Navigating Rent Increase Regulations in Sharjah
If you live as a tenant in Sharjah, it's important to be aware of the rules governing rent increases. In the United Arab Emirates, particularly in Sharjah, strict laws regulate rent hikes to protect tenants' interests. Below we outline the relevant regulations and what you can do if you feel the rent increase does not comply with the law.
Rules on Rent Increase
In Sharjah, the law number 5, enacted in 2024, states that:
1. No increase for three years:
The landlord cannot increase the rent within the first three years of the rental contract, unless both parties expressly agree to a different arrangement.
2. Two-year pause after the increase:
If the tenant agrees to a rent increase within the first three years, the landlord can initiate another increase only after two years.
3. Increase must match fair market value:
After the three-year period, rent increases must adjust to the fair market value, as determined by the law's implementing regulations. The regulation details the method for calculating a "fair rent."
4. Exceptional modification possibility:
The Sharjah Executive Council may amend the periods prescribed by the law.
What to Do if the Landlord Violates the Rules?
1. Communication with the Landlord:
As a first step, it is advisable to communicate directly with the landlord. Often, misunderstandings can be cleared up in a personal conversation.
2. Filing a Complaint with the Sharjah Municipality:
If an agreement cannot be reached with the landlord, you can turn to the Sharjah Municipality, responsible for handling disputes between landlords and tenants. The municipality's competent authorities will conduct a comprehensive investigation into the matter.
3. Involving the Rental Disputes Centre (RDC):
Based on law number 6, issued in 2024, the Rental Disputes Centre (RDC) was established in Sharjah to exclusively handle rental disputes. If the dispute cannot be settled through the municipality, you may approach the RDC, which provides a legal framework for resolving issues.
How to File a Complaint?
a. Collecting Documents:
Collect your lease agreement, written communications with the landlord (emails, letters), and any receipts or other documentation proving the rent increase.
b. Submitting the Complaint:
Submit your complaint to the appropriate department of the Sharjah Municipality or the RDC. During the process, you must provide all relevant information that may help resolve the case.
c. Decision-Making:
The competent authority will hear both parties and make a decision based on the applicable laws.
What to Watch for as a Tenant?
a. Carefully Read the Lease Agreement:
Ensure that the lease includes provisions about rent and that they are in line with the relevant laws.
b. Do Not Overlook the Landlord's Rights:
While laws protect tenants, it's important to respect the landlord's rights as well and pay the rent on time.
Sharjah's strict regulations aim to foster a harmonious relationship between tenants and landlords. If you feel the rent increase violates the law, do not hesitate to take steps to seek justice.