Cost of registering rent contract

Costs and rules vary from emirate to emirate

It will cost Dh160 to register your tenancy contract on Ejari system in Dubai, while the cost for registration in the Tawtheeq system of Abu Dhabi is Dh100.

Although very few landlords pay the fee, it is generally the tenant who bears the cost. But in Abu Dhabi, it is the landlord who has to pay the fee.

In Sharjah, the tenant needs to pay 2 per cent of the total value of the annual rent contract or a minimum of Dh300, whichever is higher. Ajman charges 1 per cent of the annual rent as the fee from the tenant.

Dubai

In Dubai, either the tenant or the landlord, has to register the contract on Ejari. The landlord can do it online by logging on to the Ejari website, however, the tenant has to visit one of the DLD authorized typing centres.

The typing centre charges an additional Dh35 for their service besides the Dh160 fee. Some of the authorized centres provide an "urgent" service, charging Dh25 in addition to the normal typing charge (Dh35).

The documents required in Dubai are:

-Original tenancy contract

-Dewa bill

-Copy of the title deed or affection (site) plan

-Passport copy with visa page

Abu Dhabi

The unit owner and the tenant have to be physically present at the municipality to register the contract. If the owner is absent, then the other party needs to have a power of attorney from the owner/landlord. The onus of paying the fee lies with the owner, but it depends on the deal that the owner and the tenant might have struck.

The fees to be paid are:

-New tenancy contract registration: Dh100

-Updating tenancy contract: Dh50

-Renewing tenancy contract: Dh100

According to Abu Dhabi Municipality, the following are the consequences of non-compliance:

-Inability of obtaining a registered tenancy contract to be submitted to government entities and institutions to access the services available and complete their transactions as "Tawtheeq" system is linked with the strategic partners to achieve the required integration as the registration of leasable properties and tenancy contracts in "Tawtheeq" system has become part and parcel of the procedures required for completing various government transactions.

-If a dispute arises between the two contracting parties, no application can be submitted to the tenancy dispute settlement committee unless there is a registered tenancy contract by the municipality of Abu Dhabi city.

Sharjah

In Sharjah, since there is no freehold for expats, building owner fill up the registration form, which has to be signed by the tenant and the owner. Sewa consumer number has to be verified and stamped by your residential location Sewa office. Requisite documents have to be provided.

The fees structure is

- Municipal fees per annum shall be two per cent of the total value of the contract or a minimum of Dh300 whichever is higher

- An additional Dh50 towards registration charges

Ajman

The fee is one per cent of the annual rent and has to be paid by the tenant.

(Compiled from information collated from call centres of the government departments, municipality websites and authorized typing centres for Dubai)

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