Housing fee
 

Hi All,

I am still relatively new to Dubai (came over on February 2007).

I was wondering if anybody could help with a query I have.

I currently rent an apartment where the annual rent is 135,000 AED.

If a housing fee is calculated to be 5% of your annual rent spread over 12 months, I would calculate this fee to be 562.5 AED per month ((135,000*0.05)/12months).

However I received my DEWA bill which included a housing fee of 495 AED (less than my calculation).

Taking this current housing fee of 495 AED would assume my annual rent should be 118,800 AED ((495*12)/0.05).

This would seem good as I am paying less housing fee as expected. However the suspicious side of me is wondering if I have been diddled on my rent. All my dealings were done with the agent, signing documents etc. Not one document had been counter signed by the landlord, however he has been named on the document.

Can any of you guys shed some light on this? Is this how the housing fee is calculated? Would It be wrong for me to assume that both myself and the landlord are been cheated out on moneys by the agent.

Any feedback would be much appreciated

Thanks in advance

Re: Housing fee
 

I really have no idea, I would have to ask my husband. 135 for an apartment, must be a nice one. And welcome!!

Re: Housing fee
 

Thanks Blue Cat.

It is a nice apartment, however still over priced.

That was the going rate at the time on Dubizzle web site.

Re: Housing fee
 

where are you?

Re: Housing fee
 

I live in the Greens/Views, looking onto the construction that blocks out the view of Emirates Golf course.:frown:

Re: Housing fee
 

Nope - thats the going rate.

I heard that new tenants in my building are being charged around Dh40,000 more than me.

Re: Housing fee
 

same with me, 35 more for new tennants and we only been here 10 months!

Re: Housing fee
 

prices will probably drop now Salik has turned the area into a traffic jam :)

Re: Housing fee
 

they called the greens Dubai Traffic City this morning on the Radio! hilarious!

Re: Housing fee
 

Sounds a bit odd - it would not be like DEWA to make a mistake. Do you have any contact details for the landlord at all?

Re: Housing fee
 

Only his printed name on the Tenancy Contract and the letter of intent

Re: Housing fee
 

Probably does not help much.

Can I ask what the letter of intent says. My landlord is looking for me to sign one, so just wondering about the wording. Thanks.

Re: Housing fee
 

Just thought - maybe call DEWA and they can tell you how much the property is registered at with them.

Re: Housing fee
 

The letter of intent contains the following

Property
Lease period
Yearly Rent
Made payable to (the agency in this case)
Terms of payment (1 cheque)
Security deposit (refundable)
DEWA (covered by tenant)
Landlord details (Printed name)
Tenant name
Documents required
Payment details

I could contact DEWA but if the problem is on their behalf they will probably require the difference on what has already been paid. I know it will not be much but it is a saving of approximately 120 pounds a year. However it may be worthwhile taking the risk if it identifies an agent of possible fraud.

Re: Housing fee
 

Thanks for that.

I think I would take the risk as there are lots of dodgy agents out there. If Dewa have the rent at a lower figure you have no need to do anything with them. You could just call them and ask how they worked out the tax (play dumb and act like you don't know that it is 5% of the annual rent).