Dubai Cost of Living Guide: What You Need to Know in 2025

If you’re thinking about moving to Dubai or just curious about how pricey life is here, you’ve come to the right place. Below is a straight‑forward look at the biggest expenses you’ll face, plus a few tips to keep your wallet happy.

Housing: Rent and What It Covers

Rent is the single biggest line item for most residents. In the city centre, a one‑bedroom apartment costs around AED 7,500–10,000 per month, while a similar place outside the main hubs drops to AED 4,500–6,500. Bigger families usually rent villas; a three‑bedroom villa in an upscale area can be AED 15,000–20,000, whereas in a more modest suburb it’s about AED 8,000–12,000.

Most leases are for a year and require a post‑dated check schedule. If you’re on a short‑term stay, serviced apartments can be cheaper per night, but the monthly total often ends up higher than a standard lease.

Everyday Expenses: Food, Transport, and Utilities

Groceries are fairly reasonable if you shop at local supermarkets like Carrefour or Lulu. A typical grocery basket for a single person runs about AED 800–1,200 per month. Eating out varies: a meal at a mid‑range restaurant costs AED 50–120, while street‑food stalls and food courts can keep you under AED 30 per plate.

Public transport is efficient and cheap. A Nol card for the metro, tram, and bus will cost about AED 350 per month for regular commuting. Taxis are more expensive—expect AED 12–15 for the first 5 km, then AED 2 per km after that. If you drive, factor in fuel (around AED 2.5 per litre) and parking fees, which can add up quickly in busy districts.

Utilities—electricity, water, and cooling—average AED 400–800 a month for a two‑bedroom apartment, depending on usage and the season. Summer months drive the numbers higher because of air‑conditioning.

Leisure, Health, and Miscellaneous Costs

Dubai offers a lot of entertainment, but you can control how much you spend. A cinema ticket is AED 35–45, while a gym membership ranges from AED 150 for a basic gym to AED 600 for a high‑end club. Health insurance is mandatory for residents; basic coverage starts around AED 400 per month, but many employers provide plans.

Shopping for luxury items—watch boutiques, designer clothing, gold—can quickly eat up your budget. If you want to enjoy the high‑end lifestyle without overspending, look for sales in malls during Ramadan and Dubai Shopping Festival.

Finally, there are no personal income taxes in the UAE, which is a big plus. However, you’ll still pay for services, import duties, and occasional visa renewal fees.

Bottom line: Dubai can be affordable if you choose the right neighbourhood, cook at home, and use public transport. Plan your budget around the numbers above, and you’ll avoid surprises while still enjoying the city’s many perks.

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