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Letting Your Dubai Home as a Holiday Home: Owner's Guide

What a Dubai owner should check, decide and budget for before turning an apartment or villa into a licensed holiday home, without assuming any particular return.

First, check you are allowed

Start with your sale and purchase agreement. If it expressly bans holiday home use, the Department of Economy and Tourism (DET) will not issue a permit. Holiday homes are also not allowed in hotel or hotel apartment buildings, and residential villas must be in a gated compound of at least four villas.

DET may ask for a developer no-objection certificate where one applies. The implementing rules require developers, owners' associations and property managers to let licensed operators work within their permits, but communities can still enforce practical rules. For example, Emaar Community Management told operators in 2025 to be present at the concierge when guests check in.

If you rent the home rather than own it, Dubai's tenancy law says you cannot sublet without the landlord's written consent, and you will need that consent to apply. If the property is mortgaged, check your loan terms too.

Run it yourself or appoint an operator

Owners can register their own homes on DET's Holiday Homes portal, up to a limit of eight units. You then handle everything: listings, guest contracts, check-in, cleaning, sharing guest details with DET, and collecting and paying the Tourism Dirham each month.

Alternatively, you can sign a Property Management Letter with a DET-licensed holiday home operator, who runs the home day to day. The permit dates must match the letter. Before signing, confirm the operator's DET licence, fee structure, who pays for what, how often you receive statements and how either side can end the agreement.

Costs to budget for

DET's permit fee is charged per bedroom per year, with a ceiling per unit, plus small knowledge and innovation fees and a classification certificate fee. Dubai's May 2026 relief package announced a temporary exemption from these fees, so check the portal when you pay.

Running costs usually include furnishing to DET's Standard or Deluxe criteria, cleaning and linen, repairs, DEWA and cooling bills, internet, building service charges, insurance, booking platform commission and any operator fee. If your taxable income passes the Federal Tax Authority's registration threshold, VAT becomes part of the picture too.

Thinking realistically about occupancy

Holiday home income is not guaranteed. Bookings rise and fall with the season, major events, flight capacity and the number of competing homes nearby. In 2026, a drop in regional travel led Dubai to announce two relief packages for tourism businesses.

Before switching, compare a realistic holiday let budget, including empty nights and all costs, with what a standard annual lease would bring. We do not publish return estimates. Treat any projection you are given as an assumption to test, not a promise.

Your ongoing duties

Display the permit inside the home and put the permit number in adverts. Give every guest a written contract and house rules, stay within the occupancy on the permit, and keep guest records for at least three years.

Keep the home clean, safe and to its classification standard, with a contact number that works 24/7. Permits last up to 12 months and are not renewed automatically, so apply before expiry and update your documents if anything changes.

If you change your mind

The implementing rules let an owner ask DET to close a holiday home. If you plan to return to a long-term lease, close the permit first so the unit is no longer listed or classified as a holiday home.

A new long-term tenant will need a tenancy contract registered in Ejari. If you sell, the permit does not pass to the buyer: DET treats a new owner as a new registration.

Questions people ask

Do I need a trade licence to let my own home?

Owners can register their own homes on the DET portal, within DET's eight-unit limit. Companies that manage homes for others need a DET holiday home operator licence.

How much will I earn?

We don't estimate returns. Income depends on location, season, pricing, costs and competition. Compare it carefully with a long-term lease.

Can my owners' association block holiday lets?

DET's rules require developers and owners' associations to let licensed operators work within their permits. A sale and purchase agreement that expressly bans holiday home use still makes the unit ineligible.

Can I let the home as a tenant?

Only with your landlord's written consent, which you will need for the application. Without it, subletting breaches Dubai's tenancy law.