What is the Cost of Living in Dubai
Cost of Living in Dubai for Expats in 2025
The cost of living in Dubai for expatriates in 2025 varies significantly based on lifestyle, family size, and location within the city. According to recent data, a single expat can expect monthly expenses of approximately AED 4,084.9 (USD 1,112.2) without rent, while a family of four may face costs around AED 14,239.9 (USD 3,877) excluding rent. Housing is the largest expense, with one-bedroom apartments in the city center costing AED 8,174.61 (USD 2,225.59) monthly, and up to AED 15,266.63 (USD 4,156.45) for a three-bedroom apartment.
Utilities for a one-bedroom apartment average AED 400-600 (USD 109-163), while groceries cost around AED 1,000-2,000 (USD 272-545) monthly for an individual. Transportation is relatively affordable, with public transport like the Dubai Metro costing AED 350 (USD 95) for a monthly pass. Education, particularly private international schools, can be a significant expense, with annual fees ranging from AED 12,723 to AED 64,903 (USD 3,464-17,671). Healthcare is mandatory, with private insurance plans costing AED 3,000-10,000 (USD 817-2,722) annually for individuals. Despite rising costs, Dubai remains more affordable than global hubs like London or New York, and its tax-free income enhances its appeal for expats.
| Expense Category | Single Person (Monthly) | Family of Four (Monthly) |
|---|---|---|
| Rent (1-bedroom, city center) | AED 8,174.61 (USD 2,225.59) | - |
| Rent (3-bedroom, city center) | - | AED 15,266.63 (USD 4,156.45) |
| Utilities (electricity, water, etc.) | AED 400-600 (USD 109-163) | AED 600-900 (USD 163-245) |
| Groceries | AED 1,000-2,000 (USD 272-545) | AED 3,000-4,500 (USD 817-1,225) |
| Transportation (public, monthly pass) | AED 350 (USD 95) | AED 700 (USD 190) |
| Private School (annual, per child) | - | AED 12,723-64,903 (USD 3,464-17,671) |
| Health Insurance (annual) | AED 3,000-10,000 (USD 817-2,722) | AED 15,000-40,000 (USD 4,084-10,890) |
| Total (without rent) | AED 4,084.9 (USD 1,112.2) | AED 14,239.9 (USD 3,877) |
Cost of Living Comparison: Dubai vs. Hong Kong, Singapore, Zurich, and New York (2025)
Dubai’s cost of living in 2025 is notably lower than that of global hubs like Hong Kong, Singapore, Zurich, and New York, making it an attractive destination for expats. While Dubai has seen a rise in costs, particularly in housing (up 18-22% year-on-year), it remains 13-41% cheaper than these cities, especially due to lower rent, transportation, and no income tax. Housing and groceries are key cost drivers, but Dubai’s tax-free environment and affordable utilities enhance its appeal compared to these high-cost cities.
- Hong Kong: 21% more expensive than Dubai; rent slightly lower (2.1%), but groceries are 60% pricier.
- Singapore: 20% more expensive than Hong Kong, thus costlier than Dubai; high car taxes and rent (AED 9,981.88 for a 1-bedroom vs. Dubai’s AED 8,174.61).
- Zurich: Among the costliest globally; 1-bedroom rent (AED 9,168.36) and transportation (taxi AED 15.72/km vs. Dubai’s AED 2.50/km) significantly higher.
- New York: 41.8% more expensive than Dubai (excluding rent); rent for a 1-bedroom is AED 14,978.45 vs. Dubai’s AED 8,174.61.
| City | Cost of Living (Monthly) | Rent (1-Bedroom) | Gasoline (1 Liter) |
|---|---|---|---|
| Dubai | AED 4,066.30 (USD 1,107.1) | AED 8,174.61 (USD 2,225.59) | AED 3.07 (USD 0.84) |
| Hong Kong | AED 4,105.63 (USD 1,117.80) | AED 8,099.37 (USD 2,205.14) | AED 11.10 (USD 3.02) |
| Singapore | AED 4,023.80 (USD 1,095.50) | AED 9,981.88 (USD 2,717.64) | AED 7.68 (USD 2.14) |
| Zurich | AED 6,158.90 (USD 1,676.80) | AED 9,168.36 (USD 2,496.15) | AED 7.76 (USD 2.11) |
| New York | AED 6,142.90 (USD 1,672.50) | AED 14,978.45 (USD 4,077.99) | AED 3.69 (USD 1.00) |
