Betterhomes
Vote for the Best Home in Dubai
Close

What Is The Cost Of Living In The UAE?

  • Better Living
  • 06 Nov, 2023
What Is The Cost Of Living In The UAE?

Boasting a thriving economy, world-class infrastructure, and a rich culture, the UAE has emerged as one of the world's most popular destinations for expats seeking new opportunities and a fantastic standard of living. But, if you're considering a move to the UAE, first understanding the cost of living is a crucial part of the planning process. In this blog post, we breakdown the typical cost of living in the UAE. We also consider the factors that influence living expenses, such as how choices in accommodation, dining, transportation, and recreation can impact your budget. 

The UAE is made up of 7 distinct emirates. From the iconic skyline of Dubai to the cultural centre of Abu Dhabi, and the picturesque landscapes of Fujairah, each emirate offers not only a distinct lifestyle but different costs. In this blog post, we consider the typical cost of living in each of the emirates. 

 

Cost of Living in Dubai

Dubai is often the first city that comes to mind when discussing the UAE. The cost of living in Dubai can be expensive because of the luxuries it provides and the proximity to business and educational centres, but with proper budgeting, it can be an amazing place to live. Accommodation costs in prime locations such as Downtown Dubai and Dubai Marina can be high, but Dubai also offers a number of affordable communities like Sports City. If you want to save money on housing costs, many options are available, such as renting a room in someone's home or sharing a property with others.

Eating out at high-end restaurants can also be expensive, but a wide array of dining options are there to fit your budget. For transportation, many residents opt to drive a car, but public transportation is relatively affordable option, with the Dubai Metro as a convenient and cost-effective option for commuters. 

Below is the average cost of living in Dubai:

Expense TypeCosts In AED (per month)
Accommodation (Rent)3,500 - 15,000
Utilities and Bills600 - 1,500
Groceries and Dining Out500 - 1,700
Transportation400 - 1,200
Education (Per Child)2,500 - 11,000
Total7,500 - 30,400

 

Cost of Living in Abu Dhabi

If you plan to live in Abu Dhabi, you should expect to have a higher cost of living than in many other emirates. However, it is still a very popular destination due to its variety of opportunities for work and business. The cost of living in Abu Dhabi highly depends on individual lifestyle choices. The costs of rent, transportation, food and utilities can all add up quickly if not managed properly. The cost of living in Abu Dhabi includes the following:

 

Expense TypeCosts In AED (per month)
Accommodation (Rent)2,600 - 12,000
Utilities and Bills500 - 1,300
Groceries and Dining Out450 - 1,500
Transportation300 - 900
Education (Per Child)1,600 - 10,000
Total5,550 - 25,700

 

Cost of Living in Sharjah

The cost of living in Sharjah is significantly lower than in other populated cities in the UAE. It is an ideal location for budget-conscious individuals as rent costs are relatively low compared to other populated emirates like Dubai and Abu Dhabi. Plus, its proximity to Dubai makes it a popular option for those looking to commute daily whilst maintaining a lower cost of living. Check out the breakdown for the cost of living in Sharjah:

 

Expense TypeCosts In AED (per month)
Accommodation (Rent)1,500 - 7,000
Utilities and Bills300 - 800
Groceries and Dining Out250 - 600
Transportation250 - 750
Education (Per Child)1,100 - 5,000
Total3,400 - 14,150

 

Cost of Living in Ajman 

Ajman is a great place to enjoy a more relaxed lifestyle. It is an affordable place to live, and residents have plenty of entertainment options at minimal expense. Nature lovers can explore beautiful public parks like Al Zorah Nature Reserve or Wadi Adventure Park without spending money. Dining out is also cheap, with many restaurants offering meals under 25 dirhams. On average, the cost of living in Ajman is:

 

Expense TypeCosts In AED (per month)
Accommodation (Rent)1,200 - 5,000
Utilities and Bills300 - 800
Groceries and Dining Out250 - 500
Transportation250 - 550
Education (Per Child)800 - 3,000
Total2,800 - 9,850

 

Cost of Living in Ras al-Khaimah

Living in Ras al-Khaimah offers a great balance between affordability and luxury. Costs for houses, utility bills and groceries are relatively lower than in other cities like Dubai and Abu Dhabi. The city of Ras al-Khaimah also offers plenty of entertainment options. The National Museum of Ras al-Khaimah offers free admission to all visitors to explore the area's history and culture. There are many parks to explore, such as Khuzam Park, which has a children's play area and bike trails, and Al Muairidh Park, which has 3km of walking tracks against stunning mountain views. Here is the breakdown of the average cost of living in Ras Al Khaimah:

 

Expense TypeCosts In AED (per month)
Accommodation (Rent)2,000 - 8,000
Utilities and Bills450 - 1,200
Groceries and Dining Out350 - 750
Transportation250 - 800
Education (Per Child)1,300 - 5,500
Total4,350 - 16,250

 

Cost of Living in Fujairah

Fujairah is another attractive option for people looking for a more affordable place to live in the UAE. The cost of housing, groceries and utilities are quite affordable, so it is easy to stick to a budget while living in Fujairah. At Fujairah, you can explore wallet-friendly entertainment options like Fujairah Fort, Dibba Beach, Sheikh Zayed Mosque and Wadi Wurayah National Park. The price ranges for the main expenses in Fujairah are:


 

Expense TypeCosts In AED (per month)
Accommodation (Rent)1,500 - 6,500
Utilities and Bills300 - 900
Groceries and Dining Out250 - 700
Transportation250 - 800
Education (Per Child)1,100 - 5,000
Total3,400 - 13,900

 

Cost of Living in Umm al-Quwain

Umm al-Quwain is fast becoming one of the most popular destinations among residents in the UAE. Affordable housing, low-cost transportation, and reasonable food and entertainment prices draw many expats each year. If you're looking for a place that provides an excellent quality of life without draining your wallet, then Umm al Quwain might be just what you are looking for.
 

Expense TypeCosts In AED (per month)
Accommodation (Rent)900 - 4,000
Utilities and Bills300 - 800
Groceries and Dining Out220 - 650
Transportation250 - 700
Education (Per Child)850 - 4,000
Total2,520 - 10,150

 

Benefits of Living in the UAE

There are many benefits to living in the UAE, including: 

  • Earnings are tax-free. Expats can maintain a higher disposable income than other countries with high taxation rates. 
  • UAE has one of the lowest crime rates in the world, and expats can feel secure in their home and workplace. Strict laws are in place to prevent any criminal or terrorist activity from occurring.
  • The government of the UAE provides citizens with free health insurance, which covers many treatments and medicines. If you are not eligible for this coverage, you can purchase private health insurance plans at an affordable cost.
  • English is spoken throughout the country, so expats can feel comfortable in their new surroundings from day one.
  • Its stable economy, business-friendly environment, and strategic location provide many employment opportunities and unparalleled access to international markets.

 

The Cost Of Living In The UAE

It is important to note that the cost of living in the UAE can vary depending on your lifestyle and spending habits. Understanding what each emirate offers regarding amenities and costs is key when budgeting for life in the UAE. Knowing how much money you need for accommodation, transportation, grocery and dining out expenses will help you plan accordingly to enjoy an amazing quality of life in this unique part of the world.

Need help selling, buying or renting? Contact us