Expats moving to Iran will find the country's cost of living is fairly low. The biggest expense for most people will be housing. International school fees, which are high, will be another major cost for expat parents. Transportation is generally cheap, as are many other everyday expenses.


Cost of accommodation

The cost of accommodation is low when compared to countries such as the US, but is considered average in comparison to other countries in the Middle East. That said, housing prices in Iran are rising.

Wherever possible, expats should negotiate with their employer for an accommodation allowance. If that isn't possible, they should inquire whether the company has any relationships with landlords or agents that can assist in finding affordable housing. Additional costs when renting property in Iran typically include electricity and internet.


Cost of eating out and entertainment in Iran

Much of an expat's lifestyle expenses in Iran will depend on individual choices. Eating out can be relatively affordable, although prices between restaurants can vary sharply. Regularly eating out at finer restaurants will put a dent in expats' budgets.


Cost of groceries in Iran

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


Cost of transportation in Iran

The cost of travelling in Iran is generally inexpensive as public transport is affordable. Some expats opt to use taxis or hire a private driver to take them around. Buying, or even hiring, a car in Iran is expensive, but maintenance and fuel are both cheap.


Cost of healthcare in Iran

Generally, the standard of public healthcare in Iran is good and doctors are well trained. That said, most expats prefer going to private hospitals, which offer a higher standard of facilities and more expeditious treatment. It is important that expats ensure they have a fully comprehensive international health insurance policy. In most cases, this will be arranged by employers.


Cost of education in Iran

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

Fees vary between schools and increase with each grade. Expats should contact the school directly to make enquiries, as fees fluctuate regularly.

Parents should note that fees usually don't include the cost of uniforms, textbooks and school excursions, and these will therefore also need to be accounted for. Luckily for most expats, companies relocating expats to Iran usually offer allowances 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 October 2022.

Accommodation

One-bedroom apartment in the city centre

IRR 25,000,000

One-bedroom apartment outside of the city centre

IRR 19,000,000

Three-bedroom apartment in the city centre

IRR 63,000,000

Three-bedroom apartment outside of the city centre

IRR 43,000,000

Shopping

Eggs (dozen)

IRR 364,000

Milk (1 litre)

IRR 256,000

Rice (1kg)

IRR 163,000

Loaf of white bread

IRR 22,000

Chicken breasts (1kg)

IRR 1,185,000

Pack of cigarettes (Marlboro)

IRR 624,000

Eating out

Big Mac Meal

IRR 1,448,000

Coca-Cola (330ml)

IRR 42,100

Cappuccino

IRR 61,000

Bottle of non-alcoholic local beer

IRR 34,000

Three-course meal at a mid-range restaurant (for two)

IRR 1,194,000

Utilities

Mobile to mobile call rate (per minute)

IRR 11,560

Internet (uncapped ADSL or cable – average per month)

IRR 1,289,000

Basic utilities per month for a small apartment

IRR 5,542,000

Transportation

Taxi rate (per kilometre)

IRR 105,000

Monthly bus/train pass

IRR 3,449,640

Petrol/gasoline (per litre)

IRR 30,700