RE/MAX UAE’s Subleasing Guide for Tenants and Subtenants

There are several reasons why a tenant decides to sublet in Dubai even though it doesn't happen that often. Most common reasons are to offset the cost of rent by subletting a room, if the tenant travels a lot and doesn't want to pay accommodation for two apartments, to avoid breaking a lease if they need to move out before the end of the lease, and to simply make more cash to help with their expenses.

Take care that subleasing or shared accommodation in Dubai happens under strict rules and laws that you need to abide by to avoid any possible issues that could happen with your landlord. In this article we will discuss what is a sublease agreement, the legality of obtaining it, your rights as a sublessor, and Dubai law for shared accommodation.

What is Subleasing?

First, we need to understand the exact meaning of subleasing to be able to follow up. A sublease agreement is a legal contract between the first tenant (sublessor) and second tenant (sublessee) that allows the sublessee to occupy the sublessor's rental property for a period of time. The sublessor must have the permission of their landlord to sublet the property, and the sublease agreement cannot extend beyond the end date of the sublessor's original lease.

Dubai rental law on shared accommodation and subleasing:

The Dubai Shared Accommodation Law, which is part of the Dubai Rental Law, governs the sharing of accommodation in Dubai. Subletting in Dubai is legal, but it is important to follow the regulations set out by the Dubai Land Department (DLD). According to Article 24 of Law No. 26 of 2007, tenants must obtain the written consent of their landlord before subletting a property, unless otherwise specified in the tenancy lease agreement.

According to article 25 of Law No.33 of 2008 : If a tenant sublets a property without the landlord's consent, they may be evicted, and their subtenant may also be required to leave. And to ensure the landlord’s rights, the tenant is responsible for any damages done to the property by sub-tenants. Moreover, the landlord can pursue a lawsuit in the form of a compensation claim against a tenant who sublets property in Dubai without his/her permission.

Asking the landlord for permission:

If you are considering subletting your property in Dubai, it is important to speak to your landlord and obtain their written consent in the form of an NOC, No Objection Certificate You should also review the terms of your tenancy lease agreement to make sure that there are no restrictions on subleasing.

As a tenant, you have the following options for subleasing:

As mentioned above there are several reasons why people decide to sublease their apartments. Also, there are several options for subleasing which are:

● Subletting to a friend or family member can be a good option if you know someone who is looking for a place to live and who you trust to take care of your property.
● Subletting to a stranger can be a riskier option, but it can also give you a wider pool of potential subtenants to choose from.
● Listing your property on a subletting website which could be a good way to reach a large number of potential subtenants.
● Hiring a subleasing agent to help you find a suitable subtenant and can also help you to screen potential subtenants and draft a sublease agreement.

What are your rights as a subtenant?

The Dubai law for shared accommodation also provides protection for subtenants. Your rights as a subtenant depend on the terms of the sublease agreement and the laws of the jurisdiction where you live. For example, subtenants have the right to occupy the property for the duration of the sublease term and to use it for the purposes permitted in the sublease agreement. Subtenants also have the right to have the property maintained in a habitable condition by the sublessor and receive any essential services that are included in the tenancy lease agreement.

Pros and cons for subleasing in Dubai for landlords:

Subleasing is a common practice and therefore landlords should be aware of its potential risks and benefits before allowing their tenants to sublet. Understanding Dubai's renting laws while being aware of its pros and cons can help landlords make an informed decision to protect their rights.

Subleasing pros for landlords:

● Reduced risk of vacancy as the tenant doesn't terminate the lease and continues to pay rent through a sublessee.
● The landlord has no obligations to the subtenant, so he can sit back and relax while the original tenant shall bear all the duties.
● Happy tenants: Tenants who are able to sublet their apartments are more likely to be happy with their landlord, as it gives them more flexibility and options.

Subleasing cons for landlords:

● When a tenant sublets their apartment, the landlord loses some control over the property. For example, the landlord may not be able to choose who sublets the apartment and may not be able to inspect the apartment as often as they would like to.
● There is a potential for damage to the property if the subtenant is not responsible or careful. The landlord may be held liable for any damage caused by the subtenant.
● There may be legal complications associated with subletting, depending on the laws of the jurisdiction where the property is located.

Overall, the decision of whether or not to allow tenants to sublease is a complex one that should be made on a case-by-case basis. Landlords should weigh the pros and cons carefully before making a decision. But in any case both tenant and landlords need to make sure they take care of all legalities needed in a sublease agreement in accordance with Dubai law for shared accommodation.

Now we can say that you have enough information to help you decide on your decision to sublease or not. However, you can still seek further consultation and help to make sure you’re on the right track. Don’t forget to consult with professionals in the real estate industry such as RE/MAX UAE for any specific inquiries or assistance related to Dubai tenancy contracts. Contact us by calling +971 4 589 7376 or press here.