype up properties, vanish after the deal, and ignore tenant concerns—leaving renters helpless in disputes," the Reddit post read.
Non-refundable security deposits are another contentious issue. Landlords routinely demand substantial deposits, yet the post suggests that these are rarely returned in full. "Minor wear and tear? Deducted. Repainting? Deducted. In many cases, tenants never see this money again," the user complained.
Further complicating the situation for the tenants is the hidden fees. Tenants are often required to pay additional charges for Ejari registration and contract renewals. Furthermore, choosing to pay rent monthly, as is standard elsewhere, incurs extra charges, making flexibility an expensive option within this market.
The system is characterised by its lack of real-world alignment with tenant income cycles, creating financial pressures for many residents. The inflexible payment structures and additional administrative charges exacerbate the financial burden placed on tenants, predominantly immigrants. This system appears designed to primarily benefit landlords, with minimal tenant protection in place.
The Reddit post triggered a long discussion with users mostly agreeing with the user. "This is absolutely ridiculous. Banks don’t even give you decent interest, but landlords have found a way to make easy money. They take huge rent amounts upfront, hold onto your cash for months, and act like they’re doing you a favor," posted a user.
"One option is to try renting directly from property management companies. Dubai, and the UAE in general, is now geared towards homeowners and not home renters. The sooner you can transition from the latter to the former, the more likely you are to prolong your stay in Dubai," shared another user.
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