Cost of Living in Dubai for Expats: 2024-2025

Moving to a new country is an exciting adventure, but it’s essential to understand the cost of living. If you’re considering settling in Dubai in 2024 for professional opportunities or to start a business, here’s a detailed guide to the financial landscape you can expect in the UAE.

Why Choose Dubai?

Dubai continues to attract expatriates due to its dynamic economic growth. Although living expenses have increased since 2023, they remain lower than those in major cities like London, Singapore, or Hong Kong. The absence of income tax and a competitive corporate tax rate of 9%, compared to 20% in many Western countries, makes Dubai an attractive option for many professionals.

Key Expenses to Consider

Life in Dubai offers a wealth of opportunities but also requires careful financial management. As an expatriate, it’s crucial to understand the various categories of expenses that will influence your monthly budget. These costs vary significantly depending on your lifestyle choices, whether it’s housing, education, utilities, or leisure activities.

Housing in the UAE

Housing prices in Dubai vary significantly based on location and amenities. On average:

One-bedroom apartment in the city center: Between 7,000 and 10,000 AED per month.
Two-bedroom apartment: Between 9,000 and 15,000 AED, ideal for small families living in Dubai in 2024.
Three-bedroom villa: Between 15,000 and 30,000 AED, often with a garden or pool.

It’s also important to consider the rental process, which may involve payments in multiple cheques upfront, a common practice in Dubai. Most landlords request payment in one or several cheques, which may impact your monthly budget. Additionally, new tenants must register via the Ejari system, formalizing the rental agreement and registering the details with the government. This step is crucial to ensure the legality of your lease and may incur additional fees.

For those with a limited budget, cheaper options such as studios or apartments in less crowded areas like Al Qusais or Deira can significantly reduce housing costs, with rents as low as 2,500 AED.

Daily Bills

Monthly utility bills can vary depending on usage:

DEWA (Dubai Electricity and Water Authority): For a one-bedroom apartment, expect bills between 400 and 600 AED, especially during summer due to increased air conditioning use. It’s also important to include a 5% annual rent charge, spread over 12 months, to your DEWA bill.
Air conditioning: Some buildings charge separately for air conditioning, which could result in additional fees of around 500 to 600 AED per month for a one-bedroom apartment. This should be accounted for when planning your budget.
Internet & TV: Packages range between 300 and 500 AED monthly.
Mobile bills: Between 200 and 500 AED depending on usage.

Taking these utility expenses into account is crucial for effective budgeting as an expatriate in Dubai.

Food Expenses

Dubai’s food scene is vibrant, offering a wide range of options to suit all tastes and budgets. Whether you’re looking for a quick bite or a more refined dining experience, Dubai has something for every palate.

Dining Options

Fast food: Expect to spend between 20 and 40 AED for a quick meal. Many fast-food outlets and small stalls offer tasty and affordable dishes.
Mid-range restaurants: For a meal at a more traditional or trendy restaurant, prices typically range between 50 and 80 AED per person. These establishments often offer diverse menus reflecting the city’s culinary variety, from Middle Eastern to international cuisines.

Monthly Grocery Estimates

For those who prefer to cook at home, here’s an overview of monthly grocery prices in the UAE:

Staples: Between 200 and 400 AED, including bread, rice, and pasta.
Fruits and vegetables: Between 300 and 600 AED, depending on the season and types of produce you buy. Local markets often offer competitive prices for fresh products.
Dairy products: Costs range from 200 to 400 AED, including milk, cheese, and yogurt.
Meat: Prices can range from 400 to 800 AED, depending on the quality and type of meat (chicken, beef, lamb).

Food Budget

In total, for a balanced diet, it’s reasonable to allocate between 1,200 and 2,700 AED per month. This amount will depend on your eating habits and how often you dine out versus cooking at home.

Dubai offers a rich and varied culinary experience, with options for all budgets, allowing everyone to enjoy both local and international gastronomy.

Healthcare Costs

Dubai’s healthcare system is renowned for its high standards, offering both public and private options:

Public healthcare services: Available to residents at a nominal cost, but private healthcare is often preferred for quicker access, especially compared to healthcare costs in France.
Health insurance: All residents must be covered, with costs ranging from 700 to 1,500 AED per month.

Education: A Key Element of Life in the UAE

Dubai offers almost no public education options for expatriates, leaving international schools as the primary alternative. Here’s an overview of the educational landscape:

International Schools

International schools are the only viable option for expatriate families in Dubai. Tuition fees range from 30,000 to 100,000 AED per year, depending on the reputation and facilities of the school. These schools offer curriculums in English, such as the British, American, or International Baccalaureate systems, which facilitates children’s integration into an educational environment suited to their needs.

Public Schools

Public schools in Dubai are generally not accessible to expatriates. They are primarily reserved for UAE nationals, meaning expatriates must turn to private institutions for their children’s education. The lack of access to public schools reinforces the necessity for families to consider international options, which are often seen as a guarantee of quality education and an inclusive school environment.

Higher Education

For higher education, tuition fees range from 40,000 to 80,000 AED per year, depending on the institution and programs offered. This remains an option for those wishing to pursue their studies after high school.

In summary, for expatriates living in Dubai, international schools are essential, given the inaccessibility of public schools.

Transportation Options in Dubai in 2024

Getting around Dubai in 2024 is easy thanks to the variety of transportation options available:

Public Transport

Dubai’s bus network covers most of the city, with entry fares starting at 3 AED. This system is convenient and affordable, connecting various neighborhoods efficiently. Buses serve almost all areas of Dubai.

Dubai Metro

The metro is a fast and efficient way to travel, with fares varying depending on the distance traveled. It’s particularly appreciated for its punctuality and cleanliness, making it easy to reach major attractions. However, the metro network is still limited in certain areas of Dubai, leaving some neighborhoods underserved. The government, however, plans to expand the network with new lines, including the Blue Line, to improve connectivity and meet the growing needs of residents and visitors.

Taxis

Taxi services are also widely available, with a starting fare of 12 AED. Taxis are convenient for direct trips, especially if you wish to avoid public transport.

Car Ownership

For those who prefer more flexibility, owning a car can be convenient, although it’s often more practical to rent a vehicle for short-term stays. This allows you to explore Dubai at your own pace, especially in areas less accessible by public transport.

For more information on Dubai’s transport system, you can consult resources like Visit Dubai and Dubai Metro.

How to Settle in Dubai?

Among the options for establishing yourself in the UAE, setting up a free zone company, a mainland company, or obtaining a freelance permit in Dubai are attractive choices. Our firm is here to assist you with setting up your business and obtaining Dubai residence visas for you and your family members.

Dubai is a dynamic city where the cost of living can vary significantly depending on individual choices, especially when compared to France. Therefore, it’s advisable to plan carefully and conduct thorough research before making decisions.