Dubai requires all rental contracts to be registered

The government of Dubai in the United Arab Emirates (UAE) will require all leases signed next year to be registered in an online portal it set up to improve access to other government services.   According to the “Gulf News,” all rental contracts in residential and commercial buildings must be registered with the Dubai Land Department (DLD) through the website www.ejari.ae, a portal it set up together with the Real Estate Regulatory Agency (Rera).   The system will help the government monitor the property market while “ensuring (that) all tenants (are paying) their housing fees regularly,” the report said. Statistics from the Philippine Overseas Employment Administration (POEA) show that more than 200,000 Filipino workers were deployed to UAE last year, making the Arab country the second top destination for landbased workers in 2010.    Meanwhile, the Ejari website said it will provide help in the “standardization of rental contracts” and easier “production of documents and receipts required for tenancy agreements.”   According to the Rera, the order to register applies to:

• landlords and tenants in Dubai,
• real estate companies entrusted with the management of others’ realty projects, and
• official agents of owners of commercial complexes and shopping centers.

As the order is “mandatory,” failing to register could delay transactions at several government departments, “principally” the Residence and Foreign Affairs Department, said Marwan Bin Ghulaita, Rera’s chief executive officer (CEO).   Though contacts are currently processed by landlords, Rera urged tenants to check if their lease is registered.   The order “is effective on every new contract in 2012,” but the regulatory body “is prepared to allow individual tenants with existing contracts to wait until these are due for renewal before seeking registration,” he added.   The registration will cost Dh160, which can be paid by either tenant or landlord. Bin Ghulaita said the DLD “will not accept any contract unless it is registered with Ejari.” - VVP, GMA News