Dubai is now ranked as being a more affordable city in the world for expatriates, given, the decline in property rents and thereby a major decline in cost of living in the emirate, as per the latest global research report.
According to a EuroCost International Study, Dubai has fallen down in its rankings to 31 from 12 last year, owing to sharp decline in rental rates.
Currently, Beirut is the most expensive city in the Middle East, just followed by Abu Dhabi, which has also seen a drop in rentals last year. However, the price decrease was remarkable in Dubai, with decreases of up to 50 percent, based on the type of housing, the EuroCost study report said.
The report said that the housing crisis has affected several locations across the globe in many ways. Majority of the countries have recorded a drop in rentals last year, a factor that was less eminent until the last few years.
Certain markets, however, have been better resistant to the crisis, and in few countries, expatriate rentals have remained stable or have even increased. The other reason with the fluctuation in exchange rates last year, the rent price evolution would have been different in euros and in local currency.
This may be the reason for cities such as Dubai, Shanghai and Beijing to fall out of the top 20. Dubai, in particular, has seen considerable decrease in expatriate rents last year, the report pointed out.
Meanwhile, cities such as Sydney, Beirut and Rio have grown in their ranking and are now among the 20 most expensive places in the world.
EuroCost International specializes in cost of living services for expatriates in more than 250 locations worldwide. Although the expatriate housing conditions vary depending on the country, the EuroCost publishes a yearly worldwide ranking, depending on specific type of housing.
For the latest survey report, EuroCost has taken into account double and triple bedroom flats (Average prices converted in euros, with December 2009 reference rates), and has reported several marked changes in the findings of 2010 worldwide ranking of expatriate rent.