Guide to Making Your Property a Holiday Home in Dubai
- Property as a holiday home
- Holiday home permit in Dubai
- Amending permit
- Cancellation process
- Check-in and check-out process
- Holiday home preparation
- Benefits
- FAQs
Dubai’s tourism industry is highly lucrative, making it an attractive destination for travellers seeking a unique experience. From exploring the desert landscapes to indulging in luxury shopping at the Dubai Mall, there are numerous attractions for visitors. With the World Expo 2020 and a thriving real estate market, holiday homes have become a promising investment option.
Dubai’s advanced technology, luxurious tourism offerings and prosperous economy make holiday homes a potentially profitable venture for earning a substantial income.
Holiday homes in Dubai refer to residential properties that are specifically designed and furnished to accommodate short-term guests on vacation or business trips. These properties are typically rented out on a daily, weekly, or monthly basis to tourists and travellers looking for a comfortable and convenient alternative to hotels.
This comprehensive guide on the procedure to make your property a holiday home in Dubai will provide you with step-by-step instructions and valuable tips.
What are Holiday Homes in Dubai
Holiday homes in Dubai can come in various forms, including townhouses, apartments or villas and even individual rooms within larger properties. They are equipped with amenities and facilities that cater to the needs of guests, providing a home-away-from-home experience.
According to the regulations set by Dubai Tourism and Commerce Marketing (DTCM), a holiday home is defined as fully furnished accommodation that is rented out as a complete unit for short-term rentals. These rental periods can range from monthly, weekly to daily short-term rentals in Dubai. The key distinction is that holiday homes are not governed by the Ejari-regulated tenancy agreement, which is typically used for long-term residential leases.
To operate a holiday home in Dubai, homeowners or tenants must obtain a licence from DTCM. This licence allows them to rent out their furnished property to guests on a short-term basis. It is mandatory to register the holiday home with DTCM through licenced operators, tenants, or individual homeowners. Let’s explore the procedure to make your property a holiday home in Dubai.
Process to Make Your Property a Holiday Home in Dubai
If you own a property in Dubai and wish to capitalise on the growing tourism industry, converting it into a holiday home can be profitable. Just like hotel apartments in the UAE, holiday homes in Dubai are fully furnished and include essential amenities such as fully equipped kitchens, comfortable beds, living areas and bathrooms. You can also find additional features like swimming pools, gyms, parking spaces and access to recreational facilities.
Another common way to turn a home into a holiday home in Dubai is to have careful planning and execution. Here are the steps to follow to successfully convert your property into a desirable holiday home in Dubai. Before you enter the process, here is how to obtain and renew a holiday home permit in Dubai.
Research the Market
Before embarking on your holiday home project, it is essential to conduct thorough research to identify the demand and competition for holiday homes in your area. This will help you determine the right location, property type and pricing strategy to attract potential guests.
Outline Your Business Activities
When establishing a business in the UAE, it is crucial to define your business activities accurately. This step is essential to ensure regulatory compliance and avoid potential penalties or licence revocation.
In the case of operating a vacation home rental business, the specific activity to be outlined is “Vacation Homes Rental.” This activity falls under the purview of a tourism licence, enabling you to legally rent out properties to vacationers for various durations, including daily, weekly, monthly, or even annually. By obtaining a tourism licence, you can conduct this business activity in alignment with the UAE regulations and operate within the legal framework.
Apply for a Holiday Homes Trade Licence
To obtain a licence for renting out holiday accommodation in the UAE, you must first apply for a trade licence, specifically known as a tourism licence or holiday home trade licence. This licence is acquired through the Department of Economic Development aka DED Dubai.
When applying for the tourism licence, you will need to submit the following documents:
- A complete application form.
- Passport copies of the proposed owner or owners.
- Two colour and passport-sized photos.
- Details of the property you intend to use for holiday accommodation.
Apply for a Holiday Home Permit
According to the conditions and procedures outlined below, a permit must be obtained from the Dubai Tourism (DET) authority for each holiday home. In other words, each holiday home must acquire a permit from DET by following the specified requirements and steps.
DET has also introduced a QR Code initiative for holiday homes in Dubai. Holiday homeowners in the Emirate are required to display a QR code on the main entrances of their properties. The code will make it easy for visitors and guests to scan and access necessary information about the intended owner or operator of the vacation property in Dubai.
Furthermore, the initiative will be helpful for oversight and inspections conducted by the DET authorities, ensuring strict adherence to procedures. You can visit the DET’s official website for necessary details on the QR code initiative.
Also, check the zoning regulations in your area to ensure that short-term rentals are permitted. Seek advice from a legal expert who specialises in real estate and tourism regulations to ensure compliance with all legal requirements.
Submit Your Visa Application
To operate a holiday home business in Dubai, you will need a UAE visa. As the owner of a UAE business licence, you can sponsor visas for others as well. This includes the option to sponsor your spouse, parent, child, or even domestic workers like housekeepers. By obtaining the necessary UAE visa, you can ensure that you and your sponsored individuals are legally authorised to reside and work in Dubai while running your holiday home business.
The maximum number of visas to apply for your holiday homes business will be determined by various factors such as the size of your company, the specific business setup you have chosen and your earning. It is important to consult with the relevant authorities and adhere to the regulations and guidelines regarding visa applications based on your circumstances.
How to Get a Holiday Home Permit in Dubai
Following are the conditions and a procedure to get the issuance for a holiday home permit in Dubai.
Required Documents
- Copy of individual owner’s passport
- Emirates ID of the property owner or tenants
- Tenancy contract (for individual tenants)
- Property management letter
- Copy of property Title Deed and authorisation from the owner, using the approved form from DET.
- DEWA electricity bill that is no less than three months old as of the date of the application and in the name of the owner or the licensee (or tenant) of the unit.
- Payment completion certificate
- Trade licence if the landlord is registered as a company
Procedures to Get a Holiday Home Permit in Dubai
- Access the Holiday Home system by logging in to the official website of DTCM
- Sign in to your account.
- Click ‘Add New’.
- Provide the required information about your real estate property and then proceed by clicking ‘Continue Application’.
- Upload the necessary documents as per the requirements and then proceed by clicking ‘Continue Application’.
- Await an authorised officer’s approval or rejection of your application.
- Upon approval, complete the self-classification process and address any identified deficiencies, if applicable.
- Make payment using the online payment system.
- Once the fees are paid, an electronic permit will be generated, which should be printed and prominently displayed at the Holiday Home.
Required Fee for Holiday Home Permit in Dubai
- The permit fee amount is AED 1,500
- AED 10 knowledge fee
- AED 10 innovation fee
Procedures for Amending Permit Information
You can also make amendments to your permit by following the below-mentioned steps to make your property a holiday home in Dubai:
- Access the Holiday Home system by logging into the official website of DTCM.
- Sign in to your account.
- Click the ‘Amend’ button next to the approved unit symbol.
- Select the specific amendment, such as the number of rooms and complete the required information. Then, proceed by clicking ‘Continue Application’.
- Make the fee payment using the online payment system.
- After the fees have been paid, the amended electronic permit will be generated. It is important to print the amended permit and display it visibly within the Holiday Home.
Holiday Home Permit Cancellation Process
Follow the below-mentioned instruction in case you want to cancel your holiday home permit in Dubai.
- Access the Holiday Home system by logging into the official website of DTCM.
- Sign in to your account.
- Click the ‘Cancel’ button near the approved unit symbol.
- Select the reason for cancellation and proceed by clicking ‘Continue Application’.
- Make the payment for the required fees using the online payment system.
- The system will automatically update the information accordingly.
Holiday Home Check-in and Check-out Process
The property owner holds the responsibility of registering each guest’s check-in and check-out on the DTCM website. Below are the detailed steps involved in the process of checking in and out guests:
Check-in Process
- Access the Holiday Home portal at the DTCM website.
- Sign in to your account.
- Click the ‘New check-in’ button.
- Enter all the required check-in and guest information by selecting ‘Add New’ and proceed by clicking ‘Continue Application’.
- Attach clear copies of the guest’s passports (or GCC ID cards if they are citizens).
- Review the application details carefully and once satisfied, click ‘Continue Application’ to finalise the guest check-in procedure.
Check-out Process
- Access the Holiday Home portal at the DTCM website.
- Sign in to your account.
- Click the ‘check-out’ button.
- Enter the check-out information by providing the necessary details.
- Review the application details carefully and once satisfied, click ‘Continue Application’ to finalise the guest check-out procedure.
In addition to the legal requirements mentioned earlier, property owners must also adhere to general regulations to ensure their property is suitable for tenants when transforming it into a holiday home.
Ways to Turn Property into a Holiday Home in Dubai
It’s crucial to create a welcoming and comfortable space. Preparing a property for a holiday home in Dubai involves several important steps to ensure an inviting experience for guests. Here is our guide to turning a property into a holiday home in Dubai.
Deep Cleaning
Start by thoroughly cleaning the entire property, including all rooms, bathrooms, kitchens and common areas. Don’t forget to pay attention to details such as carpets, windows and upholstery to create a fresh and welcoming atmosphere. You can also contact the home cleaning services in Dubai to get professional deep cleaning.
Furnishing and Decoration
One of the useful tips to turn house holiday home in Dubai is to add decorative and furnished furniture. Furnish the property with comfortable and functional furniture suitable for short-term stays. Choose a modern and aesthetically pleasing decor that reflects the local culture or a neutral style.
Add Essential Amenities
Provide essential amenities such as bedding, towels, toiletries and kitchenware. Ensure all the appliances, electronics and utilities are in good working condition. Consider adding extras like a TV, Wi-Fi access and air conditioning for added comfort.
To cultivate a positive and peaceful home ambience in your holiday home, consider installing noise insulation in various areas of the property. This will help minimise external noise disturbances and enhance the overall guest experience.
Safety Measures
Install smoke detectors, fire extinguishers and a first-aid kit to prioritise guest safety. Ensure all locks, including entrance doors and windows, are secure and functional.
Maintenance and Repairs
Conduct a thorough inspection of the property to identify and complete the home maintenance checklist. This includes checking plumbing, electrical systems and HVAC units to ensure they are in proper working order.
Also, if you notice chipping paint in your holiday home, it is recommended to enlist the services of reputable house painting companies in Dubai. Seeking professional assistance will ensure that your property is repainted to a high standard, enhancing its overall appearance and appeal.
Property Security
Consider installing a security system or hiring a reputable security service to enhance the safety and security of the guests.
Professional Photography and Marketing to Attract Guests
To attract potential guests, it’s crucial to market your holiday home effectively. Consider the following strategies:
- Professional photography: Engage the services of a professional photographer to capture high-quality images that effectively highlight your property’s unique features and amenities, both inside and outside.
- Online listings: Make use of popular short-term rental platforms such as dubizzle to expand your reach and attract a diverse range of potential guests. Create an enticing listing that includes a comprehensive description, eye-catching photos and competitive pricing. You can browse through these monthly short-term properties in Dubai to get more ideas on how to put up the listings here. Download the dubizzle app: Android | iOS
- Social media presence: Establish a strong presence on social media platforms to promote your holiday home. Share visually appealing images, positive guest testimonials and relevant information about the property and its nearby attractions to engage with potential guests.
- Guest reviews: Encourage your guests to leave reviews and feedback about their experience. Positive reviews play a crucial role in establishing credibility and building trust among prospective guests.
Enhance Guest Experience and Hospitality in your Holiday Home
To enhance the guest experience and provide exceptional hospitality in your holiday home, consider implementing the following strategies:
- Add a Welcome Package: Create a warm and inviting atmosphere by preparing a welcome package for guests. Include essentials such as snacks, beverages, local maps and personalised notes to make them feel valued and appreciated.
- Guest Guidebook: Create a guest guidebook that outlines important details such as Wi-Fi instructions, appliance usage, emergency contacts, nearby attractions and recommended restaurants. This will help guests navigate their stay more easily.
- Concierge Services: Offer concierge services or partner with local service providers to assist guests with transportation, tours, reservations and other requests. This adds convenience and further enriches the guest experience.
- Regular Upgrades: Continuously evaluate your property and identify areas where upgrades or improvements can be made. Stay updated with industry trends and guest preferences to ensure your holiday home remains appealing and competitive.
Benefits of Owning a holiday home in Dubai
Owning a holiday home in Dubai can offer several benefits, including:
Personal Use
Having your own holiday home in Dubai allows you to enjoy the city’s attractions and lifestyle whenever you desire. You can escape to your property for vacations or weekends, creating a home away from home.
Rental Income
Dubai is a popular tourist destination, attracting a significant number of visitors throughout the year. By renting out your holiday home, you can generate a steady stream of rental income, especially during peak seasons.
Diversification of Investment Portfolio
Owning a holiday home in Dubai diversifies your investment portfolio beyond traditional assets like stocks and bonds. Real estate is considered a tangible asset and can provide stability and potential returns. Read on to find out more about why to invest in holiday homes in Dubai.
Lifestyle Benefits
Dubai offers a luxurious lifestyle with world-class amenities, entertainment and cultural experiences. As a holiday home owner, you can indulge in the city’s vibrant lifestyle and enjoy its attractions, shopping malls, restaurants and leisure activities.
Retirement Option
Owning a holiday home in Dubai can serve as a retirement option, providing you with a comfortable and familiar place to spend your golden years. It offers the opportunity to enjoy the city’s amenities and services while maintaining a sense of independence.
FAQS
Are there any restrictions on renting out holiday homes in Dubai?
Yes, there are regulations in place for renting out holiday homes in Dubai. Property owners need to obtain a holiday home permit and register their property with the Dubai Tourism and Commerce Marketing (DTCM). They must comply with specific guidelines regarding rental periods, guest registration and safety standards.
Is the tourism fee applied for holiday homes in Dubai?
Yes, the Tourism Dirham fee for holiday homes is applied per room per night, irrespective of the number of guests. The fee varies depending on the category classification of the holiday home. Deluxe Holiday Homes’ fee is AED 15 per room per night, while Standard Holiday Homes’ fee is AED 10 per room per night.
How long is the holiday home permit valid in Dubai?
The holiday home permit has a minimum validity of 3 months and a maximum validity of 12 months. The permit fee remains the same regardless of the permit’s duration.
Can I sell my holiday home in Dubai?
Yes, holiday homes in Dubai can be sold. Property owners have the flexibility to sell their properties at any time. Since there are several benefits of hiring a real estate agent, it is recommended to work with a reputable one to assist with the sales process and ensure a smooth transaction.
What are the popular areas in Dubai for holiday home investments?
According to the dubizzle rental market report 2022, popular areas for holiday home investments in Dubai include Deira, Dubai Marina, Jumeirah Village Circle and Dubai International City. These areas offer a range of amenities, attractions and scenic views that appeal to holidaymakers.
Here are some more FAQs about holiday homes in Dubai that can help you in answering some of the common questions.
That’s a wrap of our guide on the procedure to make your property a holiday home in Dubai. Transforming your Dubai holiday home property opens up a world of opportunities for generating income and experiencing the vibrant tourism industry. Following the necessary legal procedures, obtaining the required permits and adhering to the regulations set by the Dubai government, you can successfully establish and operate a holiday home business.
From preparing your property to providing exceptional guest experiences, every step plays a crucial role to ensure the success of your venture. With Dubai’s thriving real estate market, diverse cultural experiences and luxurious lifestyle, owning a holiday home in this dynamic city can be a rewarding investment.
Leap and embark on this exciting journey. Browse through these properties for sale in the UAE for a sought-after holiday destination in Dubai.
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