Abu Dhabi, UAE

Cost of Living in the UAE

By Betsy Burlingame

Last updated on Mar 18, 2025

Summary:

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Is the cost of living in the UAE high?

We asked people how much they someone comfortably live on in the UAE, they wrote:

"The cost of living in the UAE varies depending on the city and lifestyle. Generally, the cost of living is higher than in many other countries, with rent and utilities being the most expensive items. Groceries, transportation, and entertainment are also relatively expensive. However, the UAE is known for its tax-free salaries, which can help offset the cost of living," said one expat in UAE.

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Will I save money living in the UAE?

"Living in the UAE can be more cost-effective than living in the United States in many ways. The cost of living in the UAE is generally lower than in the US, with rent and utilities being significantly cheaper. Additionally, food and transportation costs are also lower in the UAE. Furthermore, the UAE has no income tax, which can help to reduce overall expenses," explained one expat.

What is the average cost of housing in the UAE?

If you are thinking about moving to the UAE, cost of living in probably a key consideration. Expats commented about the cost of housing:

"The cost of housing in the UAE varies depending on the location and type of property. Generally, the average cost of renting an apartment in the UAE is quite high, with prices ranging from around AED 40,000 to AED 200,000 per year. Buying a property in the UAE can be even more expensive, with prices ranging from AED 500,000 to AED 10 million or more," explained one expat.

"Much Much higher. A four-bedroom house or apartment in a convenient area can cost $100,000 a year. Most expats negotiate a relocation package where their employer pays for their housing," said one person in Abu Dhabi.

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What are typical rental prices for expats in the UAE?

"The rental price for a nice 1 bedroom apartment in the UAE can vary depending on the location and amenities, but generally ranges from around $1,500 to $3,000 per month. For a nice 2 bedroom apartment, the rental price can range from around $2,500 to $5,000 per month," mentioned one expat in UAE.

What appliances are typically included in a rental?

We asked foreigners in the UAE what appliances are typically included in a rental, and, if there is anything else included or not included that a newcomer would not expect. Replies included:

"Rental properties in the UAE typically include a refrigerator, stove, oven, washing machine, and air conditioning unit. Some properties may also include a dishwasher, microwave, and other small appliances," commented one expat living in UAE.

About the Author

Betsy Burlingame Betsy Burlingame is the Founder and President of Expat Exchange and is one of the Founders of Digital Nomad Exchange. She launched Expat Exchange in 1997 as her Master's thesis project at NYU. Prior to Expat Exchange, Betsy worked at AT&T in International and Mass Market Marketing. She graduated from Ohio Wesleyan University with a BA in International Business and German.

Some of Betsy's articles include 12 Best Places to Live in Portugal, 7 Best Places to Live in Panama and 12 Things to Know Before Moving to the Dominican Republic. Betsy loves to travel and spend time with her family. Connect with Betsy on LinkedIn.

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