Good news for all the investors looking to generate passive income through short-term rentals. You can now get an Airbnb license to make your profits.

Dubai Department of Economy and Tourism (DET) has introduced guidelines to ensure compliance towards specific requirements. Starting from registering yourself with DET to obtain a short-term rental permit.

Steps to get your Airbnb license

1. Complete the process of documentation, including proof of property ownership or lease agreement, complete identification and compliance certificates.

2. Complete the process of application submission either online or by in person visit to DET’s office.

3. Submit the requested application and registration fee.

4. Get any relevant and required property inspections.

5. Once complete application is submitted and approved by DET, you will obtain your permit.

6. Acquire an insurance coverage to cover short-term rental insurance for property damage, theft, short term rental specific liabilities and liability insurance for protection against claims for injuries or damages during guest’s stay.

It is important to note that requirements may vary for different property types.

As an investor or host to short-term rental platform like Airbnb, its important to comply with all the relevant insurances, and regulations to protect yourself, guests and your property which may vary based on location.

1. Applicable Fees: Depending on the property type and size, fees of application may vary like for a studio, annual permit fees may range around AED 370 and AED 1200 for property with four bedrooms or more.

   

   Source: Airbnb

2. Confirmation on Approval: Once the right and complete documentation is submitted as per requirements, host gets approval within 2 to 3 days depending on the status of documentation. After approval is received, host is required to submit and remit Tourism Dirham fee. Where permit requires renewal as per its expiry, mostly on annual basis. In case of third-party management, agreement needs to be presented and if properties fall under Homeowners Association (HOA) must comply with specific regulations.

   

   Source: Airbnb

3. Insurance Coverage: Short-term rental insurance and liability insurance are of utmost importance as short-term rental insurance covers for property damage, theft, short term rental specific liabilities and liability insurance for protection against claims for injuries or damages during guest’s stay while the host ensures health and safety standards of the property.

   

4. Location: Certain communities may also require prior approval for short-term rentals. Not all communities allow to host Airbnb due to zoning laws so its important to take prior approvals.

   

   Source: Airbnb

5. Regulatory Changes: With the growing short-term rental industry, government has introduced strict regulations and to manage the market hosts are needed to register with DET for permit to rent legally.

To ensure smooth flow of process and successful results, it is best to partner with a real estate consultancy firm who can manage all the legal requirements, and documentation efficiently.

Following this guide, you can easily manage to get your Airbnb permit, navigate right areas for your investment and enjoy rental returns.

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