You might want to make a list of the costs you should take into account before looking at property listings online so that locating the ideal villa or apartment will be simpler.
Before you agree to move in with your landlord, keep in mind these five significant changes.
Ejari
Ejari is a registration system for residential and commercial leases by Dubai’s Real Estate Regulatory Agency (Rera).
The following procedures will be accessible to you once you have registered your lease contract through the Ejari system:
- Getting water and electricity connection through Dubai Electricity and Water Authority (Dewa)
- Apply for residence visas for dependents
- Sponsoring domestic staff
Additionally, your rental agreement, as well as your Ejari contract, are both up for renewal. The Ejari registration cost is Dh220.
Dewa
You will be qualified to submit an application for a Dewa connection once your Ejari has been registered. You’ll have to pay a security deposit in addition to the activation fees.
You will receive a “welcome” email with a link to pay the security deposit after signing up for a Dewa connection. You can pay your DEWA security deposit online by clicking the link.
Cost:
- If you have a villa, the security deposit will cost you Dh4,000
- If you have an apartment, the security deposit will cost you Dh2,000
Housing fee
Although you might not immediately recognize this tax, it can be found on your Dewa bill. The housing charge assessed by the Dubai Municipality is equal to 5% of the agreed-upon rent. When you own or rent a house in Dubai, you must pay the Dubai Housing cost.
The following is the calculation used to determine your housing fee:
- Divide the housing fee listed on the Dewa bill by 12 to equal your annual rent.
Agent commission
You have to pay your real estate agent’s commission while they are helping you search for a home. On the precise percentage of the commission charge for agents in Dubai, there is, however, a great deal of uncertainty.
The law does not specify a maximum or minimum commission for brokerage costs. Contractual regulation is required for this topic.
Dealing with a real estate agent or brokerage that has been approved by RERA is another essential feature you should keep in mind when looking for an apartment or villa.
You can find the list of licensed real estate agents in Dubai through this link here: https://dubailand.gov.ae/en/eservices/licensed-real-estate-brokers/licensed-real-estate-brokers-list/#/
Cooling fees
Knowing the chiller service costs is crucial before deciding on a specific house. You have two choices: district cooling or chiller-free, depending on your landlord or property developer.
You might stumble across a property listing promoting “chiller free” if you’re looking for an apartment. This indicates that there is central air conditioning in the residential unit, and the property management firm will pay the monthly expenses. When you receive your monthly Dewa bill, the cost of air conditioning will not be included.
District cooling is an additional choice. High-rise buildings with power consumption frequently use district cooling, also known as a chiller service. In a central facility, regular water or seawater is chilled before being distributed throughout the neighborhood using subterranean tubes.
District cooling is only available in a few neighborhoods in Dubai.
