Moving to Iran as an Expat: The Complete Guide

Published on January 26, 2026 and written by Cyril Jarnias

Moving to Iran is more than just changing countries; it’s entering a highly codified cultural universe, both warm and bewildering, where economic, political, and social realities often defy stereotypes. With a relatively low cost of living for a foreigner, strong legal constraints, a developed healthcare system, and strict social rules, an expatriation project requires meticulous preparation.

This guide compiles key data from studies, statistics, and testimonies to help paint a concrete picture of what living in Iran as an expat means, with a particular focus on Tehran, the main economic hub and entry point for most foreigners.

Understanding the Country You’re Moving To

With around 91.6 million inhabitants and a capital city of over 8.6 million residents, Iran is a demographic heavyweight in the region. The state is an Islamic Republic, officially Shiite, unique in the Muslim world. This political and religious reality structures daily life, law, education, media, as well as dress codes and social customs.

The official language is Persian (Farsi), and even though around 12% of the population speaks English, it’s not enough to rely on it for daily life. For an expat, some basic Farsi is quickly useful, if only to negotiate a taxi, talk to the building concierge, understand a contract, or simply break the ice.

Life in Iran is also marked by a varied climate: arid or semi-arid in much of the country, more humid and subtropical on the Caspian Sea coast. In Tehran, one must contend with recurrent and sometimes severe air pollution, despite an average index rated as “moderate” (21.2 µg/m³) in some studies.

Cost of Living and Salary Level: An Affordable Country… for Foreigners

Cost of living indicators place Iran among the countries where life is relatively inexpensive on a global scale: about 1.95 times cheaper than the global average. In rankings, the country comes in around 167th out of 197 for cost of living, and Tehran is in the top 22% of the world’s least expensive cities. But these numbers take on a completely different meaning when related to local salaries.

Average Monthly Cost

Available estimates give the following orders of magnitude for the country as a whole:

For Tehran, more expensive than the rest of the country but far from reaching the levels of major Western metropolises, the amounts are lower:

In local currency, some sources give very high costs in rials, a sign of the effects of inflation and currency depreciation. The key takeaway is the differential between the cost of living for an expat paid by their company in hard currency and what an Iranian can manage with a local salary.

Local Salary Levels

The gap between typical expat expenses and local incomes is striking. Iran has a GDP per capita of about $4,771. The average net salary is around $250, with a median salary in Tehran close to $240 after taxes. The minimum wage in the capital hovers around $220, while global data mention an average salary of $450 depending on the city.

Housing: A Key Budget Item

Housing is the trickiest element to manage, especially in Tehran, officially the sixth most expensive city in the country for housing.

To get an idea of rents in dollars in Tehran:

Listings mention, for example, $385 for a small 40 m² in the center, $275 for an equivalent in a less desirable location, $699 for an 80 m² with three bedrooms in the heart of the city, and $488 for a more budget-friendly version.

Utilities, Internet, and Phone: A Modest Cost

Basic utilities (electricity, heating, water, garbage collection) remain reasonable for an expat: an average bill of around $34 per month for an 85 m² apartment in Tehran. More general data mention about 92 million rials for two people in an 85 m², and a little less than 50 million for a 45 m² studio, which remains very competitive internationally.

Access to high-speed internet is inexpensive: an unlimited fixed-line plan at 50–60 Mbps costs around $5 to $7 per month. Mobile plans are not far behind, with voice + 10 GB data packages for just over $2 per month, and prepaid calls at a few cents per minute.

Food and Restaurants: Eating Well for Cheap

Food prices are one of the big advantages for the expat. Markets are full of fresh fruits and vegetables, at prices that vary by season but are generally attractive. In Tehran, for example, you can find:

Eating out remains affordable for a foreigner: a simple meal at an inexpensive restaurant costs about $3.50, a meal for two at a mid-range restaurant is around $18, and a fast-food meal combo around $4. A cappuccino costs about $1.20, a bottle of water $0.46.

Life is not expensive for an expat, but it is for an Iranian, because prices become high when the monthly salary stagnates around $250.

Comment on the cost of living in Iran

Transportation: Public Transport Wins, Car a Luxury

Transportation is another area where Iran remains very inexpensive… if you don’t buy an imported car. A liter of gasoline sells for around $0.42 in Tehran, thanks to massive subsidies, making driving by car very economical once the vehicle is acquired.

But buying a car itself is expensive: a brand new Volkswagen Golf 1.5 can reach $60,000 in Tehran, a Toyota Corolla 1.6 about $48,000. Import taxes, restrictions, and scarcity explain this huge gap with the West.

For daily commutes, public transportation is recommended: subway and bus are inexpensive and fairly reliable in big cities.

Local ride-hailing apps, like Snapp, are very widespread and even cheaper than traditional taxis.

Currency, Banking, and Economic Realities

The official currency is the Iranian rial (IRR). In daily life, the toman is also used: 1 toman equals 10 rials. Prices are often quoted in toman in conversation, which can be disorienting at first.

Another particularity: the existence of multiple exchange rates. An official rate is used for state-controlled import-export operations, while a “free market” rate applies on the market, in exchange offices, and in daily transactions. Figures cited in studies (e.g., 1 USD between 270,000 and over 300,000 IRR) show how much the rial has depreciated.

For an expat, this means two things:

Opening a Bank Account: Possible but Regulated

The Iranian banking system operates on an Islamic model without interest in the classical sense, with deposit and investment products based on specific contracts. Banks nevertheless offer foreigners the possibility to open accounts in rials under certain conditions.

For a foreign resident, opening an account generally requires:

Current accounts (qard al-hasan), savings accounts, and term deposits exist, some yielding the equivalent of 10% to 20% annual interest according to Islamic formulas.

However, one must keep in mind the context of sanctions: many international banks refuse any relationship with Iranian banks, and Visa, Mastercard or other cards do not work in the country. The economy is largely cash-based. It is common to come with foreign currency (mainly dollars or euros) to convert on site, while scrupulously respecting regulations.

Visa, Residence, and Legal Framework: Moving Is Possible, But Not Lightly

Iran’s visa regime is constantly evolving and varies greatly by nationality. Many travelers must obtain an e-visa or a classic visa before arrival. Some countries benefit from short-term visa exemptions, especially in the region, and all tourists can, in principle, enter without a visa in free zones like Kish or Qeshm for short stays.

Some nationals — notably from Western countries like the United States, United Kingdom, Canada, Australia, or some European countries — are subject to specific formalities: the need to go through an authorized Iranian agency, a detailed itinerary, sometimes a mandatory licensed guide for the entire stay.

Renting Housing: A Specific Regulatory Framework

Contrary to a common belief, it is possible for a foreigner to rent an apartment in Iran, but it follows specific rules.

A key text, the “Law on the Lease of Movable and Immovable Property”, regulates this practice. For an expat, the essential points are as follows:

– A legal residence status is essential (long-stay visa, residence or work permit).

– The lease must be registered with local authorities within about 15 days after the start of the lease.

– Additional authorizations may be required in some cases, for example from the Ministry of Foreign Affairs or the police, especially in sensitive neighborhoods.

– Some areas, for security or preservation reasons, may restrict rental to foreigners.

Deposits and Guarantees: A Cultural Shock

The Iranian rental system often relies on very large deposits (“rahn”) which partly substitute for the rent. It is not uncommon for a landlord to demand the equivalent of several months’, even a year’s, rent as a security deposit, coupled with a lower monthly rent.

Payments are commonly made in cash, by local transfers, or with post-dated checks. The “post-dated check” remains a frequent tool, which may surprise an expat used to other practices.

Legally, the tenant is entitled to habitable housing and protection against arbitrary eviction. The landlord must perform structural repairs, while routine maintenance falls to the tenant. In case of dispute, the normal path is through mediation or the courts. Hence the importance of having a clearly written contract, ideally reviewed by a local lawyer.

Health, Insurance, and Medical Care

The Iranian healthcare system is one of the most developed in the Middle East, with modern infrastructure in major cities and an organization structured around different levels of care (primary health centers, secondary and tertiary hospitals). The Ministry of Health and Medical Education plays a central role in overseeing public hospitals and medical universities. Alongside this, organizations like the Social Security Organization (SSO) manage their own networks of facilities.

Indicators show a life expectancy of about 77.7 years, health investment approaching 8% of GDP, and over 90% of the population covered by some form of local health insurance. But this reality mainly concerns Iranian citizens.

Options for an Expat

In theory, a foreigner can access public hospitals for relatively low fees, but they do not automatically benefit from the same social protection as a citizen. For an expat, the norm is therefore private international insurance.

– Most companies sending expats to Iran cover an international private health insurance policy.

– An insurance policy must cover care in Iran, but also, ideally, medical evacuation to a neighboring country if needed.

– Private hospitals in Tehran, Shiraz, or Isfahan offer internationally-level services, with doctors often trained abroad.

– A private consultation with a specialist can cost around $50–100, which remains very competitive for an insured person, but weighs heavily for a local patient without coverage.

Daily Health

Pharmacies are numerous and well-stocked in cities and even in many villages. Some medications are subsidized, others are not. For the expat, a few precautions are necessary: keep your prescriptions, avoid importing medications without checking regulations, and remember to inquire about recommended vaccines before departure.

In case of emergency, 115 is the number to call an ambulance. The system works reasonably well in cities, although in some situations, locals still prefer to take a taxi to the nearest hospital.

Education for Expat Children: The Almost Mandatory Option of International Schools

Education occupies a key place in Iranian society, with significant public spending and a high literacy rate. Public school, free up to grade 9, however operates exclusively in Persian, with a strong emphasis on Islamic values and strict gender separation.

For a non-Persian-speaking expat child, integrating into this public system is difficult, except in the case of families settled for a very long time or who already speak the language. Most expats therefore turn to international schools or private schools for foreigners, mainly located in Tehran.

These institutions follow foreign curricula (American, British, French, German, Japanese, Indian, etc.), sometimes linked to the International Baccalaureate (IB). They offer:

The costs mentioned in studies illustrate this gap:

– Private nursery/kindergarten: around $89 per month nationally, $124 per month on average in Tehran.

– International primary school: about $1,340 in annual fees on average in the country, but up to $2,000 in Tehran for some institutions.

When choosing a school, location in the city, the curriculum (IB, Cambridge, national curriculum of a given country), language of instruction, and diploma recognition are the essential criteria. Given waiting lists, it is recommended to start the process several months in advance.

Culture, Social Codes, and “Taarof”: The Art of Iranian Politeness

The reputation for hospitality of Iranians is well-deserved. Testimonies from expats and travelers very often describe invitations for tea or dinner, curious, warm locals, often delighted to exchange a few words with a foreigner. But this conviviality exists within a sophisticated system of politeness, the famous “Taarof”.

Taarof: Refusing to Better Accept

Taarof is a set of politeness codes where one minimizes the value of what is offered, and pretends to refuse several times out of modesty before accepting. A shopkeeper might say an item is “priceless” or “it’s for you” to show goodwill, without actually intending to give it away for free. At the table, the host offers more food several times, and the guest refuses initially out of politeness, before accepting later.

Dress Codes and Behavior in Public

The dress code is a non-negotiable aspect of life in Iran, enshrined in law. For women, this means: a mandatory hijab, covering the hair and neck, as well as loose-fitting clothing that does not outline the body.

– Hair covered by a veil or scarf in public,

– Arms and legs covered (overcoat, light long coat — “manteau” — or tunic, long pants or skirt),

– Fabrics can be colorful and modern, especially in big cities, but always modest.

For men, the rules are less strict, but shorts and tank tops are excluded from public spaces. Long pants and a t-shirt or shirt suffice in most informal contexts.

In places of worship (active mosques, shrines), requirements are stricter: women must often wear a chador, usually provided at the entrance.

The most common forms of greeting are “Salaam” or “Salaam Aleikum”. When saying goodbye, you will often hear “khoda hafez” (“may God protect you”). Hierarchy and age play a role: you greet an older or higher-ranking person first and with more formality (for example, using “Agha” for Mr. and “Khanom” for Mrs. before the name).

Religion and Calendar

Islam permeates public space: call to prayer, major religious holidays (Ramadan, Eid, mourning month of Muharram, Ashura, Arbaeen), with Friday as the main day of rest. During Ramadan, it is forbidden to eat, drink, smoke, or chew gum in public during the day, even for non-Muslims.

At Home, Visiting Others

Being invited to an Iranian home is almost a mandatory step in expat life. There are many implicit rules:

– Remove your shoes at the entrance if the hosts are barefoot or in slippers;

– Bring a small gift (flowers, pastries, chocolates);

– Greet all family members;

– Let yourself be served, as the host often insists on refilling tea, fruit, cookies, and main dishes.

The home is a very private space, more so than in the West, and one sometimes observes a sharp contrast between attitudes inside (more relaxed) and those outside.

Security, Freedoms, and Political Constraints

The question of security in Iran is paradoxical. In terms of crime, many expats and travelers describe a feeling of high safety in major cities: few violent robberies, hospitality of residents, possibility to walk in the evening without excessive fear, especially on classic tourist routes (Tehran, Shiraz, Isfahan, Yazd, Kashan). Statistics from some websites mention a relatively low safety index for Tehran (35 out of 100), but the daily reality for a cautious foreigner is far from that of some major metropolises in Latin America or Africa.

For an expat, this implies several things:

In everyday life, the most frequent incidents affecting foreigners are ultimately quite mundane: pickpocketing, bag snatching by scooter, scams by fake policemen, traffic accidents. Basic prudence is often enough to guard against them.

Mental Health, Leisure, and Social Life

Social life in Iran is organized more around private homes than bars (alcohol being prohibited) or nightclubs. Having tea at someone’s house, a family picnic in a park, a trip to the mountains around Tehran, or enjoying cafes and restaurants are the most common pastimes.

Expats looking for a community can turn to networks like InterNations or Expat.com, which organize events, host discussion forums, and facilitate meetings between international profiles. These platforms list expats of all backgrounds already settled in Tehran or other cities.

Provisional Conclusion: A Country of Strong Contrasts, a Demanding Expatriation

Moving to Iran as an expat means dealing with a permanent set of contrasts. The attractive cost of living for a salary paid in hard currency contrasts with low local wages and a housing market in crisis for Iranians. A high-performing healthcare system in major cities coexists with administrative constraints and an unstable political environment. A people renowned for their warmth, curiosity, and generosity lives within a restrictive legal framework, especially regarding morals, freedom of expression, and individual rights.

Cyril Jarnias

Cyril Jarnias is an independent expert in international wealth management with over 20 years of experience. As an expatriate himself, he is dedicated to helping individuals and business leaders build, protect, and pass on their wealth with complete peace of mind.

On his website, cyriljarnias.com, he shares his expertise on international real estate, offshore company formation, and expatriation.

Thanks to his expertise, he offers sound advice to optimize his clients' wealth management. Cyril Jarnias is also recognized for his appearances in many prestigious media outlets such as BFM Business, les Français de l’étranger, Le Figaro, Les Echos, and Mieux vivre votre argent, where he shares his knowledge and know-how in wealth management.

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