New figures show that property prices in Dubai rose slightly in May compared with the previous month, but were still significantly down on where they were a year ago.
According Reidin’s latest Dubai Residential Property Sales Price Index, the average price of a home in Dubai rose by 0.97 per cent in May over April, with apartment sale prices registering an increase of 1.05 per cent and villa sales prices increasing by 0.63 per cent on average.
However, overall prices are still 5.3 per cent lower than what they were in May 2015.
Up until early 2015, Dubai’s property market had been enjoying a period of rapid growth, with double digit property price growth seen throughout the emirate in 2014. Many experts have viewed the recent slowdown in the market as being one of natural correction rather than a sign that the market is set to implode in the way that it did following the global financial crisis of the late noughties.
In Abu Dhabi, another popular emirate for overseas property market, the Reidin data reveals that villa prices are performing better than apartments.
The figures show that apartment sales prices registered a decrease of 0.31 per cent in May, and of 0.7 per cent from a year earlier, while villa sales prices registered an increase in May, up 0.27 per cent, and also increased 3.2 per cent on an annual basis.
Article by David Fuller