Tenancy Contract in Ras Al Khaimah: What You Need to Know
If you`re planning to rent a property in Ras Al Khaimah (RAK), it is essential to have a tenancy contract. This contract is a legal document that outlines the terms and conditions of the tenancy agreement between the landlord and tenant. In this article, we`ll discuss tenancy contracts in RAK and what you need to know before signing one.
1. Types of Tenancy Contracts
There are two types of tenancy contracts in RAK – fixed-term and renewable. A fixed-term tenancy contract is for a specified period, usually one year. A renewable tenancy contract, on the other hand, is for an unspecified period and is renewable every year.
2. Contents of a Tenancy Contract
A tenancy contract in RAK should include the following information:
– Names and contact details of both the landlord and tenant
– Rental amount and payment terms
– Duration of the tenancy
– Security deposit
– Maintenance and repair responsibilities
– Termination conditions
3. Security Deposit
A security deposit is a sum of money paid by the tenant to the landlord at the start of the tenancy. This deposit serves as security in case of any damages or unpaid rent. In RAK, the security deposit should not exceed five percent of the annual rent.
4. Rent Increase
In RAK, landlords are allowed to increase the rent only after the expiry of the tenancy contract. The maximum increase allowed is five percent of the current rent.
5. Termination of Tenancy
The termination conditions of the tenancy contract should be clearly outlined in the contract. In RAK, a tenant can terminate the contract by giving one month`s notice to the landlord. The landlord can terminate the contract by giving three months` notice to the tenant.
6. Ejari Registration
All tenancy contracts in RAK must be registered with the Ejari system. Ejari is an online system that registers tenancy contracts with the Real Estate Regulatory Authority (RERA) in Dubai. It is mandatory to register the tenancy contract with Ejari to obtain a residence visa, a new gas connection, or to renew an existing tenancy contract.
7. Tenancy Contract Renewal
If the tenancy contract is renewable, the landlord and tenant must agree on the renewal terms. The renewal terms should be included in the initial contract.
8. Legal Rights
Both the landlord and tenant have legal rights under the RAK tenancy laws. The tenant has the right to a habitable property and privacy, while the landlord has the right to receive rent on time and to be notified of any issues with the property.
9. Dispute Resolution
In case of any disputes between the landlord and tenant, both parties can approach the RAK Rental Dispute Settlement Centre. This centre is responsible for resolving any rental disputes and is an independent body.
10. Seeking Legal Advice
It is always advisable to seek legal advice before signing a tenancy contract in RAK. A legal advisor can help you understand your rights and obligations under the tenancy laws.
In conclusion, a tenancy contract is an essential document that outlines the terms and conditions of the tenancy agreement between the landlord and tenant. In RAK, it is mandatory to register the tenancy contract with the Ejari system. Seeking legal advice before signing the contract can help you protect your rights and avoid any potential disputes.