# 5 % DEWA Administration charge ?



## Lenochka (Apr 19, 2008)

Folks,
I am just about to sign the contract for a flat. In addition to some other stuff, it is my understanding that there is a 5 % DEWA administration charge levied.
5% of the anual rent divided by 12, i.e. monthly. 

Some folks I know mentioned that there is a way around it...something along the lines of Landlord needs to be on top of the address and then it will not be charged.....sounds a bit strange to me...but anyhow, if there is a way to avoid those charges I would obviously be interested...

anybody know anything about this ?

Any info appreciated

Cheers
Lenochka


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## Kansaag (Aug 6, 2008)

*Rental contract/deposit*

Hi
First time I hear about that. When you rent a flat, apart from the price mentioned or advertised, you will pay 5% deposit and 5% agent's fee. You do pay a deposit to DEWA (elec & water) like in any country, but I will check today how much it is. 

Make sure that you get a registered copy of your rental contract back. Otherwise you cant complain! See the RERA website (Real Estate Regulatory Agency, Land Dept, Governm Dubai) for more information. You can also enquiry at one of the bigger rental agencies like Betterhomes, how they go about.


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## Lenochka (Apr 19, 2008)

That is what I do not understand. I know about the 5% agency fee, I know about the deposit for the flat, I know about the deposit for DEWA....but I did not know about the additional charge of 5% divided by 12 month as the DEWA administration charge.


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## Madam Mim (Jul 1, 2008)

The 5% you are referring to is a Municipality Housing fee. DEWA collects it on behalf of the Municipality. Haven't heard of a way to avoid paying it unfortunately though.


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## alexalexa (Oct 10, 2008)

we were told that if our landlord writes some letter to dewa we will avoid paying 5%. don't understand it though either. if you find out, please let me know if it is true and how it works.


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## Kansaag (Aug 6, 2008)

I asked the rental lady at our office. DEWA deposit is AED 2000. To be paid by the tenant. Not aware of the 5% housing fee. I suggest you ph DEWA.


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## kelly1814 (Mar 31, 2008)

the 5% to dewa is a fact and unavoidable. it can take thema while to cotton onto you having moved in though which can meana a shock a few months into your tenancy!


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## Ogri750 (Feb 14, 2008)

The fact that it comes as a shock to some people is even more reason to buy something like Dubai Explorer.

Reagrdless of who's name is top of the tenancy agreement, the Municipality Charge still has to be paid, and with the way the majority of landlords are here, I can't see one paying it for you and losing out on 5% of the income


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## Lenochka (Apr 19, 2008)

Hi Ogri,
well....when you're right....you are right ! what shall I say...

however, I have a Dubai Explorer.....things with moving, working, finding an apartment, family still abroad etc. ....have just been a bit too hectic and I did not manage to read all the necessary chapters...:-( 

but, here we go...the net and especially the folks on this forum are a fantastic and very valuable resource - many thanks to everyone !

Another thing which was left off the schedule yet is catch up with you guys over a drink....or 2  but that will happen too soonish..

take care and many thanks again
Lenochka


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