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Cost of Living in Iran

Expats moving to Iran will find the cost of living fairly low. According to the Mercer Cost of Living Survey 2015, the Iranian capital was ranked 203 out of 230 countries.


The biggest expense for most people will be housing. Another major cost that expats with children will need to consider is the cost of international school fees, which are very high. Transportation is generally fairly cheap, as are many other everyday expenses. 


Cost of accommodation

While housing prices have risen significantly in Iran over the past few years, they still remain cheaper than expats would find elsewhere in the Middle East. The cost of a one-bedroom apartment in a decent expat area of Tehran would cost approximately 35-60 million IRR per month and a three-bedroom place would set an expat back between 70-130 million IRR per month. The standard of accommodation in Iran is generally very good.


Wherever possible expats should liaise with their employer to negotiate an accommodation allowance or to see whether the company has any relationships with landlords or agents which can assist expats in finding cheaper housing.


Additional costs to bear in mind when renting property in Iran include electricity, a telephone line and internet. The average cost of  basic utilities will be approximately 1.5 million IRR for a small family.


Cost of eating out and entertainment

Much of an expat’s lifestyle expenses will depend on individual choices. An average fast food meal will cost around 200,000 IRR and a three-course dinner in a restaurant will set one back approximately 1.5 million IRR for two people. A cinema ticket costs about 120,000 IRR.


Generally, the cost of everyday groceries are fairly cheap, so expats who opt to cook at home will save a fair amount of money.


Cost of transportation in Iran

The cost of travelling around in Iran is generally inexpensive. Public transport is very affordable, but most expats opt to use taxis or hire a private driver to take them around. An 8 km (5 mile) taxi trip costs around 150,000 IRR in Tehran.


The cost of buying, or even hiring, a car in Iran is fairly expensive in Iran. However, maintaining a vehicle is fairly cheap as is the price of fuel which is approximately 10,000 IRR per litre.


Cost of healthcare in Iran

The standard of healthcare in Iran varies. Generally the medical services in all major towns will be good and doctors will be well-trained. However, most expats tend to choose to have private hospitals which offer a higher standard of facilities and faster treatment. It is very important that expats ensure that they have a fully comprehensive international health insurance policy – in most cases this will be arranged by the employers.


Cost of education

Expats relocating to Iran with children will need to factor the cost of schooling into their budget. Most expats send their children to one of the international schools in Iran. Facilities and standards of teaching at these schools tend to be excellent with plenty of opportunities for extracurricular activities.


Fees vary according to the age of the child and the school itself. Because fees fluctuate regularly expats should contact the school directly to make enquiries.


Parents should note that fees usually don’t include the cost of uniforms, Text-books and school excursions, so these will also need to be accounted for. Luckily for most expats, companies relocating expats to Iran usually offer some sort of allowance for children’s school fees.


Cost of Living in Iran chart 

Prices may vary depending on product and service provider. The list below shows average prices for Tehran in December 2015.


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