First on my list for research is the city of Dubai, located in the United Arab Emirates. I am sure this comes as a surprise, given the conservatism of Arab nations. However, anyone who knows me well also knows I have openly admitted that if I was 15 years younger, I would most certainly do a working stint in the Middle East. Although that ship has sailed, I can still look to see whether Dubai would be a possible option for retirement.

As I mentioned in my previous article, I will focus on six criteria which, after thorough investigation, should provide a reasonable indication of whether the proposed location will genuinely satisfy my retirement requirements.

Before I get into the details, one thing to note: the currency used in Dubai is the United Arab Emirates dirham (AED). The exchange rate is fixed at 3.67 AED to one US dollar, meaning the AED maintains a stable value relative to the dollar.

1, Cost of living and financial sustainability

Daily expenses (groceries, utilities):

a) Utilities: for an average one- or two-bedroom apartment (electricity, cooling, water, refuse) tend to range from AED 500 to 1,200 per month, depending on the size of the home and usage.

b) Grocery bills: for one person, typically falls between AED 800 and 1,500 per month. Fresh produce and local meats are relatively affordable, although imported foods are more expensive.

Common grocery prices are:

• Bread (AED 5.46),

• Milk (AED 8.40/litre),

• Rice (AED 10/kg)

• Chicken breasts (AED 55.55/kg)

• Apples (AED 8.50/kg)

• Eggs (AED 7.30/6)

Housing costs (renting or buying)

It is important to emphasise that in Dubai, location is everything. Rents and property prices can vary significantly depending on the area you wish to live in. However, based on my research, the averages noted below are relatively consistent.

• Average annual rent (2025):

One- to two-bedroom apartment/condo, AED 72,000

Two-bedroom townhouses, AED 172,000

Four-bedroom villas, AED 255,000

• Average purchase price (2025):

One- to two-bedroom apartment/condo, AED 1.28 million to 2.17 million

Two-bedroom townhouses, AED 2 million to 3 million

Three- and four-bedroom villas, AED 2.9 million to 3.6 million

Property taxes

Dubai has no annual property tax. However, there are two other key charges:

a) A housing fee is paid only by tenants; this is a 5 per cent fee on the annual rent, added to the utility (DEWA) bill.

b) Property owners pay an annual service charge for building upkeep and amenities, which is calculated per square foot. This is a standard requirement for virtually all apartments and villas in residential communities.

Tax environment for foreign residents

• Personal income tax: there is zero personal income tax on salaries, retirement income, investments, or capital gains.

• Value-added tax (VAT): a flat rate of 5 per cent is applied to most goods and services, excluding healthcare and residential real estate.

• Excise tax: applied automatically to specific goods deemed harmful to health or the environment (e.g., tobacco, sugary drinks, alcohol).

2, Healthcare quality, accessibility, and affordability

As a retiree, you are not eligible for the public healthcare system. Your access to healthcare is entirely dependent on your private health insurance.

• The UAE’s healthcare system is not publicly funded and operates on a mandatory private insurance model.

• A critical requirement for obtaining and renewing a retirement visa is holding a valid UAE-approved private health insurance plan.

• For retirees classified as 60-plus years, 2025 premiums listed from local private health insurance providers (depending on health, age, etc) averaged between AED 20,000 and AED 40,000+ per person annually, and these plans were highly inclusive.

• There is good accessibility to specialists, and you can book appointments directly without a GP's referral; furthermore, a large range of specialisations are available.

• Wait times for medical appointments are short, often available within days, or the same day for urgent needs.

• The standard of care is exceptionally high. Hospitals are modern, state-of-the-art, and equipped with the latest medical technology.

• Long-term care is minimal, with limited facilities, as cultural norms heavily favour family-provided care at home. This means home-based care, none of it is covered through insurance. Price wise, depending on the level of care, this can range from AED 8,000 to AED 25,000 per month in 2025.

3, Climate, environment, and general liveability

Climate

Dubai has a two-season desert climate:

a) Summers (May to October) are intensely hot and humid, with temperatures often exceeding 40C, making outdoor life limited.

b) Winters (November to April) are comfortable, with daytime temperatures of 20-30C, ideal for outdoor activities.

Cleanliness of air and water

The air quality is good for a major city; the main issues are seasonal dust storms and pollution from construction. On the other hand, the tap water is desalinated and safe. However, similar to Bermuda, most residents drink bottled or filtered water due to the taste.

Safety and crime levels

Dubai is consistently ranked one of the safest cities in the world. Petty or violent crime is extremely rare due to strict laws, a strong police presence, and cultural norms, making it safe to walk alone day or night.

Gender equality

For a foreign woman, Dubai feels safe, much like the Western world. However, for an Emirati woman, they still often operate within a framework of strong cultural and family values, with men taking the leadership role of the family.

Overall pace of life

The pace is dynamic and fast-paced. Dubai is known as a future-oriented city with an emphasis on efficiency and convenience, yet it also offers a vibrant social scene and leisure activities for all ages, including retirees.

4, Visa and legal residency requirements

Retirement visa

Currently, there is a five-year, renewable retirement visa available, offering long-term residency without needing a sponsor. However, there is a financial requirement that must be met.

Financial requirements (must meet one):

• Income: AED 20,000-plus monthly pension/income.

• Savings: AED 1 million-plus in cash savings.

• Property: own Dubai property worth AED 2 million-plus.

Property ownership

Foreigners can buy freehold (outright, permanent ownership) properties in more than 120 designated areas across Dubai, including the popular and exclusive communities.

Estate laws (very important)

• Without a will, asset distribution can be slow and complex. However, for foreigners, the courts now typically refer to the laws of the deceased's home country for the distribution of their assets in the UAE.

• On the other hand, if you have a will from your home country and it is up to date, under current estate law for it to be effective in the UAE, it may need to be formally attested and translated, which can cause delays.

• With all that said, based on my research, it is best to have two wills prepared: one for your assets outside of the UAE and one for assets within the UAE.

5, Infrastructure, amenities, and ease of integration

Transportation — public and private

• Dubai's public transport is excellent, with extensive metro, bus, and taxi networks. However, an Uber or Careem ride typically costs between AED 15 and 30 for most urban areas.

• For a private car, the cost is driven by the make and model. However, it also appears that Dubai has a very good second-hand market for vehicles. For comparative purposes, I found the following:

Brand new vehicles:

Economy — Toyota Yaris, Nissan Sunny, AED 55,000 to 75,000

Mid-range — Toyota Camry, Honda Accord, AED 90,000 to 140,000

Standard SUV — Toyota RAV4, Honda CR-VAED 100,000 to 160,000

Luxury Sedan — Mercedes-Benz C-Class, BMW 3 Series, AED 200,000 to 300,000

Luxury SUV — Lexus RX, BMW X5, AED 300,000 to 500,000

Second-hand vehicles:

Two to three years old — Economy sedan, AED 60,000 to 80,000

Five to seven years old — Economy sedan, AED 20,000 — 45,000

• Annual cost of car ownership:

Insurance, AED 2,500 to 4,000

Registration and inspection, AED 400 to 600

Salik (tolls), AED 1,200 to 3,000

Fuel, AED 8,000 to 12,000

Service and maintenance, AED 1,000 to 3,000

Parking (most apartments have a monthly parking fee), AED 1,000 to 3,000

•Based on my research, most people own a car if they have a family or are retired, while the younger working population typically use Uber or Careem for transportation, and rent a car when needed.

Amenities

As of 2025, there are 3.5 million people living in Dubai, and 80 per cent to 90 per cent are foreign residents. This means Dubai must have the amenities to support a foreign population, predominantly from Britain, Ireland, Australia, France, Germany, India, and Pakistan.

• Supermarkets

International supermarket chains and brands including Carrefour and Waitrose, along with local markets that specialise in herbs and spices.

• Cinemas and malls

Cinemas are located in every major mall. The malls are unlike anything we would see on our side of the world; beyond just stores and restaurants, they may also include a water park, indoor skiing slopes, or an aquarium — the mall has become a day-trip destination.

• Social Clubs

Social clubs are very popular in Dubai. Most are based either on residential communities, interest-based groups (eg, photography, painting, hiking, cycling), or specific nationality expatriate social clubs.

• Banking

a) Eligibility: easy once you have your retirement visa and Emirates ID

b) You can open either an international bank or a local bank, both are highly regulated, can hold multiple currencies (AED, USD, EUR) in one account.

c) Many accounts have a minimum balance (around AED 3,000 to 5,000).

Local culture open to expatriates

Based on my research, Dubai is an exceptionally open and easy place for expatriates to retire. With over 90% per cent of the population being foreign, it is a melting pot of multiculturalism.

However, it is important also to remember this is an Arab nation; therefore, it is necessary to be respectful of local customs and laws, including dressing modestly in public and being mindful during Ramadan. It is important to note, UAE as a whole, has a zero tolerance for residents or visitors disrespecting local customs and laws.

6, Proximity to family, friends, and travel links

Moving to another country often means starting with a very small social circle, which can be isolating for those who find it difficult to build new connections. While experienced expatriates may be accustomed to this transition, it can be a significant adjustment for those relocating abroad for the first time.

Let's face it, often our connections are made through work. However, it is different this time because you are retired; therefore, you have to retrain your brain and be aware that establishing a social network will take an active effort.

Although not specific to Dubai, it is worth mentioning that it is quite common for expatriates to find that while family and friends are excited to visit you the first time, the reality of long-distance travel often means you will end up visiting them in your home country more frequently.

Air travel

Dubai is known as a global aviation hub and has two airports: DXB (Dubai International Airport) for most long-haul flights and Al Maktoum International (DWC) for short-haul flights.

Average flight duration:

Middle East and the Gulf, 1 to 2 hours

Africa, 5 to 8 hours

Europe (including UK), 4 to 7.5 hours

Asia (South and North), 4 to 9 hours

Australia, 13 to 14 hours

North America 13 to 16 hours

South America, 16-plus hours (multiple connections)

7, Conclusion

Retiring in Dubai is ideal for those who are financially secure, value safety, want luxury amenities, don’t mind being in a big city, and are seeking a tax-advantaged, expatriate-centric lifestyle.

It is less suitable for those on a tight budget, who struggle with extreme heat, who desire a path to citizenship, or who have significant long-term healthcare needs that would be better supported in a country with a universal healthcare system.

Based on my research, to live comfortably in Dubai as a retiree in 2025, a couple should aim for an annual income of between AED 350,000 — 472,000, which would be approximately $96,000 to $128,500. This would be an “all in” amount and is based on renting rather than owning a property.

• If there is a specific topic you would like to know more about, send me an e-mail — justaskcarla@outlook.com and I will put it on my list.

References

Abdulla, N. (2025) UAE: How do residents choose to live in the country after retiring? Experts notice emerging trends. Khaleej Times. Available from: https://www.khaleejtimes.com/uae/retiring-in-uae-residents-healthcare-real-estate [Accessed 22 October 2025].

Dandun, G. (2025) Your Complete Guide to Retiring in Dubai as An Expatriate. Available from: https://www.pacificprime.com/blog/complete-guide-to-retiring-in-dubai-as-anexpat.html#:~:text=Cost%20of%20Living%20in%20Dubai%20for%20Expats&text=While%20luxury%20options%20abound%2C%20retirees, AED%2020%2C000%20 (USD%20%245%2C500). [Accessed 23 October 2025].

Dubai Statistics Centre (2024) Dubai Cost of Living Index Report Q2 2024. [online] Available at: https://www.dsc.gov.ae/en-us/Themes/Pages/Population-and-Vital-Statistics.aspx?Theme=42 [Accessed: 17 October 2025].

Dubai Health Authority (2023) Health Insurance Regulations for Expatriate Residents. [online] Available at: https://www.dha.gov.ae/en/services/individual [Accessed: 25 October 2025].

Ritche, S. (2025) Retirement planning advice for expatriates in the UAE is crucial. Available from: https://www.ftadviser.com/pensions/2024/06/06/retirement-planning-advice-for-expats-in-the-uae-is-crucial/ [Accessed 20 October 2025].

Trinidad, C. (2020) Foreign Retirees Have Now The Option To Stay In The UAE With Dubai's New Retirement Programme. Available from: https://www.forbesmiddleeast.com/industry/economy/foreign-retirees-have-now-the-option-to-stay-in-the-uae-with-a-new-retirement-visa [Accessed 25 October 2025].

Visit Dubai (2025) Retire in Dubai. Available from: https://www.visitdubai.com/en/retire-in-dubai [Accessed 25 October 2025].

• Carla Seely has 25 years of experience in the international financial services, wealth management, and insurance industries. During her career, she has obtained several investment licences through the Canadian Securities Institute. She holds the ACSI certification through the Chartered Institute for Securities and Investments (UK), the QAFP designation through FP Canada, and the AINS designation through The Institutes. She also holds an MSc majoring in Business and Management from the University of Essex