Tenants vs Landlords Who Pays the Fees in the UAE

Tenants vs Landlords Who Pays the Fees in the UAE
AUTHOR VERIFICATION
Written & reviewed by

Faris Raian

Founder Partner Leaders Advocates, Dubai
Real Estate Law Updated September 23, 2026

Rent is only one part of a Dubai tenancy budget. Housing fees, utilities, cooling, commission, Ejari, deposits, maintenance, service charges, and dispute costs can create unexpected demands.

Tenants vs landlords. Who pays the fees is answered through statute, the lease, and agreed practice. This article addresses Dubai, because allocation and procedure can differ in other emirates.

Quick Answer

Tenants vs landlords. Who pays the fees depends first on Dubai law, then the lease. Article 22 of Law No. 26 of 2007 places government fees for using the property on the tenant unless agreed otherwise. Tenants usually pay their utilities, housing fee, and agreed cooling charges.

Commission and Ejari costs normally follow the signed agreement and market practice. Article 16 places maintenance and repairs on the landlord unless the parties agree otherwise. The owner ordinarily remains responsible for jointly owned property service charges.

The tenant pays a security deposit, but Article 20 requires its refund after justified deductions. RDC filing fees are initially paid by the claimant. Exact liability depends on the contract, invoices, property setup, authority rules, and final judgment.

Detailed Legal Explanation

Tenants vs landlords. Who pays the fees under Dubai law

There is no single rule for every rental cost. A useful analysis asks whether the charge arises from use, ownership, maintenance, brokerage, registration, or a legal dispute.

Article 22 of Law No. 26 of 2007 states that the tenant pays fees and taxes due to government entities for use of the property. The lease can allocate them differently.

Article 11 states that rent includes the tenant’s use of property amenities unless the parties agree otherwise. This can matter for pools, gyms, parking, and common facilities.

Article 16 places maintenance and repair on the landlord during the lease unless otherwise agreed. Article 19 requires the tenant to exercise ordinary care and perform agreed or customary tenant restoration.

Costs usually paid by the tenant

The tenant normally pays electricity, water, and other metered consumption under the tenant’s account. District cooling depends on the building setup and the lease wording.

Dubai Municipality collects a housing fee through the DEWA bill on behalf of the municipality. The billing basis should be checked against the Ejari rental value and the current official assessment.

The commonly applied housing fee for tenants is 5 percent of annual rent, divided across monthly bills. A tenant can use the municipality’s service to seek correction of an inaccurate assessment.

Broker commission is not allocated by the tenancy statute. The amount and payer should be stated in the brokerage agreement or written offer before payment.

Ejari registration expenses also usually follow agreement and practice rather than a single statutory tenant allocation. The parties should record who pays the fee and any trustee charge.

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Costs usually paid by the landlord

The landlord normally funds repairs affecting the tenant’s intended use under Article 16, unless the lease allocates a specific item differently. A general label should not replace close clause review.

Owners ordinarily bear service charges levied under the jointly owned property framework. A landlord should not assume every ownership charge can be added to rent without clear legal and contractual support.

Structural work, major systems, and defects not caused by the tenant usually remain owner concerns. The cause, lease, warranty, and building responsibility still need confirmation.

Security deposits

The tenant pays the agreed deposit at the start, and the landlord holds it as security. Article 20 requires refund of the deposit or its balance at the end.

Article 21 allows the tenant to return the property subject to ordinary wear and tear. Deductions should be supported by move-in comparisons, invoices, and damage beyond normal use.

RDC filing and case costs

The party filing an RDC claim initially pays the registration fee. Official guidance states 3.5 percent of annual rent, capped at AED 15,000 for financial claims.

For eviction or lease renewal claims, the stated cap is AED 20,000. Translation, service, expert, and enforcement fees may be additional.

If mediation produces an approved settlement, the decree provides for refund of half the registration fee. A final judgment may address recoverable costs between the parties.

A financial judgment debtor generally deposits half the judgment amount to appeal, unless the Centre’s chairman decides otherwise. That deposit is distinct from the filing fee.

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Shared housing and regulatory costs

Dubai Law No. 4 of 2026 creates a regulated framework for shared housing. Article 29 provides fines from AED 500 to AED 500,000 for violations.

A repeat violation within one year can double the fine, up to AED 1,000,000. Contractual consent does not remove regulatory compliance or permit requirements.

How to handle mixed and uncertain costs

Some expenses combine consumption, maintenance, and building management. District cooling, chiller work, access cards, pest control, and move-in charges should therefore be examined item by item.

A repair threshold clause may assign minor work to the tenant, but its wording and the defect’s cause remain important. The amount alone may not answer who is legally responsible.

If one party pays an urgent cost that may belong to the other, they should give notice, preserve the invoice, and explain why immediate action was necessary. Reimbursement is not automatic.

At renewal, parties can clarify recurring charges prospectively through precise drafting. They should not backdate a new allocation or conceal additional rent inside an unexplained service fee.

Utility deposits, activation charges, and final account adjustments are different from monthly consumption. The relevant provider’s account terms should be reviewed alongside the lease before allocating them.

Parking, access cards, move-in permits, and community fees can arise from building operations. Ask whether each payment is refundable, recurring, imposed by an authority, or charged by a private manager.

VAT treatment can differ across rent, utilities, and commercial services. The invoice should identify the supplier, taxable item, amount, and registration details rather than combining unrelated charges.

A settlement about costs should state whether payment resolves only the invoice or the entire tenancy dispute. Broad release wording should not be accepted without understanding every claim it may affect.

When the lease is silent, do not assume the louder demand is correct. Classify the charge, identify its source, and preserve the supporting bill before responding.

Practical Steps

  • List every expected cost before signing, including utilities, cooling, housing fee, commission, Ejari, deposit, repairs, and parking.
  • Label each cost as a use charge, ownership charge, maintenance item, registration expense, or optional service.
  • Check the lease and related agreement for the amount, payer, due date, calculation method, and refund treatment.
  • Ask for invoices or authority bills instead of paying an unexplained lump sum to a broker or manager.
  • Confirm the Ejari rent and DEWA premises data so that housing fee assessment can be checked.
  • Document repair causation and obtain approval before commissioning work that another party is expected to fund.
  • For a dispute, calculate the principal claim and filing costs separately before deciding whether to file.

Evidence and Documents Needed

  • Lease, addenda, Ejari certificate, offer form, brokerage agreement, and property management instructions.
  • DEWA bills, housing fee assessment, cooling statements, utility activation records, and payment receipts.
  • Service charge statements, owner account records, building notices, and any contractual allocation clause.
  • Maintenance requests, contractor reports, quotations, invoices, warranty documents, and cause evidence.
  • Deposit receipt, condition reports, dated photographs, move-out inspection, deductions, and refund proof.
  • RDC fee receipt, claim calculation, translation bills, service charges, expert invoices, and final judgment.

Common Mistakes and Risks

  • Assuming a market custom overrides an express lease term or a statutory allocation.
  • Paying commission, Ejari charges, or management fees without a written basis and proper receipt.
  • Treating every repair as the landlord’s expense without checking tenant damage, ordinary care, and the maintenance clause.
  • Passing ownership service charges to the tenant without clear legal and contractual support.
  • Deducting ordinary wear and tear from the deposit or failing to document actual repair costs.
  • Using a single AED 20,000 RDC cap for every claim when official guidance distinguishes financial claims.

How a Lawyer Can Help

A lawyer can interpret cost clauses, compare them with Articles 11, 16, 19, 20, 21, and 22, and identify unsupported demands. Counsel can also draft clearer allocation wording.

For a live claim, legal review can calculate recoverable amounts, assess evidence, and compare settlement with RDC expense. The final answer depends on invoices, contracts, and causation.

Faris Raian and the team at Leaders Advocates can assess the specific situation, documents, procedure, and available remedies. No legal review can promise a particular outcome.

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Relevant Legal Services

Depending on the issue, relevant support may include Dubai tenancy lawyer services, contract drafting and review services, and real estate lawyer services.

The appropriate service depends on whether the immediate need is advice, drafting, negotiation, an RDC claim, appeal, or enforcement.

Relevant Success Story

The firm’s Success Stories provide examples of resolving document-based legal disputes. They do not guarantee a similar result, because fee allocation turns on each contract and factual record. View relevant Success Stories. Every matter depends on its own facts, documents, and legal circumstances.

Frequently Asked Questions

▼ Who Pays the Dubai Housing Fee
The tenant normally pays it through the DEWA bill. Article 22 places government use fees on the tenant unless agreed otherwise.
▼ Who Pays for Major Repairs
Article 16 places maintenance on the landlord unless otherwise agreed. Cause and the exact lease clause can change the answer.
▼ Who Pays the Broker Commission
The tenancy statute does not fix the allocation. The signed brokerage or rental agreement should state the payer and amount.
▼ Who Pays Ejari Costs
This usually follows the parties’ agreement and service arrangement. The lease should state the allocation clearly.
▼ Can the Landlord Deduct Normal Wear from the Deposit
No. Article 21 recognizes ordinary wear and tear. Deductions should reflect proven tenant-caused damage.
▼ Who Pays the RDC Filing Fee
The claimant pays initially. Official guidance uses 3.5 percent of annual rent with different caps by claim type.

Final Takeaway

Tenants vs landlords. Who pays the fees cannot be answered by custom alone. Start with the legal nature of the charge, then read the lease and supporting agreement. Ask for invoices, preserve payment proof, and document repair causation. The safest allocation depends on the property setup, current authority assessment, contract, facts, and documents.

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