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Short-Term Rentals in Dubai - Rules and Regulations of Letting in the UAE

The reasons for renting an apartment in Dubai for a short-term stay in 2023 can vary widely, such as needing to attend a conference covering two weeks, setting up a new business over a few months, or even a holiday vacation in Dubai. Whether vacationing or in Dubai for work, there are many elite clients wanting all the comforts of home while they are away. This means modern appliances, spaciousness, upper-class furnishings, and the best of the best in Dubai.



The Role Of UpperKey

Upper Key facilitates the relationship between those needing a place to stay in Dubai that meets certain minimum standards and demands for luxury and homeowners with suitable properties for rent. UpperKey takes on the role of a tenant and property owners, providing them with a good, reliable income. Simultaneously, UpperKey acts as the lessor for tenants, ensuring that the property is superbly clean and furnished with all the mod cons and desired styles. This makes for a great short-term rental experience for owners and tenants alike. There are also medium and prolonged letting options in Dubai in 2023.


Let us now look at the ins and outs and the benefits of the short-term rental in Dubai in much greater detail.


The ease and reliability of renting through UpperKey
Hassle-free rental management in Dubai.

How Short-Term Rental Is Defined In Dubai

The goals of short-term rentals are different from prolonged residential aims. in Dubai The former is required for only a brief period, due to work requirements or vacationing whereas the latter is more concerned with having a home to live and stay in for extended periods.


Short-term rentals in Dubai are more likely to be fully furnished to provide the tenant with all of the work or home amenities they require, such as internet, water, and electricity. These units may also be serviced by a cleaning service during or between stays.


The Dubai law states that a short-term rental cannot involve renting out only a portion of the property. The full premises in their entirety have to form part of the rental agreement.


The amenities and services offered in short-term rentals in Dubai
The convenience of short-term rentals in Dubai.

Types Of Units Eligible For Rental

The DTCM or the Department of Tourism and Commerce Marketing in Dubai allows all types of the units to be used for short-term rentals except for hotel apartments, which are dealt with separately.


It is acceptable and perfectly legal to put a villa up for rental in Dubai. The two conditions attached to renting out apartments and villas are that they must form part of a group of a minimum of four villas and that this villa community must be gated.


The Department of Tourism and Commerce Marketing of Dubai (DTCM) additionally makes provision for the renting of commercial villas stationed on highways to be rented as vacation homes in line with DTCM regulations.

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The Homeowner Benefits When Letting Their Property Short-term

Letting a holiday home for short term lease in Dubai or in the UAE comes with many advantages to homeowners in Dubai.

  • Firstly, permanent rentals are more prone to disputes between owners and tenants as time goes by, which is circumvented by short rental periods.

  • Secondly, maintenance is limited to the duration of actual rentals instead of being a year-long burden and puts less pressure on your property.

  • Thirdly, the landlord can make use of his property any time he needs it by simply not getting a new short-term tenant for that period, while this is not possible with a long-term tenant.

  • Fourthly, the rental fee is fixed for the duration of a long-term lease but in a short-term rental, the price can fluctuate, e.g., during peak holiday seasons and as the unit becomes more popular and tenants are willing to pay a higher price. This means more income for the owner.

  • Fifthly, and finally, the owner has complete control over how long they want to lease their property and can make use of it for other purposes as required.


The benefits of short-term rentals, including reduced disputes, limited maintenance burden, flexibility for the landlord to use the property
Advantages of short-term rentals. Flexibility, maintenance, and income potential.

Getting A Permit In Dubai For Short-Term Rentals

The governing bodies for short-term and long-term rentals differ. They are are managed and regulated by Ejari and fall under the Real Estate Regulatory Agency (RERA) in Dubai. Again governed by RERA, short term rentals in Dubai are the province of the Department of Tourism and Commerce Marketing (DTCM).


For short term rentals in Dubai, the DTCM must be approached for permits. This governing body markets and develops the Dubai tourism trade, as well as overseeing all aspects such as short-term rentals provided by Dubai citizens and homeowners.



Obtaining a permit in Dubai must take place before a property is let out. This is accomplished by going to the DTCM website and carrying out the following steps:

  • Find “Holiday Homes” on the website;

  • Select the “Homeowner” option to sign up;

  • Complete all the fields on the form;

  • Upload your passport or Emirates ID;

  • Pay the operator fee of +/- AED 1,520/year

  • Apply for your permit;

  • Upload the title deed for your property; and

  • Upload the DEWA (Dubai Electricity and Water Authority) for your property

A landlord can obtain a maximum of the eight permits, i.e., for up to eight units. Once the number of units exceeds this figure, the owner must make an application as a professional operator and will need a trade licence.


You will also need to pay a tourism tax in Dubai.

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Rules And Regulations Of Short-Term Letting Around The Globe

It is interesting to compare short term letting terms and conditions around the world to note how short-term rentals in Dubai differ or are aligned.


Ireland

In Ireland, short term rentals are confined to periods of a maximum of two weeks in 2023. Longer letting periods are allowed but require the completion of appropriate paperwork. However, if the short-term or longer rental consists of a room in your primary residence, there are no special requirements. You can let out up to four rooms as long as you are also staying in the property without needing to report it. It is only when the letting is set to perform as a commercial venture that the authorities impose additional rules. Owners who rent out a second, empty property for many two-week stretches earn more than those who opt for long-term rentals.


Italy

Rome, Italy is more complicated. Regulations differ between regions or cities compared to elsewhere in the country. While letting is controlled by laws, specific regional regulations need to be known and adhered to. In some ways, Italian homeowners are more fortunate than those in other countries. Although they will pay taxes, accordingly, letting out up to four discrete houses at the same time is not seen as a commercial venture and is thus not regulated in the same way as commercial property rentals. A short-term rental period is 30 days.


The complexity of rental regulations in the city
Navigating rental regulations in Rome, Italy. Regional specificities and short-term rental period.

London

London has a London-specific rule regarding short-term rentals. This limits owners to a maximum number of 90 over which they can let their property, whether this is made up of multiple short rentals or one single 90-day contract. Once this number is exceeded, the homeowner has to get a new planning permit. Approval of a new planning permit is not a foregone conclusion. In certain instances, it would be viewed as disruptive to a residential area to have a high turnover of new people. Concerns about an increase in crime, increased waste, lower security, excess noise, and unacceptable behaviour could see an application rejected in these areas.


Experience the convenience, flexibility and the benefits of the short term lease of holiday homes in Dubai with Airbnb. List your property on Airbnb and unlock the opportunity to cater to travelers seeking temporary accommodations in the vibrant city of Dubai.


Investing in property in Dubai has become increasingly popular, with many individuals seeking short-term gains in the real estate market. The city's booming economy and attractive lifestyle make it an ideal destination for those looking to purchase holiday homes or capitalize on short-term rental opportunities. The thriving real estate sector in Dubai offers a wide range of options for investors, from luxury apartments to beachfront villas, ensuring a profitable short-term investment in the property market.


Short-term rentals are great for making a nice income. If you own a property in Dubai, why not give it a go?



Determine your property's rental value with UpperKey as your tenant

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