Jumeirah Beach Residence
Beachfront community, strong STR market, consistent occupancy
STR (Airbnb)
5.0%
1BR annual yield
LTR (Long-Term)
5.4%
1BR annual yield
Winner
LTR
7.4% delta
STR Analysis (1BR)
Nightly RateAED 380
Avg Occupancy81%
Annual Nights296 nights
Gross Annual RentAED 112,347
Fees & Costs (Annual)
Tourism Dirham (296 nights)AED 5,920
Cleaning (296 stays)AED 26,640
Platform Fee (Airbnb 12%)AED 13,482
Property Management (17%)AED 19,099
Net Annual IncomeAED 47,244.87
Yield5.0%
LTR Analysis (1BR)
Annual RentAED 60,000
Gross Annual RentAED 60,000
Costs (Annual)
Maintenance, agent fees, vacancy loss (15% of rent)AED 9,000
Net Annual IncomeAED 51,000
Yield5.4%
Break-Even Analysis
To match the LTR net yield of 5.4%, your STR would need:
Minimum Occupancy
37%
Current market: 81%
Annual Nights
134
At 380 AED/night
Status
STR Wins
44.2% margin
Why Choose STR?
- •Higher potential yield (5.0% vs 5.4%)
- •Pricing power during peak season
- •Flexibility to live in property or adjust strategy
- •Direct guest feedback and experience control
Why Choose LTR?
- •Hands-off income stream
- •No DET license, DTCM registration required
- •Tenant stability and predictable cash flow
- •Lower management friction and regulations
Important Regulatory Notes
- 1.DET License Required: All STR must be licensed. Application process takes 4-6 weeks. Non-compliance risks fine or property impounding.
- 2.DTCM Registration: Property must be classified and registered. Tourism Dirham collected upfront or via platform remittance.
- 3.Occupancy Realism: 81% is market average. Expect variance based on location, listing quality, pricing strategy.