Non-Hermitian systems have observed numerous novel phenomena and might lead to various applications. Unlike standard quantum physics, the conservation of energy guaranteed by the closed system is broken in the non-Hermitian system, and the energy can be exchanged between the system and the environment. Here we present a scheme for simulating the dissipative phase transition with an open quantum optical system. The competition between the coherent interaction and dissipation leads to the second-order phase transition. Furthermore, the quantum correlation in terms of squeezing is studied around the critical point. Our work may provide a new route to explore the non-Hermitian quantum physics with feasible techniques in experiments.