Officials did not identify the victims but said around 700 pilgrims were staying at the hotel in Medina, in western Saudi Arabia, to perform the omra pilgrimage.
The fire broke out in the afternoon and was brought under control a few hours later, with survivors were transferred to other hotels in the city.
Authorities have launched an investigation into the cause of the blaze.
Once a year Muslims perform the hajj pilgrimage to Mecca, Islam's holiest city.
