For many, Dubai represents a land of endless opportunities and a luxurious way of life. Beyond its iconic skyline and world-class amenities, the city offers a wealth of prospects for individuals looking to build their careers and turn their dreams into reality.
But have you ever wondered about the cost of living in Dubai? What expenses should you consider as a single person, a couple, or a family? How should you plan your budget, and what salary should you aim for to comfortably live in Dubai?
This blog explores the various living costs in Dubai that you’ll need to account for if you choose to make the UAE your new home.
Cost of Living in Dubai
One of the first things to consider when planning to move to Dubai is the type of accommodation you’ll be living in. Whether you choose a studio, an apartment, or a villa, your cost of living as an expat in Dubai will encompass several other expenses. Here’s a quick overview to keep in mind:
- Housing
- Groceries
- Utilities
- Transportation and Fuel
- Healthcare
- Schooling
- Entertainment
Your primary monthly expenses will generally consist of housing, groceries, and utilities, while transportation, schooling, entertainment, and healthcare will be considered secondary costs. It’s crucial to remember that your overall cost of living in Dubai will be significantly influenced by the lifestyle you desire and your personal preferences.
1. Housing Cost:
Housing expenses in Dubai will be your largest financial commitment, outpacing other living costs.
Your choice of accommodation will have a significant impact on how much you pay, as rental prices can differ by as much as 400% depending on the area, apartment size, and available amenities. The upside is that Dubai offers a wide range of real estate options. From budget-friendly studios to spacious apartments, lavish villas, penthouses, and even grand mansions, you’ll find countless choices across various communities throughout the city.
In addition to rent, you’ll also need to account for utility costs.
Housing and Accommodation Average Rent Prices in Dubai:
Apartment
| Location
| Average Monthly Cost (AED)
| Average Monthly Cost (GBP) | Average Monthly Cost (USD)
|
|---|---|---|---|---|
1 Bedroom | Central location | AED 7,927.00 | £1,723.26 | $2,159.95 |
1 Bedroom | Outside of the center | AED 4,858.00 | £1,056.09 | $1,323.71 |
3 Bedroom | Central location | AED 14,937.00 | £3,247.17 | $4,070.03 |
3 Bedroom | Outside of the center | AED 10,435.00 | £2,268.48 | $2,843.32 |
Average costs for electricity, water, and internet:
Items | Average Monthly Cost (AED) | Average Monthly Cost (GBP) | Average Monthly Cost (USD) |
|---|---|---|---|
Basic Utilities for 900 sq. ft apartment (Electricity, Water, Cooling & Garbage) | AED 750.00 | £163.04 | $204.36 |
Mobile Phone Monthly Plan | AED 204.00 | £44.35 | $55.59 |
Home Internet | AED 365.00 | £79.35 | $99.46 |
2. Transportation Expenses
Once you settle in Dubai, you’ll need to factor in transportation costs. The good news is that commuting without a car is entirely feasible, thanks to the city’s extensive metro network, which covers over 74.6 km. In addition, you have various public transport options at your disposal, including local buses, the metro, and more.
Transportation Costs:
Item | Average Cost (AED) | Average Cost (GBP) | Average Cost (USD) |
|---|---|---|---|
Petrol (1 Litre) | AED 2.82 | £0.61 | $0.77 |
One Way Metro Ticket | AED 4- AED 8 | £0.87 - £1.74 | $1.09 - $2.18 |
Nol Card (Monthly Pass- All Zones) | AED 350 / Month | £76.09 | $95.37 |
Minimum Taxi Fare | AED 12 | £2.61 | $3.27 |
Taxi (Per KM) | AED 3 | £0.65 | $0.82 |
3. Food & Dining
If you often rely on food delivery or dining out, you’ll need to account for the costs of restaurant visits and meal deliveries. Here’s an overview of meal prices based on the type of restaurants you prefer.
Meal | Average Cost (AED) | Average Cost (GBP) | Average Cost (USD) |
|---|---|---|---|
Meal for One (Affordable Restaurant) | AED 40 | £8.70 | $10.90 |
Meal for Two (Mid-range Restaurant, Three Courses) | AED 200 | £43.48 | $54.50 |
Meal for Two (Fine-Dining Restaurant, Three Course) | AED 500 - AED 1,000 | £108.70 - £217.39 | $136.24 - $272.48 |
Food and Grocery Costs
For those who prefer cooking at home, stocking up on groceries will be a key part of your budget. Thanks to Dubai’s diverse population, you can find nearly every food item imaginable. The cost of groceries in Dubai will also fluctuate depending on your lifestyle and personal preferences.
Items | Average Cost (AED) | Average Cost (GBP) | Average Cost (USD) |
|---|---|---|---|
| Fresh White Bread (500g) | AED 5.76 | £1.25 | $1.57 |
Regular Milk 1ltr | AED 7.14 | £1.55 | $1.95 |
| 1kg White Rice | AED 9.82 | £2.13 | $2.68 |
| 12 Regular Eggs | AED 12.00 | £2.61 | $3.27 |
| 1kg Local Cheese | AED 33.93 | £7.38 | $9.25 |
| 1kg Chicken Fillet | AED 31.42 | £6.83 | $8.56 |
| 1kg Beef Round | AED 36.45 | £7.92 | $9.93 |
| 1kg Apples | AED 8.69 | £1.89 | $2.37 |
| 1kg Bananas | AED 6.85 | £1.49 | $1.87 |
| 1kg Oranges | AED 6.76 | £1.47 | $1.84 |
| 1kg Tomato | AED 6.16 | £1.34 | $1.68 |
| 1kg Potato | AED 4.19 | £0.91 | $1.14 |
| 1kg Onion | AED 5.37 | £1.17 | $1.46 |
| 1 Head Lettuce | AED 6.13 | £1.33 | $1.67 |
| 1.5ltr Water Bottle | AED 2.23 | £0.48 | $0.61 |
4. Healthcare Expenses
All residents in the UAE are required to have health or medical insurance, so it’s important to include healthcare costs in your budget. If you’re sponsored by a company, your health insurance will typically be provided, and in some cases, it may also cover your family.
If your employer doesn’t offer health insurance for you and your family, you’ll need to arrange it independently through one of the providers operating in Dubai. The cost of your insurance will depend on the level of coverage you choose.
Plan | Average Cost Per Year (AED) | Average Cost Per Year (GBP) | Average Cost Per Year (USD) |
|---|---|---|---|
Essential benefits plan for an individual | AED 600 | £130.43 | $163.49 |
| Comprehensive medical coverage for an individual | AED 5,500.00 | £1,195.65 | $1,498.64 |
| Comprehensive medical coverage for a family of four | AED 15,000.00 | £3,260.87 | $4,087.19 |
| Comprehensive medical coverage for a family of four with worldwide coverage and other premium benefits | AED 70,000.00 | £15,217.39 | $19,073.57 |
Public vs. Private Healthcare
Only UAE citizens have access to the public healthcare sector, which is government-managed. Hospitals within this system are categorized into different levels of care, based on their location and the population they serve.
Private healthcare, on the other hand, is a rapidly growing sector with a wide range of hospitals providing care for various health conditions. This growth is largely driven by the fact that private hospitals cater to all residents, in line with the mandatory health insurance requirements set by the Emirates. With a significant number of expats living in the UAE, the demand for healthcare services has risen substantially.
5. Education Costs
When relocating to Dubai with your family, another important expense to consider is your children’s education. Dubai is home to some of the world’s top schools, and, as with other costs, the tuition fees will vary depending on the school they attend. The city offers a variety of curricula, with British, American, Indian, and IB being among the most popular. Below is a table outlining tuition fees at major schools.
School | Curriculum | Fee Range | Tuition fees per month in AED | Tuition fees per month in GBP | Tuition fees per month in USD |
|---|---|---|---|---|---|
| GEMS Wellington International School | British | Expensive | AED 6,007.00 | £1,305.87 | $1,636.78 |
The Winchester School | British | Affordable | AED 1,174.00 | £255.22 | $319.89 |
| GEMS Modern Academy | Indian | Expensive | AED 4,031.00 | £876.30 | $1,098.37 |
| The Millennium School | Indian | Affordable | AED 1,863.00 | £4,05.00 | $507.63 |
GEMS Dubai American Academy | American | Expensive | AED 7,320.00 | £1,591.30 | $1,994.55 |
Mirdif American School | American | Affordable | AED 2,642.00 | £574.35 | $719.89 |
GEMS World Academy | International Baccalaureate | Expensive | AED 7,973.00 | £1,733.26 | $2,172.48 |
Dubai International Academy, Emirates Hills | International Baccalaureate | Mid-Range | AED 5,5085.00 | £1,105.43 | $1,385.56 |
6. Lifestyle and Entertainment Costs
Dubai excels in many areas, with lifestyle and entertainment being among the top. The city offers an endless array of attractions and activities, from fine-dining restaurants and IMAX cinemas to fitness centers, extreme sports, and iconic tourist spots. Here are some figures to consider when budgeting for your exciting weekends in Dubai.
Entertainment | Cost in AED | Cost in GBP | Cost in USD |
|---|---|---|---|
Movie Ticket for One | AED 45.00 | £9.78 | $12.26 |
Gym Membership for One Month | AED 270 - AED 400 | £58.70 - £86.96 | $73.57 - $108.99 |
7. Miscellaneous Expenses
We’ve outlined the key expenses you’ll need to consider when moving to Dubai, but this list is far from exhaustive. Additional costs may arise depending on the lifestyle you choose. For example, you may opt for a cleaning service, a live-in maid, or indulge in beauty treatments at a salon. You might also decide to hire a personal trainer to help you reach your fitness goals.
Your overall cost of living in Dubai will therefore vary depending on how much you want to treat yourself and the extra luxuries you wish to enjoy.
Conclusion
Dubai may not be the most affordable city to live in, but it offers tremendous opportunities and potential for growth. By understanding the costs you’re likely to incur, you can make a smoother transition and make more informed decisions about your new life in Dubai.
Frequently Asked Questions:
1. What is the tuition cost for private schools in Dubai?
The tuition fees for your children in Dubai will vary depending on the private school you select. Annual tuition can range from AED 1,750 to AED 7,750 (£380.43 – £1,684.78 | $476.84 – $2,111.72). Regardless of the school you choose, you can be confident that Dubai’s educational institutions are top-tier and will provide your children with an excellent education.
2. What entertainment options are available in Dubai, and what do they cost?
Dubai offers a wealth of entertainment options, including museums, cinemas, parks, arcades, restaurants, shows, and more. For a better understanding of the fees and costs, it’s a good idea to visit the websites of these venues.
3. Is it more affordable to buy or rent property in Dubai?
The choice to rent or buy property in Dubai depends on various factors tied to your lifestyle and goals. If you’re staying for a short period, renting may be the more practical option. However, Dubai’s real estate market offers excellent value, making purchasing property a potentially profitable decision, whether it’s saving on rent or generating returns on your investment.
4. What is the cost of utilities in Dubai?
The average cost of basic utilities, including electricity, water, cooling, and garbage, for a 900 sq. ft apartment ranges between AED 650 and AED 750 (£140.30 – £163.04 | $177.11 – $204.36). A mobile phone plan typically costs around AED 204.1 per month (£44.37 | $55.61), while internet with a speed of 60 Mbps or higher is approximately AED 365.53 (£79.03 | $99.05).
5. What are the costs associated with owning a car in Dubai?
Once you purchase a car, your ownership costs will include the following: RTA car registration (annual payment) of AED 500 (£108.70 | $136.24), Salik registration (initial payment) of AED 100 (£21.74 | $27.25), insurance (monthly) of AED 165 (£35.87 | $44.96), fuel consumption (around 4 full tanks per month) of AED 400 (£86.96 | $108.99), and a Salik top-up (monthly) of AED 100 (£21.74 | $27.25).
6. Are there affordable dining options in Dubai?
Yes, there are plenty of delicious and budget-friendly dining options in Dubai. The city boasts a vibrant food scene with numerous international fast food chains. If you’re also a fan of ethnic or street food, you can easily find satisfying meals at affordable prices, often just around the corner from your home.
