MCA27

Hi

I have read numerous comments on this site claiming that Dubai is an expensive place to live.

As someone who is looking to move to Dubai next year, I would like to know; what exactly is so expensive in Dubai? Is it expensive compared to Europe, or expensive for the middle east?

I assume petrol is dirt cheap, as are cars (no tax), private health insurance to be as expensive as in Europe. Food must also be cheap. No heating bills, but I have heard this is offeset by air conditioning bills.

Property (rental) will be a prime component of expenses. But is property any more expensive than in European cities?

Of course, being in the middle east, one assumes in advance that everything will be cheap, but given that average salaries in Dubai are similar to europe, combined with the high standard of living and no tax ....... what exactly is so expensive about Dubai?

serious views/clarification of common expenses I have missed very much appreciated.

thanks - Martin

goingdubai

hi martin,

i haven't lived in dubai, so i won't presume to give you a clear answer on your questions (even though i clearly have my opinion on this).
maybe you want to try this alternative since nobody has replied to you yet: just google 'international salary calculator'...there are some websites who basically use the same engine, so the results will be the same from those websites...it'll give you at least an idea.

from what others say, you are pretty accurate in your assumptions i'd say.
with all these types of discussions the main point is what's your income/cost of living ratio. basically you don't care if cost of living is high, as long as your income level is even higher. especially with an expat package in dubai the whole discussions should become pretty meaningless (unless it's not a fair package of course).

cheers

MCA27

thats a good idea thanks. was of course hoping some expats currently IN dubai could answer......but maybe they are too busy paying their bills

goingdubai

sorry i wasn't quite what you expected...but my relatives are expats currently living in dubai...that should count for something...
but the international salary calculator should be able to help somewhat. those things are of course not 100% accurate, but they are a good general indicator...and so far they were never way off based on my experiences
good luck

MCA27

don't get me wrong, your response was the best so far
i did try the calculator, but it said if i earned 100.000 in Frankfurt, germany, I would need to earn 114.000 in dubai. I found that somewhat confusing as I would have thought i would need to earn less in dubai as there is no tax

goingdubai

yes, i was going to tell you that but forgot somehow...for it to be somewhat accurate you should use after tax income to compare it...i don't think those calculators do take taxation into consideration...it should be called cost of living calculator rather than income calculator

how the international salary calculator works:
- source of data:
"The cost of living data for the selected cities were obtained from both local and international agencies, updated January of 2000. The data elements used in calculating the cost of living index are: housing cost (33%), utility cost (8%), consumables (16%), transportation (10%), and other services (33%). The consumables portion of our data is obtained through a sampling of the average American lifestyle."
- does not take into consideration:
"1. Taxes one might have to pay in a foreign country.
2. Inflation or deflation that may occur after our period of data collection. This can be an important factor in some countries and in the future, we will have a method for updating this information more frequently. Until then, we encourage you to use other sources in the local country and city as further confirmation."
- how it works:
"The International Salary Calculator compares cost of living expenses at the Metropolitan Statistical Area (MSA) level. If one is interested in relocation from New York City to Paris, then the International Salary Calculator will provide a snap shot comparison of cost of living at the MSA level for these two cities."
- accuracy:
"During the period in which data are gathered, the cost of living numbers are adjusted for the exchange rate that prevailed at that time. Therefore, if the exchange rate has moved a great deal since the data was updated, the cost of living comparison might be different."

Rinali

Hi Martin,

Cost of living is very relative - all depends on your standard of living.
Send me a break up of your current living expenses and I can tell you what it costs here in Dubai. Also what type of a house do you want to live in - IBHK, 6 bedroom villa ??? etc etc

Cheers
Rinali

Elles

Hi Martin
Are you moving out here on your own, or with family? Have you any idea of what area you want to be living in? What location would you job be? If you can give a little more info, I can give you a better idea.

Yes petrol is cheaper than water and you should really expect your compnay to include health ins in the job.

regards

MCA27

Hi elles

well I plan to move out sometime early next year, but do not have a job lined up etc as yet, but an indication of the cost of living would help in salary negotiations closer to the time.

I would move over with my wife (no kids yet) and would want a 2 bed appartment maybe in the marina area, or similar nice area. I would be happy for a 3 bed villa a little bit further out if the price was comparable (but not sharjah)

work wise, i would hope to get something within the media/internet city area...or where ever else there is a high concentration of service based companies.

I would also be interested in approximate energy costs (A/C / Electricity) for a 2 bed appartment. Also, food costs.....I assume they are cheaper than in europe?

Elles

Hi Martin,
Media City/Internet City is off the main freeway so communting for you will be quite easy. There are apartment blocks going up at a rate of knots at this end of town so there will be plenty of choice for you when you do arrive. The prices do vary.

In the area of media city you have the marina (apartments), the Lakes (villas and townhouses), Springs (townhouses), Meadows (villas) and Greens (apartments) and Jebal Ali Gardens (apartments), all are new complexes comprising of villas, townhouses and apartments. Have a look at www.emaar.com and www.thegardens.ae for more info.
When you rent, you enter into a contract for 1 year so choose wisely!
The local newspaper, Gulf News is your best place to start. It will give you prices of apartments in these areas, plus what you can get for your money a bit further a field. www.gulfnews.com/classifieds

I can't give you costings of water and elc for a 2 bed apartment as I live in a 4 bed villa and our water and elec combined in the summer is about 1400dhs per month reducing to 400-500dhs in the winter. That's with a postage stamp garden. Of course, an apartment would be a lot cheaper!

Food is pretty much the same as back home, but just be careful when choosing your regular brand in the shop as you will find that this may be twice the price as back home.
White goods and furniture I have found also to be cheaper here than back home.

MCA27

thanks, will look into those sites!
Martin

Captainbluebell

Compared to the UK and other parts of the middel east like KSA, dubai cost of living is very cheap, so are cars, but accomodation is relatively expensive, but if you are thining of buying thats a different matter.

Cherrypie

Have just noticed this thread and can't be bothered to read anyone else's comments but... in my opinion, Dubai can be bloody expensive if you move without an expat package and with a family...as we did!

Villa rents are extortionate (unless you're out in the sticks ie. Mirdiff), all schools are private and fee-paying, we went for BUPA medical insurance...bloody expensive, kids' activities are also relatively expensive I felt when compared to England...swimming lessons are easily double. Cinemas have no family or child tickets. All leisure and entertainment is expensive and I haven't even started on the cost of beach clubs yet. Yes, cars and petrol are cheap but IMHO, that's about all that is. I don't even find the food cheap...I shop at Spinneys, as is closest and I think prices are comparable to UK...certainly not cheaper.

Suppose earnings are tax-free though!

If you're single or come on a company package then financially-speaking, it's definitely easier. Also depends on how frugal you are and what your idea of a good time involves...

Elles

I'd have to agree with you Cherrypie - Dubai can be very expensive.

Even if you don't have kids now, make sure your compnay makes provision for their medical cover and also school fees when you do have kids. I tend to shop at 3-4 grocery stores as I find certain things cheaper in some stores and very expensive in others...oh I wish we had home delivery internet shopping out here, it would make life sooooo much easier!

MCA27

oh well, certainly isn't as cheap as I was hoping! I find the UK expensive now (as I am based in Frankfurt at present), so even if dubai is on a par with the UK....for me thats still expensive