PROPERTY MARKETS IN THE UNITED ARAB EMIRATES CONTINUE TO DECLINE

The residential property market in the United Arab Emirates continues to slow down, with the latest index data showing that rents and prices are falling on a monthly and annual basis.

In Dubai prices fell by 0.64% in June month on month and decreased by 6.18% year on year, with both apartments and villas seeing values fall, according to the ReidIn index. Apartment prices fell by 0.63% month on moth and by 6.18% year on year while villa prices were down by 0.71% month on month and by 7.43% on an annual basis, a breakdown of the figures shows.

The lettings market is also declining with rents down 1.3% month on month and 8.81% year on year. Apartment rent decreased by 1.46% on a monthly basis and 8.39% year on year while villa rents were down 0.46% month on month and down 11.02% annually. There is a similar picture on neighbouring Abu Dhabi with prices down 1.03% in June and down 6.95% year on year.

Apartment prices fell month on month by 0.76% and by 7.64% year on year while villa prices were own 1.93% and 4.81% respectively. Rents are also falling in Abu Dhabi, down by 1.19% on monthly basis and by 11.11% year on year. A breakdown of the figures show that apartment prices were down by 1.51% month on month and 12.3% year on year while villa rents fell by marginally by 0.09% month on month but are still 6.77% lower than June 2017.

Prices and rents are also down in other locations. In Ajman apartment prices decreased 1.97% month on month and by 3.33% year on year while apartment rents fell by 1.84% and 7.9% respectively. In Ras Al Khaimah apartment prices decreased 0.28% month on month and by 2.88% year on year while in the lettings sector they were down by 0.82% on a monthly basis and 10.97% on an annual basis.

The index also shows that in Sharjah apartment prices fell by 0.87% month on month and by 4.29% year on year while rents were down 0.90% and 6.98% year on year.