How Will the New Rent Law in Dubai Affect the Real Estate Market?

How Will the New Rent Law in Dubai Affect the Real Estate Market?

Last April, the Dubai Land Department announced considering a rent law proposal that is meant to help the Emirate's real estate market achieve the major post-pandemic recovery hoped for.

According to the new proposal, tenants can enjoy a rent price freeze once they sign a rental contract for at least three years. The proposal that has been perceived as pro-residents one will prevent landlords from increasing rental prices for the three years that residents commit to staying at the property.

Not only is this proposal meant to boost the real estate market in Dubai, but also to stabilize the market and consequently the number of people residing in the emirate. Considering that Dubai is mainly inhabited by foreign expats who relocate for work, this proposal is expected to serve as a grounding strategy to keep them in the country for as long as possible, which can eventually help Dubai and the UAE recover from the economic devastation caused by the COVID19 pandemic.