Do you own an apartment, villa, or rest house and thinking about turning it into an additional income source? With the significant growth in Saudi Arabia's tourism sector under Vision 2030, any Saudi citizen can now legally rent their residential unit to tourists by obtaining a tourism hospitality license from the Ministry of Tourism. In this comprehensive guide, we'll explain step by step how to obtain the license, the required conditions, fees, and essential tips for preparing your unit and maximizing your daily rental returns. What is a Private Tourism Hospitality Facility License? A Private Tourism Hospitality Facility License is an official permit issued by the Saudi Ministry of Tourism that grants citizens the right to rent their residential units to tourists on a daily basis for a fee. This license covers all types of residential units including apartments, villas, rooms, rest houses, and chalets. The Ministry of Tourism launched this system to regulate the short-term tourist rental market, improve the quality of services provided to tourists, and support citizens in generating additional income from their properties. Important Statistic: Private tourism hospitality facility licenses grew by 333% in 2024, reaching 8,357 licenses compared to 1,929 licenses in 2023. Who Can Obtain the License? The Ministry of Tourism has set clear conditions for obtaining a private tourism hospitality facility license: Basic Requirements 1. Nationality: The applicant must be a Saudi citizen . Non-Saudis are not allowed to obtain this license. 2. Proof of Ownership or Usufruct: An electronic property deed or electronic lease contract proving the applicant's right to the property is required. Paper deeds or unregistered contracts are not accepted. 3. Owners' Approval: In shared properties (such as residential buildings), other owners must not object to daily rental. 4. Property Type: The hospitality facility must be within a property designated for residential or agricultural use . 5. Updated Information: The applicant's official data and facility information must be up to date . How Many Licenses Are Allowed? The Ministry of Tourism has set a cap on the number of licenses for individuals: For Individuals (without management company): Maximum 3 permits per single property, and maximum total of 8 permits across all properties. For Individuals (with licensed management company): When contracting with a licensed tourism hospitality facility management company , these limits can be exceeded. For Companies: Companies with a commercial registration including tourism hospitality facility management activity can obtain more licenses according to specific categories. Steps to Obtain the License The license application process is completely electronic through the Tourism Activities Licensing Portal (TLG): Step 1: Access the Portal Visit the Tourism Activities Licensing Portal at: tlg.mt.gov.sa Step 2: Select License Type Choose "Private Tourism Hospitality Facility" from the available license types. Step 3: Accept Terms Click "Request Permit" and carefully read the terms and conditions, then accept them. Step 4: Login Sign in via National Single Sign-On (Nafath) using your personal information. Step 5: Enter Property Information Add complete property details and attach the electronic property deed or electronic lease contract. Specify the property location using a Google Maps link. Step 6: Upload Property Photos Attach clear, recent photos of the residential unit from inside and outside. Step 7: Pay Fees After reviewing the application, pay the license fees through the portal. License Fees and Duration License Fee: 1,100 SAR annually per license. License Duration: One year from the date of issuance, renewable. Payment Method: Electronically through the Tourism Activities Licensing Portal. Types of Units Allowed for Rental The private tourism hospitality facility license covers rental of: Apartments: Furnished apartments or studios for daily rental. Villas: Complete private villas or parts thereof. Rooms: Independent rooms within the home with private facilities. Rest Houses: Private rest houses in residential or agricultural areas. Chalets: Coastal or rural chalets. Camps: Equipped tourist camps. License Holder Obligations After obtaining the license, the permit holder must comply with several requirements: Cleanliness and Maintenance Obligations Maintain general cleanliness in all fixtures, including adequate ventilation, cleanliness and safety of furniture and equipment, ceiling and wall safety, and providing a healthy environment for guests. Marketing Obligations Use information and photos that match reality when marketing and advertising. Misleading or fake photos are prohibited. Guidelines Obligations Display general guidelines for facility use in a visible location, including check-in and check-out times, parking usage, prohibited behaviors, and handling of lost items. Financial Obligations Do not request or receive any amount from tourists except through travel and tourism service providers (licensed booking platforms). Violations and Penalties The Ministry of Tourism has tightened penalties for violators starting from 2025: Operating Without a License Fine up to 250,000 SAR with facility closure until the violation is corrected. The fine was previously only 50,000 SAR. Allowing Others to Use the License Fine up to 60,000 SAR in Zone 1 (Makkah, Madinah, Riyadh, Jeddah, Khobar). Preventing Inspector from Performing Duties Fine of 10,000 SAR in Zone 1. Non-Compliance with Cleanliness Standards Varying fines depending on violation severity, with possible license suspension. Important Notice: Starting January 1, 2025 , the Ministry of Tourism has required all booking platforms (18 apps) not to display any unlicensed hospitality facilities. Advertising and Booking Platforms After obtaining the license, you can advertise your unit through: Local Platforms Mubeet: Saudi platform specializing in daily rentals. Gathern: Saudi app for apartments and rest houses. Aqar: Largest Saudi real estate platform. Darz: Platform specializing in chalets and rest houses. Golden Host: Platform for serviced apartments. International Platforms Airbnb: Most famous global platform for tourist rentals. Booking.com: Global platform for hotels and apartments. Golden Tips for Your Project's Success 1. Professional Unit Preparation Invest in modern, comfortable furniture and provide all basic supplies such as towels, toiletries, and kitchen utensils. 2. Professional Photography Hire a professional photographer to take high-quality photos. Good photos significantly increase booking rates. 3. Competitive Pricing Study competitor prices in your area and set a competitive price. You can raise prices during seasons and events. 4. Quick Response Respond to guest inquiries quickly. Response speed affects your ranking on booking platforms. 5. Continuous Cleanliness Ensure the unit is always clean and perform deep cleaning after each guest. 6. Positive Reviews Ask satisfied guests to leave positive reviews. Good reviews attract more bookings. 7. Add Special Touches Offer a simple welcome gift, a tourist guide for the area, or additional services like airport pickup. Frequently Asked Questions Can a government employee obtain the license? Yes, any Saudi citizen can obtain the license regardless of their job, provided the required conditions are met. Must the property be on a commercial street? No, the property can be in a regular residential area. Can I rent only part of the house? Yes, you can rent a single room or part of the house with a separate license. What if I don't have an electronic deed? You must convert the paper deed to electronic through the Ministry of Justice before applying. Can a tenant obtain the license? Yes, provided there is a documented electronic lease contract and owner's approval. How long does license issuance take? Usually, the license is issued within a few days after fulfilling all requirements and paying the fees. Conclusion The Private Tourism Hospitality Facility License is a golden opportunity for Saudi citizens to generate additional income from their properties while contributing to supporting the tourism sector under Vision 2030. The process is easy and completely electronic, fees are reasonable, and expected returns are rewarding especially during tourist seasons. Start today by applying through the Tourism Activities Licensing Portal: tlg.mt.gov.sa For inquiries, you can contact the Ministry of Tourism through its official website: mt.gov.sa

Tags: Tourism Hospitality License, Private Hospitality Facility, Saudi Ministry of Tourism, Rent Home to Tourists, Daily Apartment Rental, Airbnb Saudi Arabia, Mubeet Platform, Tourism Activities Licensing, Saudi Vision 2030, Saudi Tourism, Rest House Rental, Chalet Rental, Property Additional Income, TLG Portal, Saudi Daily Rental