Abu Dhabi Holiday Homes: New DCT Rules Open Licences to Tenants

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Abu Dhabi Holiday Homes: New DCT Rules Open Licences to Tenants

Tenants in Abu Dhabi can now apply to run a holiday home, and every holiday home advertised online must show its licence number. The Department of Culture and Tourism Abu Dhabi (DCT Abu Dhabi) announced the updated rules at Arabian Travel Market 2026 in September, alongside a new digital licensing platform that it says cuts approval times and simplifies licensing, WAM reported on 15 September.

Here is what changed, the numbers behind it, and what it means for owners, investors, tenants and guests.

What Changed

RuleWhat it means now
Who can operateIndividual owners, joint owners, companies, tenants and people authorised by the owner, subject to DCT's conditions
Online listingsNo holiday home may be advertised on a website or platform without a valid DCT licence, and the licence number must appear on the listing page
LicensingA new digital platform with simpler steps and shorter approval times
Shared unitsListing shared units on online platforms is prohibited

The listing rules build on a DCT circular that took effect on 1 January 2026. It requires every platform to carry a field for the licence number and to remove unlicensed listings within 30 days of a notice from DCT. The update also follows changes made in 2024, when DCT linked its licensing platform with the Department of Municipalities and Transport and a self-inspection system, which cut the time to issue a licence to under six hours, according to WAM.

The Numbers Behind the Change

DCT's figures for 2025 show a fast-growing market, which explains the push for tighter listing rules:

Measure2025Change on 2024
Eligible holiday home units4,771Up 77%
GuestsMore than 335,000Up 77%
International guests252,500Up 68%
Domestic guests82,900Up 114%
Average daily revenueAED 1,887Up 28%

Hamad Mohammed Sudain, Executive Director of Support Services at DCT Abu Dhabi, said the updated regulations strengthen the sector's governance, improve transparency and encourage responsible participation.

What It Means for Owners and Investors

A DCT licence comes first. Without one, a home cannot be advertised or booked as a holiday home. DCT's published holiday homes manual sets out the basics:

  • The unit must sit in an approved development project, commercial hub, agricultural land or a licensed residential or investment plot, and be approved by the relevant authorities.
  • No more than three guests per room, and lounges and hallways may not be used as bedrooms.
  • The unit may not be divided up for rent, and a unit with a demolition licence may not be let as a holiday home.
  • A tourism fee of 6% is collected on guest invoices and paid to DCT.
  • The manual's fee table lists AED 1,550 for registration on the online system and AED 900 for each licence or renewal. The National reported that fees now vary with the number of units, the type of property and whether the operator is a person or a company, so confirm the current amount on the DCT system.

Demand follows visitors. Miral said hotel occupancy on Yas Island reached 92% in August 2026, as Gulf News reported, and Saadiyat Island draws visitors to its beaches and museums. Our holiday homes page shows projects suited to short stays, and our area pages for Yas Island and Saadiyat Island show current prices. A holiday home has to be ready to live in, so buyers starting now can compare apartments for sale on Yas Island.

Before you buy, compare short stays with a normal annual lease. Our rental yield calculator works out the return on a long lease, and our Abu Dhabi rental index guide shows average rents by area.

What It Means for Tenants

Being a tenant is now enough to apply, but a tenancy contract on its own does not give you the right to run a holiday home, as Gulf News noted in its reading of the rules. You must meet DCT's conditions and hold the licence. In practice:

  • Speak to the owner first and get their agreement in writing.
  • Check that the building or community allows short stays, since not every unit is eligible.
  • Budget for the licence, the registration and the 6% tourism fee before you set a nightly rate.

What It Means for Guests

Look for the licence number on the listing before you book. A listing without one should not be on the platform at all, and DCT can order the platform to remove it. If something goes wrong during a stay, a licensed home is one that DCT inspects and can act on.

FAQ

Can tenants run a holiday home in Abu Dhabi?

Yes. Under DCT Abu Dhabi's updated rules, tenants can be licensed holiday home operators if they meet DCT's conditions. A tenancy contract on its own is not enough.

Do I need a licence to rent my home for short stays in Abu Dhabi?

Yes. The holiday homes activity may only be practised after obtaining a DCT Abu Dhabi licence, and an unlicensed home may not be advertised online.

Where must the holiday home licence number appear?

On the listing page of every website or platform where the holiday home is advertised, so guests can check it before booking.

How much is the tourism fee on holiday homes?

DCT's holiday homes manual sets a tourism fee of 6% of the guest invoice, which the operator collects and pays to DCT.

How many guests can stay in a holiday home?

No more than three per room under DCT's manual, and lounges and hallways may not be used as bedrooms.

How many holiday homes are there in Abu Dhabi?

DCT counted 4,771 eligible holiday home units at the end of 2025, up 77% on a year earlier, with more than 335,000 guests.

Disclaimer: Content is for informational purposes only and does not constitute real estate, legal, or financial advice. Property details, prices, and market data are subject to change. Always seek professional guidance before making any property decision.

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