diff --git a/internal/services/desktopvirtualization/virtual_desktop_host_pool_resource.go b/internal/services/desktopvirtualization/virtual_desktop_host_pool_resource.go
index 4b8639e694098..c25fff5b43087 100644
--- a/internal/services/desktopvirtualization/virtual_desktop_host_pool_resource.go
+++ b/internal/services/desktopvirtualization/virtual_desktop_host_pool_resource.go
@@ -196,6 +196,13 @@ func resourceVirtualDesktopHostPool() *pluginsdk.Resource {
 				},
 			},
 
+			"vm_template": {
+				Type:             pluginsdk.TypeString,
+				Optional:         true,
+				ValidateFunc:     validation.StringIsJSON,
+				DiffSuppressFunc: pluginsdk.SuppressJsonDiff,
+			},
+
 			"tags": commonschema.Tags(),
 		},
 	}
@@ -220,6 +227,15 @@ func resourceVirtualDesktopHostPoolCreate(d *pluginsdk.ResourceData, meta interf
 	}
 
 	personalDesktopAssignmentType := hostpool.PersonalDesktopAssignmentType(d.Get("personal_desktop_assignment_type").(string))
+	vmTemplate := d.Get("vm_template").(string)
+	if vmTemplate != "" {
+		// we have no use with the json object as azure accepts string only
+		// merely here for validation
+		_, err := pluginsdk.ExpandJsonFromString(vmTemplate)
+		if err != nil {
+			return fmt.Errorf("expanding JSON for `vm_template`: %+v", err)
+		}
+	}
 	payload := hostpool.HostPool{
 		Location: utils.String(location.Normalize(d.Get("location").(string))),
 		Tags:     tags.Expand(d.Get("tags").(map[string]interface{})),
@@ -235,6 +251,7 @@ func resourceVirtualDesktopHostPoolCreate(d *pluginsdk.ResourceData, meta interf
 			PersonalDesktopAssignmentType: &personalDesktopAssignmentType,
 			PreferredAppGroupType:         hostpool.PreferredAppGroupType(d.Get("preferred_app_group_type").(string)),
 			AgentUpdate:                   expandAgentUpdateCreate(d.Get("scheduled_agent_updates").([]interface{})),
+			VMTemplate:                    &vmTemplate,
 		},
 	}
 
@@ -305,6 +322,10 @@ func resourceVirtualDesktopHostPoolUpdate(d *pluginsdk.ResourceData, meta interf
 		if d.HasChanges("scheduled_agent_updates") {
 			payload.Properties.AgentUpdate = expandAgentUpdatePatch(d.Get("scheduled_agent_updates").([]interface{}))
 		}
+
+		if d.HasChanges("vm_template") {
+			payload.Properties.VMTemplate = utils.String(d.Get("vm_template").(string))
+		}
 	}
 
 	if _, err := client.Update(ctx, *id, payload); err != nil {
@@ -365,6 +386,7 @@ func resourceVirtualDesktopHostPoolRead(d *pluginsdk.ResourceData, meta interfac
 		d.Set("type", string(props.HostPoolType))
 		d.Set("validate_environment", props.ValidationEnvironment)
 		d.Set("scheduled_agent_updates", flattenAgentUpdate(props.AgentUpdate))
+		d.Set("vm_template", props.VMTemplate)
 	}
 
 	return nil
diff --git a/internal/services/desktopvirtualization/virtual_desktop_host_pool_resource_test.go b/internal/services/desktopvirtualization/virtual_desktop_host_pool_resource_test.go
index 18d6785aec357..38de97b451071 100644
--- a/internal/services/desktopvirtualization/virtual_desktop_host_pool_resource_test.go
+++ b/internal/services/desktopvirtualization/virtual_desktop_host_pool_resource_test.go
@@ -33,6 +33,21 @@ func TestAccVirtualDesktopHostPool_basic(t *testing.T) {
 	})
 }
 
+func TestAccVirtualDesktopHostPool_vmTemplate(t *testing.T) {
+	data := acceptance.BuildTestData(t, "azurerm_virtual_desktop_host_pool", "test")
+	r := VirtualDesktopHostPoolResource{}
+
+	data.ResourceTest(t, r, []acceptance.TestStep{
+		{
+			Config: r.vmTemplate(data),
+			Check: acceptance.ComposeTestCheckFunc(
+				check.That(data.ResourceName).ExistsInAzure(r),
+				check.That(data.ResourceName).Key("vm_template").IsNotEmpty(),
+			),
+		},
+	})
+}
+
 func TestAccVirtualDesktopHostPool_agentupdates(t *testing.T) {
 	data := acceptance.BuildTestData(t, "azurerm_virtual_desktop_host_pool", "test")
 	r := VirtualDesktopHostPoolResource{}
@@ -253,6 +268,46 @@ resource "azurerm_virtual_desktop_host_pool" "test" {
 `, data.RandomInteger, data.Locations.Secondary, data.RandomString)
 }
 
+func (VirtualDesktopHostPoolResource) vmTemplate(data acceptance.TestData) string {
+	return fmt.Sprintf(`
+provider "azurerm" {
+  features {}
+}
+
+resource "azurerm_resource_group" "test" {
+  name     = "acctestRG-vdesktophp-%d"
+  location = "%s"
+}
+
+resource "azurerm_virtual_desktop_host_pool" "test" {
+  name                 = "acctestHP%s"
+  location             = azurerm_resource_group.test.location
+  resource_group_name  = azurerm_resource_group.test.name
+  type                 = "Pooled"
+  validate_environment = true
+  load_balancer_type   = "DepthFirst"
+
+  vm_template = <<EOF
+  {
+    "imageType": "Gallery",
+    "galleryImageReference": {
+      "offer": "WindowsServer",
+      "publisher": "MicrosoftWindowsServer",
+      "sku": "2019-Datacenter",
+      "version": "latest"
+    },
+    "osDiskType": "Premium_LRS",
+    "customRdpProperty": {
+      "audioRedirectionMode": "dynamic",
+      "redirectClipboard": true,
+      "redirectDrives": true
+    }
+  }
+  EOF
+}
+`, data.RandomInteger, data.Locations.Secondary, data.RandomString)
+}
+
 func (VirtualDesktopHostPoolResource) complete(data acceptance.TestData) string {
 	return fmt.Sprintf(`
 provider "azurerm" {
diff --git a/website/docs/r/virtual_desktop_host_pool.html.markdown b/website/docs/r/virtual_desktop_host_pool.html.markdown
index f676589440e24..31f0cdd298ad2 100644
--- a/website/docs/r/virtual_desktop_host_pool.html.markdown
+++ b/website/docs/r/virtual_desktop_host_pool.html.markdown
@@ -79,6 +79,8 @@ The following arguments are supported:
 
 * `scheduled_agent_updates` - (Optional) A `scheduled_agent_updates` block as defined below. This enables control of when Agent Updates will be applied to Session Hosts.
 
+* `vm_template` - (Optional) A VM template for session hosts configuration within hostpool. This is a JSON string.
+
 * `tags` - (Optional) A mapping of tags to assign to the resource.
 
 ---