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  • 16-Jan-2023

    receiving full security deposit back from landlord

    How to receive the full security deposit back from your landlord?

    Dubai is one of the most popular cities in the world for real estate, and its thriving market is a major draw for tenants looking for great deals and excellent value. With new opportunities being offered up every day, it is no wonder that tenants are keen to look around when their contracts come up for renewal.

    The city's real estate market has long been recognized as a great place to find affordable accommodation with plenty of options available in different areas of Dubai. Tenants can take advantage of competitive prices, flexible leases, and attractive offers when their contracts come up for renewal. They can also benefit from modern facilities such as pools, gyms, spas, and other amenities that make living in Dubai an enjoyable experience.

    Dubai's real estate market offers something special to each tenant - whether they're looking for luxurious apartments or budget-friendly units.

     

    Key Features of Rental Law in Dubai 

    Consider the situation in light of the legal framework. The Dubai Rental Law states unequivocally:

    “When entering into a lease contract, the landlord may obtain from the tenant a security deposit to ensure the maintenance of the property upon the expiry of the lease contract, provided that the landlord undertakes to refund such deposit or remainder thereof to the tenant upon the expiry of the lease contract.”

     

    This particular stipulation has three critical components:

    • The landlord may request a security deposit from the tenant at the start of the rental lease if they so desire (which is usually the case).
    • The security deposit is for 'end-of-lease maintenance' caused by wear and tear on the property while the tenant occupied it.
    • When the tenant vacates the property, the landlord MUST refund the security deposit in full or what is left after deductions.

    In most cases, the landlord receives a security deposit check from the tenant to cover any property damage. When the tenant vacates the rental property, the cost of wear and tear is deducted from the security deposit.

     

    While the law in Dubai explains the purpose and treatment of security deposits, it does not specify:

    • Allowable landlord deduction
    • What constitutes general property damage or wear and tear?
    • What percentage of wear and tear or property damage should be deducted?

    Because the law makes no provisions for calculating the total cost of damage or wear and tear, the amount deducted is entirely at the landlord's discretion. And, in some cases, these deductions are exorbitant in comparison to the security deposit refund a tenant receives in Dubai.

    However, getting a full security deposit refund in Dubai is still possible as long as the tenant exercises caution and protects themselves by following some simple guidelines.

     

    How to receive the full security deposit back from your landlord?

    Renting a property in Dubai can be a great investment, but it always pays to know your rights and responsibilities as a tenant. When it comes to receiving your security deposit back after you move out of the rented property, knowledge is key.
    Here we explore some tips on how to ensure that you get back the full amount of your security deposit from your landlord in Dubai.

    First, when signing the tenancy agreement, make sure that everything is clearly written down, including what condition you must leave the property in at the end of the rental period.

    Second, it’s also important to keep records of all communication with your landlord regarding repairs or maintenance during the tenancy term; this includes photos or videos taken before and after any repair works are done.

    Third, it is important to document the condition of your rental property prior to moving out. Take photos and make sure all existing damages are noted on your final inspection report.

    Lastly, schedule an end-of-tenancy walkthrough with your landlord so that both parties can agree on any damages and associated repair/cleaning costs before signing off on the final paperwork.

     

    With this, you should note down the following factors:

    • Before signing the rental agreement, carefully read it.
    • If any of the security deposit terms or clauses are unclear, seek clarification.
    • Request the landlord to state what is classified as "wear and tear".
    • Before moving in, inspect the property and notify the landlord of any damage or broken items.
    • When you renew your tenancy contract in Dubai, make sure the clauses remain the same.
    • Before making any changes to the property, seek permission.
    • Before you leave, try to repair any damage that may have occurred during your tenancy.

    To summarize, it is always beneficial to cultivate a positive landlord-tenant relationship. Maintain cordial, honest, and professional relations. Maintain effective communication and keep track of your payment schedules. This will help ensure you get your security deposit back from the landlord.

    Service Provider

    Reyson Badger

    Accounting & Auditing Firm in Dubai, UAE

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