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holiday home rental license in dubai

Holiday Home License in Dubai – A Detailed Guide

Dubai’s tourism industry is incredibly profitable. This Middle Eastern Emirate is well-suited for East-meets-West adventures, discovering the glory of the deserts, and visiting the historic souks, markets, and Dubai Mall in downtown for a luxurious shopping vacation. Owners who want to rent out their homes as vacation rentals in Dubai must submit an application for a Holiday Home License.

With the rise of Airbnb and other similar holiday home operator services, the market for vacation rentals in Dubai has flourished. Property owners have excellent business opportunities regarding vacation homes and short-term rental properties.

The Dubai Department of Tourism and Commerce Marketing (DTCM) and Dubai Economy and Tourism Department now allow homeowners to list their properties as short-term vacation rentals.

However, it is illegal to list properties on websites like Airbnb without a license. The good news is that you can easily get this license and any other approvals and visas you might need with the right assistance. Continue reading to learn how to obtain a Holiday Home License in Dubai for a vacation home.

What does a Dubai Holiday home rental Business entail?

According to the Dubai Department of Economic Development (DED), the vacation home rental industry includes well-furnished lodgings. These places can be rented to tourists and travellers on daily, weekly, or monthly basis. The manager of these properties is in possession of a license that entitles them to rent these properties for short-term.

Dubai draws visitors and vacationers from all over the world, which has led to an increase in the Dubai Holiday Home rental industry and the number of people taking advantage of the lucrative business opportunity.

Benefits of obtaining a short-term rental license in Dubai

The hospitality industry is booming around 20 million tourists visit Dubai annually.

Property owners now have an easier time entering the vacation rental market thanks to the simplified laws governing licenses. In comparison to long-term rentals in Dubai, it translates to an average 25–30% premium for return on investment. This implies that demand for and bookings of vacation rentals in Dubai will rise.

You can make profit by starting your business in Dubai. In the United Arab Emirates, you enjoy the emirates’ 0% tax on all business and personal income. Establishing your company in a free zone has the additional benefit of allowing you to use any currency without any restrictions.

Dubai is one of the most well-liked tourist and business destinations, so its tourism industry will continue to grow. Therefore, now is the ideal time to sign up and get your Holiday Home License.

How to Get a Holiday Home License in Dubai

The first step is to apply for your trade license in order to start your vacation home rental business. Since, the applicant already owns the property, but to register your business with the DED, you must provide the following information:

Additionally, you must obtain approval from the Department of Tourism and Commerce Marketing. This sector regulates the development and marketing of Dubai’s tourism industry.

Your property will undergo periodic inspections after registration to make sure adhering to the necessary standards. You are required to put your DTCM certificate on display in your rental home.

Documents needed in Dubai to start a vacation home rental business

Before starting your vacation rental business in Dubai, you must have certain documents, including:

How to Start a Holiday Home Business in Dubai?

You must adhere to a set of procedures when beginning your vacation home rental business in Dubai. These consist of:

1. Choosing Your Commercial Activity

The DED classifies a vacation home rental agency as a “Vacation Homes Rental” business activity.

2. Choose a name for your business

Decide the name of the organisation before hand. There are a few guidelines that needs to be followed while selecting business name. It is also crucial to remember that you cannot use any name or phrase that could be offensive or scandalous.

You must also avoid any names that are already in use by well-known corporations. Additionally, if you use your name, it is advisable to you refrain from abbreviating it. Use your full name; do not use any acronyms.

3. Obtain Holiday Home License

There are a few licenses you must obtain before opening your business. The first license to obtain is a trade license from the Department of Economic Development. One must always have a certificate from the Department of Tourism and Commerce Marketing (DTCM) in your rentals in case they is any random inspection.

4. Complete your Visa Application

A UAE visa is necessary if you want to operate a vacation home rental agency in Dubai. If you don’t have the residential permit, a business can’t operate.

One can can easily operate a business in the UAE if they have Visa.

Holiday Home License Cost in Dubai

There are numerous expenses to consider when starting a vacation home rental business in Dubai. Starting a holiday home rental business in Dubai can be a bit pricey, from the licensing fee to the fee for the DTCM approval.

You will need to pay about AED 300 a year for the separate allowance fees, which are calculated for each room you are renting. Additionally, one must also pay a tourism fee of AED 10–15 per bedroom.

Connect with business consulting firms where professionals can walk you through every step of starting your vacation home rental business so that you fully understand the cost structure.

Dubai Holiday Home Rental Regulations

Before renting out your apartment, keep in mind the following laws and ordinances of Dubai:

How Does Shuraa assist you in Opening Holidays Home Business in UAE?

One of the most reputable organisations that assists foreigners in establishing 100% owned businesses in Dubai is Holiday Home Rental Business. With Shuraa you can start your business on your terms and feel empowered. Our experts are with you every step of the way, guiding you toward the best choices for your company. Shuraa’s dedication in assisting you in finding the best business solutions for you. From starting up to locating the best investors.

Shuraa has helped entrepreneurs launch their businesses in Dubai, assisting them in everything from real estate and trading to supply chains and tourism. Meanwhile, come to us if you’re looking for a consulting firm that you can trust to lead you in the right direction!


Indeed, if you’re considering starting a business renting out vacation homes in Dubai, there isn’t a better time to do it than right now! You can speak with our professionals, and we can assist you with everything from obtaining your license and certificate to taking care of your immigration and visa processes.

Furthermore, When forming a new business in the UAE, it’s a good idea to deal with a company formation specialist like Shuraa Business Setup to help you make sure that this is the case.

We are a group of experts in company formation that are passionate about helping ambitious business owners and SMEs realise their aspirations.

In addition to managing your license application, Shuraa can help you open corporate bank accounts and provide advice on the best financial institution to meet your unique needs. For a free consultation, call +971 44081900, send us a WhatsApp message at +971 507775554, or send us an email at

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