AVOID THESE PROPERTY MANAGEMENT RED FLAGS IN DUBAI

As much as the Dubai property market is attractive to make promising real estate investments, you should be aware of the common pitfalls that come with a highly competitive property market. With a lot of service providers in the market competing against each other, you can expect some of them to have lower standards, but knowing where to look helps you avoid getting into agreements that you might regret down the line.

RERA registration and licences 

Dubai Land Department has made sure to have every company that offers property management services are properly registered and licensed to maintain the standard of services offered to the clients. But if the company fails to present those registration or licences to the owner, the lower costs that they might offer might not be worth the cost of handing over your property to individuals who most probably will not do their job properly. In addition you might be involved in agreements that might not be valid while engaging in a fraudulent company.

Overpromising

If a company or an agent over promises to get you the maximum returns in the market and more without initially discussing strategies and other market insights, they might be just building the property owner’s confidence in order to secure their commission.

Lack of transparency

Your service provider might not provide you step by step updates about the deal, discuss the progress to be made or avoid communicating with you. While some may mask this as not worrying or complicating the property owner, lack of transparency is a major red flag that property owners should be looking out for. Legal issues, misuse of funds, and many other shortcomings are best addressed immediately instead of leaving the client uninformed.

Poor Tenant Screening

Skipping the tenant screening process to secure a tenant as soon as possible brings a lot of problems with it. Reputable companies have a thorough vetting process to avoid legal complication, property damage and unreliable agreements. 

Neglecting Maintenance

Constant monitoring of the property condition and the tenancy is required when it comes to property management. Overseeing upcoming property maintenance and repairs may lead to larger renovations and repairs that will cost the owner money, time and even the tenancy.

Unrealistic Fees

While low costs is something that is common, unrealistic fees should raise concerns since there is a certain cost when it comes to property management. Ridiculously low fees only means that the service provider must’ve skipped a couple of required steps to avoid the fees and this will always bring in complications down the road.

So, with all of the above mentioned red flags in the market, how does a property owner secure themselves when it comes to acquiring property management services in Dubai?

A property owner always can;

• Ask for registration and licences of the company and the agents who will be working with you.

• Review the contracts drawn thoroughly and seek legal assistance if required.

• Request references or search for reputable service providers with a history of good business practice.

• Insist on regular communication with the agent to be notified on the progress or any issues that may arise along the way.

Understanding the concerns of the property owners and the risks of the market at the same time, Anarock Middle East ensures client confidence by maintaining transparency throughout the contract period providing real time market insights. Understanding the clients’ expectations, we evaluate the property and discuss any improvements if there are any prior to screening possible tenants for a very smooth tenancy period with minimal to no issues.

Contact us if you want your property to be managed, rented out or sold. We pride our premium services that are offered to our discerning clientele, who don't have to worry about their tenancies while securing the best profits in the market.