Dubai’s tourism market is booming—and with that growth comes rising demand for short-term rentals and furnished holiday homes. If you’re thinking about turning your property into a profitable vacation rental, you’re in the right place. Whether you’re a property owner or an investor, knowing how to get a holiday home licence in Dubai is the first step toward legally operating a short-term rental in one of the world’s most visited cities.
This detailed guide walks you through every step of the process, including documentation, requirements, costs, and key things to consider before you start. So if you’re ready to earn income from Dubai’s thriving real estate market, read on.
Why Dubai Is a Top Destination for Holiday Homes
Dubai’s skyline, safety, luxury lifestyle, and global connectivity attract millions of tourists every year. Many travelers now prefer holiday homes over hotels for space, privacy, and convenience. As a result, the short-term rental market in Dubai has become a lucrative opportunity for both residents and international property owners.
Whether your property is in Downtown Dubai, Dubai Marina, Palm Jumeirah, or Jumeirah Village Circle (JVC)—a properly licensed holiday home can earn substantial returns.
What Is a Holiday Home Licence in Dubai?
A Holiday Home Licence is a legal permit that allows you to lease out your furnished residential property for short-term stays to visitors and tourists. This licence is issued by Dubai’s Department of Economy and Tourism (DET) and is mandatory for anyone wishing to operate legally in the vacation rental market.
Without it, advertising your property on platforms like Airbnb or Booking.com is considered illegal and may result in heavy fines.
Who Can Apply for a Holiday Home Licence?
The licence can be obtained by:
- UAE nationals or residents who own property in Dubai
- Tenants, with landlord approval and a valid tenancy contract
- Corporate entities that manage multiple holiday homes
- Real estate investment companies and operators
Even if you’re a foreign investor and don’t reside in the UAE, you can apply through a property management firm licensed to handle holiday homes.
Types of Holiday Home Licences in Dubai
There are generally two categories:
Individual Licence
This is for individual property owners who want to rent out one or more units under their name. It’s perfect for small-scale investors or homeowners looking for additional income.
Operator Licence
Ideal for businesses or management firms looking to manage multiple units. This allows for a more scalable business model and includes additional responsibilities like cleaning, check-in, and maintenance.
Steps to Get a Holiday Home Licence in Dubai
Start by selecting a furnished residential property. Register with Dubai Tourism, submit your documents, and pay the required fees. If needed, pass a property inspection. Once approved, you’ll receive your licence and can legally list your unit on short-term rental platforms like Airbnb or Booking.com.
Step 1: Choose a Suitable Property
Your property must be:
- Fully furnished and in livable condition
- Located in a residential zone approved for short-term rentals
- Owned or leased by the applicant
- Compliant with Dubai’s building safety and health standards
Location matters. Properties in Downtown Dubai, Business Bay, Dubai Marina, and JBR often yield higher returns due to tourist footfall.
Step 2: Create an Account with Dubai Tourism
Visit the Holiday Homes portal via Dubai’s Department of Economy and Tourism and register an account. If you’re applying as an individual, your Emirates ID and property documents will be required.
For companies, trade licence and corporate documents must be submitted.
Step 3: Submit Required Documents
Depending on your status (individual or corporate), you will need to provide:
- Emirates ID copy (for individuals)
- Title deed or tenancy contract
- Landlord’s NOC (if you’re a tenant)
- Unit number and location
- Proof of furnishing (photos or inspection report)
- DEWA bill or utility connection proof
- Valid passport copy (for foreign owners)
Step 4: Pay the Licence Fee
Fees vary depending on the number of units and duration. You’ll typically pay:
- A registration fee
- An annual licence fee per unit
- Tourism Dirham charges per night, passed to guests
For multiple properties, additional charges may apply. Once paid, the licence is usually valid for one year and renewable.
Step 5: Pass the Inspection (If Required)
Some properties may undergo a site inspection to ensure compliance with health, safety, and cleanliness standards. It’s essential to have:
- Working smoke detectors
- Emergency exits
- Safe electrical fittings
- Clean interiors with essential amenities
Step 6: Get Your Licence and Start Listing
Once approved, you’ll receive your Holiday Home Licence. You can now list your property on platforms like:
- Airbnb
- Booking.com
- Agoda
- Expedia
- Property Finder
You’ll also get access to the Dubai Tourism e-permit portal, which allows you to register each booking, track revenue, and stay compliant.
Costs Involved in Setting Up a Holiday Home
Setting up a holiday home involves initial licence fees, furnishing expenses, and setup costs for cleaning and guest services. You’ll also have ongoing expenses like utility bills, maintenance, and tourism fees. Planning these costs upfront helps you manage your budget and run your rental business smoothly and profitably.
Initial Setup Costs:
- Licence registration: approx. AED 1,500 to AED 2,000
- Furnishing (if needed): AED 10,000 – AED 50,000
- Maintenance and cleaning setup
- Photography and listing creation
Recurring Costs:
- Annual renewal fee
- Tourism Dirham fee (AED 10 to AED 15 per night)
- Utility bills and service charges
- Cleaning, laundry, and guest services
Benefits of Getting a Holiday Home Licence in Dubai
- Legal operation: Avoid fines or property bans
- Higher rental yields compared to long-term leases
- Access to global tourism platforms
- Flexible occupancy periods
- Multiple revenue streams from one property
- Build a scalable rental business
Things to Keep in Mind Before Applying
- Some buildings prohibit short-term rentals—always check with your building management.
- Make sure your DEWA account and maintenance are in good standing.
- Guest complaints or violations could lead to licence cancellation.
- All listings must follow Dubai’s holiday home regulations, including proper guest registration.
Conclusion
Getting a Holiday Home Licence in Dubai is a smart way to tap into the city’s vibrant tourism market. Whether you’re a single property owner or looking to launch a rental business, the process is clear, structured, and full of opportunity. With the right property and compliance, you can enjoy steady returns and build a lasting business.
To make the licensing process smoother, it’s always helpful to work with experts in Business Setup in Dubai who understand the paperwork, portals, and procedures involved.
FAQs
Can I list my property on Airbnb without a licence in Dubai?
No. Listing a holiday home without a valid licence is illegal in Dubai and can lead to fines or property bans.
How long does it take to get the licence?
Once all documents are submitted and approved, the licence is typically issued within 5 to 10 working days.
Is there a limit on how many properties I can licence?
No, individuals and companies can licence multiple units, but each one must meet inspection and furnishing standards.
Can tenants apply for a holiday home licence?
Yes, but you must have a valid tenancy contract and a No Objection Certificate (NOC) from your landlord.
Can international investors apply?
Yes, non-residents who own property in Dubai can apply directly or through licensed property management companies.
