Investment Strategy
This Year's New Launches: How to Choose
May 9, 2025
Dubai's tourism continues to grow, with visitor numbers reaching new records and new attractions, hotels and events added every year. For property investors, tourism supports demand for holiday homes and hotel apartments in key areas.
What supports tourism
- Connectivity: airlines linking Dubai to the world.
- Attractions: landmarks, beaches, theme parks and shopping.
- Events: exhibitions, sports and festivals.
- Safety: a secure destination for families.
Holiday home investment
Licensed holiday homes in tourist areas, such as Downtown, Dubai Marina, JBR and the Palm, can achieve strong occupancy and income.
Costs and management
Holiday homes require furnishing, cleaning, management and licensing. Net returns should be calculated carefully.
Competition
The number of holiday homes and hotels is increasing. Quality, location and reviews determine performance.
Regulation
Owners must register holiday homes and follow standards set by the tourism authority.
Reviews and performance
In holiday letting, reviews have a direct effect on income. Properties with consistently positive reviews appear higher in booking platform searches, achieve better occupancy and can charge higher rates. Reviews reflect cleanliness, accuracy of descriptions, comfort, communication and location. A single poor experience can affect bookings for months. Owners and operators should treat every stay as an opportunity to earn a strong review: providing a spotless, well-equipped home, clear check-in instructions and quick responses to questions. Monitoring reviews and addressing recurring complaints helps maintain standards. In a growing but competitive market, reputation is one of the most valuable assets a holiday home can have.
Our view
Tourism growth supports holiday home demand. We help investors choose properties and management arrangements suited to short-term letting.
