According to latest updates from Sharjah Municipality, residents are advised to report any artificial increase in rents by landlords. There are many reported news for artificial rent hikes in many areas of UAE after Dubai Expo 2020 announcement.
According to Gulf News report, Sharjah Municipality says that it is not allowed by law for landlords to increase or adjust housing rents every year.
New tenants are exempt from any cost adjustment for three years from the start of their tenancy contract as reported in Gulf News. Landlords may adjust rents after three years, but in the succeeding year if tenants renew contract, no rent increase is allowed.
Tenants enjoy protection against rent adjustment and they can also report wrong adjustment to municipality. If the tenant has just signed a contract in 2014, they will continue to pay the same rent till 2017 and landlord is allowed to adjust the price in 2018.
This rule is in place since 2007 and not many tenants know about this rule.
“This is not a new rule. We’re just trying to remind people about the existing law because not many of them are aware of it,” Al Kaabi added.
You can call municipality hotline in Sharjah 993 for any complaints related to rent hikes.
This will help market to stabilize and remain active because rents were gone up 4.5 percent in 2014. Many people living in Dubai choose to live in Sharjah because of low rental rates.
There is no such announcement from Dubai Municipality, but rental rates in Dubai are more stable.
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