The move will not only benefit property managers and landlords, but allow tenants to have more flexible payment options…

The way you pay your rent in Dubai looks set for a shake-up.

Back in July 2022, the Dubai Land Department (DLD) announced that it would soon allow tenants to pay rent via direct debit using the Central Bank of the UAE’s Direct Debit System (DDS). And now, according to Khaleej Times, the system has been launched.

According to the newspaper, Dubai’s Ejari system, which is used for real estate rental in Dubai, is now ‘fully integrated’ with the Direct Debit System (DDS).

How will it work?

During contract negotiation or renewal, tenants and landlords are responsible for agreeing the rent payment schedule. Once agreed, tenants will be able to facilitate recurrent payments via direct debit to landlords, according to a DLD manual issued this week.

So, rather than issuing cheques, rent will be able to be payed by automated debit from a bank account, according to the DLD manual.

As per the same manual, the agreed dates for payment will not be able to be amended. However, at a later phase of the roll-out, this could be an option.

Improving the system for landlords and tenants

Moving from a manual to an automated digital system is set to benefit landlords and property management companies, as well as tenants. Landlords and property managers will no longer have to deal in post-dated cheques, while tenants will have a more options for flexible payments. It’s also part of the Dubai Government’s wider vision to become a paperless society.

Another step forward for international investment

As part of the same announcement back in July 2022, Emirates NBD revealed that overseas investors looking to buy property in Dubai would be able to open a non-resident savings account going forward. This would assist in facilitating their property purchase, and then allow them to pay a property manager or collect rent in a convenient way. Overseas property investors will have the support of a dedicated relationship management team to help them open their accounts.

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