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Cost of Living in Bahrain vs Dubai: A Complete 2025 Guide

Dubai and Bahrain present very different living experiences for expats. In this guide, we will compare the cost of living in Bahrain vs Dubai against parameters like:

  • Monthly rentals 
  • Utility expenses 
  • Dining out 
  • Transportation 
  • Groceries 

The cost of living in Dubai is on an upward spiral with its soaring rentals. Enjoying the city’s upscale lifestyle and premier amenities comes at a price. You can soak in luxury dining and world-class shopping experiences here. 

Dubai’s vibrant nightlife also attracts many. Overall, Dubai caters to professionals seeking career advancements. Its cosmopolitan lifestyle is what attracts most expats.

On the contrary, Bahrain is a far more affordable option for families. Rents and groceries are cheaper. Utilities and everyday amenities are also less expensive. You can look forward to leading a more peaceful life in Bahrain. The country gives greater emphasis to community living. It offers all the necessary amenities with an excellent expat network.

Rental markets

People Holding Money

When comparing the cost of living in Bahrain vs Dubai, housing showcases the most notable difference. For most expats, rent takes away the largest share of their income. In 2025, the gap in both rental markets remains significant.

Dubai rental market

The real estate market in Dubai is extremely dynamic. It is competitive and subject to annual, if not monthly, price fluctuations. What you pay depends on:

  • Market regulations 
  • Location 
  • Demand 
  • Supply

Till mid-2025, property value in the city continued to climb upwards, especially in prime districts. The average rental rates across Dubai will give you a very clear picture: 

  • An average studio rental is about 40,439 AED per annum.  
  • A one-bedroom apartment’s yearly average is about 61,885 AED.  
  • Two-bedroom homes levy an average rent of approximately 85,461 AED yearly. 
  • Three-bedroom units can be rented for nearly 141,653 AED per annum. 

For a family, the rental is a significant portion of their income. Smaller units are affordable for young professionals. The larger apartments or villas are substantially more expensive.

Main areas in Dubai

Some areas in Dubai are very expensive. These include waterfront developments like:

  • Palm Jumeirah 
  • Dubai Marina 
  • Jumeirah Beach Residence 

Such areas attract higher rentals because of their:

  • Prestigious location 
  • Top-notch facilities 

In Palm Jumeirah, the average yearly rental prices are:

  • Studio apartment: 104,908 AED 
  • One-bedroom: 153,374 AED 
  • Two-bedroom: 233,420 AED

In Dubai Marina, the average rent per year works out to:

  • Studio apartment: 69,716 AED 
  • One-bedroom: 95,420 AED 
  • Two-bedroom: 141,739 AED

In Jumeirah Beach Residence, the yearly average rental prices are:

  • Studio apartment: 80,162 AED 
  • One-bedroom: 110,883 AED 
  • Two-bedroom: 149,075 AED

Business districts are also highly priced. Listed below are the apartment-type average yearly rental prices across key business districts:

Business Bay:

  • Studio apartment: 68,086 AED 
  • One-bedroom: 91,901 AED 
  • Two-bedroom: 129,856 AED

Downtown Dubai:

  • Studio apartment: 80,569 AED 
  • One-bedroom: 120,039 AED 
  • Two-bedroom: 190,716 AED 

Jumeirah Lake Towers:

  • Studio apartment: 57,726 AED 
  • One-bedroom: 81,965 AED 
  • Two-bedroom: 119,488 AED 

Other renowned communities also depict high rental averages per annum. These include:

Dubai Hills Estate:

  • Studio apartment: 56,819 AED 
  • One-bedroom: 91,899 AED 
  • Two-bedroom: 146,361 AED 

Jumeirah Village Circle (JVC):

  • Studio apartment: 47,562 AED 
  • One-bedroom: 67,568 AED 
  • Two-bedroom: 95,807 AED

Dubai Sports City:

  • Studio apartment: 39,692 AED 
  • One-bedroom: 53,717 AED 
  • Two-bedroom: 76,386 AED

Dubai Creek Harbour:

  • One-bedroom: 95,966 AED 
  • Two-bedroom: 147,812 AED

For expats coming to Dubai, your choice of location to reside will determine your monthly expenses.  

  • Waterfront apartments attract premium prices. 
  • JVC and Sports City present more reasonable alternatives for families seeking a balance between comfort and pricing. 

Bahrain rental market 

The Bahrain rental market tells a different story. Prices remain on a lower spectrum, even in some prime locations. Hence, it is especially favourable for expats considering a long-term stay.

Manama, Bahrain’s capital, is the most expensive city to reside in. However, rentals are comparatively cheaper here than in Dubai. 

A furnished apartment measuring about 85 m² in an expensive location will command an average rent of 4,701 AED per month. In Dubai, an equally sized unit in a premium location can be rented for around 15,025 AED per month.

Apartments in Manama of a similar size in a normal area will, on average, cost 3,110 AED to rent each month. In a comparable area in Dubai, the monthly rental would be around 9,534 AED. That is a striking difference of about 67%.

For smaller apartments, the same trend prevails.

  • A 45 m² furnished studio in a costly Manama location will average about 3,236 AED a month to rent. 
  • In Dubai, if it is a high-end locality, you can rent a similar space for around 8,412 AED per month. 
  • In regular Manama areas, a furnished studio apartment will cost 2,280 AED per month to rent.  
  • In Dubai, a similar 45 m² furnished studio apartment in a regular locality will cost approximately 5,513 AED to rent each month.

Hamad Town and other suburban areas in Bahrain have more affordable living options. Hence, Bahrain is a viable choice for families seeking a comfortable living space without breaking the bank.

Evident Rental Contrasts

The monthly rental differences are most evident when comparing the rents levied in Dubai against those in Bahrain.

In the most premium communities in Bahrain, the yearly rent is almost always lower than in the mid-range localities in Dubai. So, families in Bahrain find it easier to get a bigger home without stretching their budget.

For expats deciding between Dubai and Bahrain, rent is often the primary aspect. 

Dubai attracts people who prioritise:

  • Global opportunities 
  • Lifestyle amenities

Bahrain attracts people who value:

  • Financial stability 
  • Affordability 
  • Manageable monthly commitments 

Groceries

Woman in mask shopping for fruit in a supermarket

Groceries are more expensive in Dubai. On average, groceries are 13.1% higher in Dubai than in Manama, Bahrain.

Although the monthly difference may seem insignificant, the savings can add up to thousands of dirhams over time. Families will value these savings because costs on daily essentials are inevitable.

Transportation

In Manama (Bahrain), transportation costs are about 48% cheaper than in Dubai.

Dubai is known for its efficient transport, but it comes at a cost. In Dubai, a monthly pass costs 320 AED. However, in Bahrain, you pay 117 AED for a similar monthly pass. 

For local transportation, too, Dubai is expensive. A one-way ticket for local transport will cost you 6 AED in Dubai and roughly 3 AED in Bahrain. 

Taxis are cheaper in Dubai. A normal taxi tariff starts at 12 AED in Dubai. It is relatively expensive in Bahrain at 19.48 AED. Even the taxi cost per km is 2.5 AED in Dubai and 12.66 AED in Manama. 

Gas is marginally expensive in Dubai. It costs 2.74 AED per litre in Dubai and 2.03 AED per litre in Manama. 

For families who need to commute regularly, the cost difference between using public transport and refuelling your vehicle can result in significant savings in Bahrain.

Utilities

As an expat, you will end up spending more on monthly utility bills in Dubai than in Bahrain. 

If you live in an 85-m² apartment in Dubai, your monthly utility bill may amount to 764 AED. This includes your outgoings towards water, electricity, heating, cooling, and garbage clearance. While in Bahrain, your basic monthly utility outgoings work out to 462 AED.

A monthly mobile phone costs 229 AED in Dubai as against 96 AED in Manama, Bahrain. Similarly, a high-speed internet connection with unlimited data costs way more monthly in Dubai than in Bahrain. In Dubai, you are likely to pay 361 AED for such a connection, while Bahrain rates are more affordable at 148 AED.

Both Bahrain and Dubai experience hot weather, which adds to your basic utility expense. Living in Bahrain is more economical in this respect.

Eating out

Wooden chairs and tables in restaurant

Restaurants in Dubai are approximately 38.5% more expensive than those in Manama, Bahrain.

  • At an inexpensive restaurant in Dubai, you end up paying roughly 40 AED. In Manama, you will pay approximately 24 AED.  
  • At a mid-range restaurant, a three-course meal for two costs 285 AED in Dubai. A similar meal will cost 195 AED in Bahrain.  
  • A Dubai fast-food joint charges around 35 AED for a combo meal. However, the same meal will cost you 27.27 AED in Bahrain. 
  • For a regular cappuccino, you pay 20.76 AED in Dubai versus 19.32 AED in Bahrain. 
  • Pepsi or Coke in Dubai costs 4.37 AED for a 0.33 litre bottle and 2.95 AED in Bahrain. 

Both Dubai and Bahrain have some of the best restaurants. However, in Dubai, the cost of eating out is relatively higher.

Cost of living in Bahrain vs Dubai: Comparison

The table below provides a comprehensive cost-of-living category-wise comparison for 2025. It will give you a clearer picture of the savings from a lifestyle perspective when living in Bahrain.

CategoryDubai (AED)Manama, Bahrain (AED)Difference
Rent (85m² furnished apartment) in a normal area9,534 / month3,110 / month67%
Clothes (branded jeans)29917741%
Public transport (monthly pass)32011763% 
Basic utilities (85m² apartment)76446240%
Dining out (mid-range, two people)28519532%

Currency as of Sept 2025:

1 BHD = 9.74 AED

1 AED = 0.10 BHD

A broad outlook

The distinction becomes more evident when you put it all together.

  • Rentals, public transport, utilities, dining out, and clothing are costlier in Dubai. 
  • Since both Dubai and Bahrain levy a tax on your personal income, you save more when residing in Bahrain than in Dubai.

Pros and cons for expats

FactorDubaiBahrain
RentVery high, rising rapidlyModerate, more stable
GroceriesHighAffordable
UtilitiesHighAffordable
TransportEfficient, but costlier, although taxi rides are cheaperGood public transport, although taxi rides are more expensive
LifestyleModern, vibrant, cosmopolitanFamily-oriented, quiet, expat-friendly
Job MarketExtensive opportunities, especially for professionalsGrowing, but more limited than Dubai

Key takeaways 

Overall, Dubai delivers a fast-paced, cosmopolitan lifestyle with top-tier amenities and global opportunities, but this comes at a premium. Rising rents, higher utility bills, and dining costs can offset the city’s higher salaries. Bahrain, meanwhile, offers a quieter, more family-oriented life with affordable housing and manageable daily expenses. For expats seeking balance and long-term financial comfort, Bahrain remains the more cost-effective choice in 2025.

Conclusion

When considering the cost of living in Bahrain vs Dubai, Dubai is more expensive. Housing, transportation, basic utilities, clothing, groceries, and eating out cost comparatively more in Dubai. 

Salaries are higher, but so are your expenses. Bahrain, however, is the place for families and individuals who value affordability and stability.

Planning to move to Dubai? Explore the different investment and renting options on Property Finder. This portal helps you find the perfect home that best suits your lifestyle.

FAQs

Are rentals in Dubai expected to rise through 2025?

Yes, it is expected that rents will further appreciate, specifically in central and waterfront locations of Dubai. An increase in supply may moderate rental spikes later in the year. 

Is Dubai more affordable than Bahrain for families? 

No, residing in Bahrain works out cheaper than Dubai for families with lower rentals and daily expenses.

Are utilities and groceries cheap in Bahrain?

Yes, utility bills and daily groceries are comparatively cheaper in Bahrain than in Dubai.

Are salaries higher in Dubai?

Yes, salaries are higher in Dubai, especially for professionals. However, the high cost of living reduces your savings.

Can an expat live comfortably in Bahrain?

Yes, Bahrain offers a stable environment, affordable housing, and a quieter lifestyle for the expat community.

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