Property in Dubai
Offenders of housing fee regulation likely to be blacklisted
The Dubai Municipality may blacklist those breaking the housing fee regulation, although no such proposal has been finalized at present, said a senior official who spoke to the media.
The Head of Housing and Marketing Fees at the Dubai Municipality, Abdulla Hashim Abdulghafoor, said the municipality could take legal action against anyone giving false information to the municipality. Although the legal recourse to be taken is yet to be finalized, blacklisting the property owners is a possible option.
A DEWA (Dubai Electricity and Water Authority) connection is the only requirement by the municipality to charge the housing fee.
Since May this year, DEWA has issued notices to residents, and those failing to register on the municipality website after receiving the second notice will be charged housing fee based on RERA index.
The fee structure has been changed from 0.5percent of property purchased price to five percent of the rent/RERA index for the specific location, depending on the case.
The change reduces the burden on the owners. However, the tenants will continues to pay five percent of the annual rent as housing fee.
Posted on 12/8/2010