Rents: Can a property owner and tenant agree on rents in Bahrain freely?
Increases in rent and rent can be agreed freely.
Deposits properties
Homes in Bahrain
There is no legal safety deposit regulation.
Security deposits are not very prevalent in Bahrain, but a deposit is required for some landlords and agents, usually equal to a month and a half rent. The property owner holds the deposit against unpaid bills and liabilities. The deposit cannot be used as a rental payment.
Rent will usually be paid monthly, quarterly, twice a year or yearly according to the terms agreed at the beginning of tenancy. The rental is usually payable in advance three months and is quoted monthly in Bahraini dinars (BHD).
What rights have landlords and tenants in Bahrain, particularly as regards contract duration and expulsion?
The tenancy can be as follows:
Short-term (less than a year) or
A Long Duration (more than a year).
If the parties enter into a lease agreement without a time limit, the period of rental payment shall govern the term of the lease.
In the case of the fixed term contract, both the tenant and the landlord shall, three months prior to the end of the lease term, be entitled to terminate the agreement by serving the notice.
If, without objection from the landlord, a tenant continues to benefit from the property after the expiration of the term, the agreement shall be officially renewed for a period of indefinite duration pursuant to Article 511 of the Civil Code. However, such a renovation does not occur if the landlord has provided a three-month expulsion notice before the expiry of the term, even when the tenant still occupies the property.
Bahrain houses property apartments
Either Party shall have the right to terminate the lease before the expiry if unforeseen events or circumstances make the execution of the agreement very expensive. But for either party, this is very difficult to prove in practice. The party seeking termination must notify the party. Both parties may lodge a court complaint in order to resolve the matter.
The lease or tenancy agreement shall contain the names and addresses of the landlord and tenant, the address of the property rented, terms and conditions of tenancy, monthly rent, payment arrangements and contracting parties' responsibilities during tenancy.
How effective is the legal system in Bahrain?
The usual time to get a final judgment is quite long. There may be numerous appeals, which are usually heard by a civil court, by either party. Matters that are accepted as urgent may take significantly less time and are heard before a summary tribunal.
The following happens if the landlord sues a tenant for failure to pay his rent and the tenant decides to pay:
A registered notification letter (in this case, the landlord) is sent to the creditor indicating the amount paid and the address of the place of payment.
The creditor has the right to refuse the notice within three days after receiving the notice and thus reject the payment. The reason why a creditor wishes to refuse payment is to evict the tenant and eliminate any future relationship possibility.
If the creditor did not reply within 10 days of the receipt of the notice, it would have been deemed a denial.
Refuse of payment allows the debtor to deposit the money in the Treasury of the Court and to request the lifting of all orders until a final decision has been taken.
Legislation
The legislation prevails in the Civil Code, which was promulgated by Decree no. (19) 2001 and supplemented by Decree no. (9) 1970, and Decree no. (22) 1976.
Brief History: Recent changes in landlord and tenant legislation in Bahrain
Land law in Bahrain has not undergone many radical changes. The Civil Code has tremendous confidence.
Bahrain Condominium Residential Apartments
In 1936, the initial Land Law legislation began in the form of Amiri Ordinances. The Amiri Ordinance in 1946 established the fundamental landlord and tenant laws when Bahrain gained more geopolitical significance. Although primitive, the law protected the rights of tenants and initiated the concept of exceptional laws in the precincts of Manama and Muharraq, compared to modern laws. This legislation remains in force today.
Subsequent laws in 1953 expanded the subjects such as lease agreement formalities, exceptional expulsion circumstances and rules for notices.
In contrast to recent dramatic changes in landowner and tenant legislation, there have been few changes in landownership law. Major changes are unlikely in the area of landlord and tenant law.