Legal & Financial
Unlike the local 'freehold' market for purchasers the rental market is much more established, with residents only having been given the choice to buy in Dubai in 2002. That said the way in which the Dubai property market operates may be a little different to what you or your company are used to.
Tenancy contracts
Commercial tenancy contracts also differ and can cover many different areas of consideration for the tenant. These contracts are very often offered for longer periods than the standard 1 year with residential properties. Business considerations should be given to signing a longer lease however if you are required to carry out any alterations or 'fit-out' then you may wish to amortize these costs over a period of 3 or 5 years without fear of having to move again.
Rental prices
Rental prices for both residential and commercial property have increased significantly over the recent past. Prices vary dependent on the usual factors and our advisers can help you to understand what will meet your budget. Remember that placing your property on the market at the high end of the price range may mean that it remains empty for a time, while lowering the price slightly could secure you an immediate tenant.
Rent is usually paid in advance in one cheque amounting to the total due for the whole year. On occasion landlords do agree to taking 2 or 4 post dated cheques. These are given up front and tenants are obliged to honor the payment of these cheques as it is illegal to bounce a cheque on Dubai.
Costs
Dubai Luxury Homes operates in line with standard property market practice in Dubai. The rental amount that you agree is the actual amount that will be paid to you as the landlord. The tenant will be required to pay a fee to Dubai Luxury Homes for our services equivalent to 5% of the total rental price signed for on the tenancy agreement.
If you do follow our recommendation and sign up for one of our property management packages the prices can be found here. (link to property management prices) You would be expected to pay this money upfront out of the rent received from the tenant.