Dubai home prices down 20% from peak of 2014: report

Capital values of residential properties in Dubai fell 3.8 percent in the second quarter 2018, registering its sharpest quarterly dip in four years, consulting firm ValuStrat said in a recent report.

Prices fell 6.7 percent year-on-year (YoY) in Q2, as the overall decline touched 20 percent since the peak of mid-2014, it added.

However, the consultancy said that the “steep declines boosted sales as transaction volumes and average ticket sizes increased across the board.”

Off-plan sales volumes rose 10.9 percent YoY and 18.7 percent quarter-on-quarter (QoQ). The numbers of secondary properties sold increased 1.5 percent YoY and 10.2 percent QoQ.

Average ticket prices of off-plan properties jumped 5.6 percent QoQ to AED1.4 million, with ready property ticket sizes soared 23.9 percent QoQ to reach AED1.9 million.

Meanwhile, more than five percent price declines were registered in The Springs, the Meadows, Jumeirah Islands, International City, Downtown Dubai, Business Bay, Motor City, The Greens and The Views.

An estimated 8,718 apartments and villas, equivalent to 23 percent of the total expected supply for 2018, have been completed year to date.

Nearly 64 percent of these completions are located in Dubailand, Jumeirah Village Circle and Dubai Silicon Oasis, the report added.