You might think you're saving money by moving home - but have you considered the hidden costs attached?
20 March 2019| Last updated on 31 March 2019
With the housing market down, more and more people are deciding to either upgrade or move to save money.
If you've decided on the latter, there's a lot of things you're probably arranging right now. But between the excitement of choosing a new house, new location and a bigger space... Have you considered the hidden costs attached to moving?
Particularly in Dubai, where renters tend to move in the hopes of a reduced rental agreement - does moving necessarily mean you'll save money? Taking into consideration the hidden costs of moving in Dubai. Santa Fe Relocation aim to help with this, and have gathered a list of hidden costs you may not have considered along with helpful tips on how to plan and budget for these.
From cleaning costs to gardening, here are 10 hidden costs of moving in Dubai you should know about prior to moving day.
Your rent might overlap
When you're in the middle of moving, you may be faced with up to 2 weeks of overlapped rent. Meaning you're still paying for your now vacant property, as well as your newly-moved-in-to home.
The agency commission
Property agents typically charge 5% of your overall annual rent, or if your rent is less than AED 100,000 - it's normally a flat rate of AED 5,000. Make sure to budget for this cost if you're using an agent to help you move home. It's not uncommon for residents to bypass agencies to save themselves this charge - but using an agent can truly save you a lot of stress and paperwork, so more often than not, they're worth the money.
Deep cleaning costs
Ask any renter in Dubai and they would most definitely agree with us - paying for a deep clean in your new property is a must. Prices range around AED 500, and it means that your new apartment, townhouse or villa is squeaky-clean and free of muck and germs from previous tenants. If you're an extra nice tenant, you might consider paying for your previous home to be deep-cleaned, also.
Moving your furniture and personal items
Depending on the volume of items, you can hire a company to assist you with moving your belongings for prices ranging from AED 2,000 to AED 10,000.
DEWA consumption overlap
Like your rent, your DEWA consumption and bill may overlap also depending on how you've planned your move. Most of the time, you must disconnect your existing DEWA to transfer it to your new property - otherwise you'll find you may have to spend an extra AED 500 on top of your normal monthly bill, plus an charge of AED 100 for admin fees, too.
Cost of transferring your service provider
We're talking about your phone and Internet provider. In Dubai we have only two; Du and Etisalat. Usually your building or community will already be connected to one of the providers, or you may have the flexibility to choose either. Regardless, when moving home you'll need to transfer your landline and Internet package from your previous residence to your new one.
Cost of your Ejari
Before transferring your DEWA, you'll need an Ejari certificate. This document attests your tenancy contract, and is legally binding for both tenant and landlord. The cost of a new Ejari for your new property is AED 220, and you'll pay an additional AED 42 for cancelling the Ejari on your previous contract.
Cost of a garden
If your new home has previously been vacant or is a new build, there's a chance you'll have to pay for a new garden to be finished. A lot of Dubai tenants are sometimes conflicted over this; why pay to have a garden installed into a property you don't own? To answer that, you'll find some do in fact take their AstroTurf or grass at the end of their tenancy... It's up to you. If you're planning to stay long-term, investing a small amount to landscaping and finishing your garden won't be an issue.
Other things to consider when moving...
Once you've budgeted for all the must-haves and must-dos when moving house in Dubai, now's the time to consider the smaller costs you'll need to foot after moving in.
New curtains is often an overlooked spend; depending on your community or what floor you live on, you'll no doubt definitely need curtains or blinds. Purchasing new ones, or having existing ones altered to fit your new windows is often a cost residents overlook.
For pet owners, you might consider having a pet-door installed into your existing door pane or have the door panel replaced entirely - this cost depends on yours and your pet's lifestyle and routine.
If you're moving into an older property, you might consider having a maintenance team to come and check your water tanks, pipes, A/C units and interior/exterior cracks - call-outs alone can be as high as AED 200, just so they can give you a quote!