ZnO and Fe doped ZnO thin films have been prepared by using simple homemade spray pyrolysis unit. The optimum temperature for the growth of thin films was found to be 300 +/- 5 degrees C. The morphological, structural and optical properties were studied for these thin films. The X-ray diffractrograms exhibit hexagonal wurtzite crystal structure without any additional phase of the thin films. The root-like shapes (Ganglia) structure observed over the surface of the substrate by Scanning Electron Microscope (SEM). From UV-Vis diffuse reflectance spectroscopy (DRS) the band gap value of Fe doped films was found to be 3.92 eV. The peak shift in the Photo Luminance analysis confirms the presence of Fe content in the thin films and also there is a red shift. AFM images shows that RMS roughness value has decreases compared to pure ZnO films. The Photocatalytic activity of the prepared Fe doped thin films was evaluated using the Methyl Orange dye (MO) under UV light source. Nearly 89% dye degradation in 80 min was observed for Fe doped ZnO thin films.