Residential prices in Dubai fell by two percent in the first quarter of 2015 as home deals slumped by 20 percent year-on-year, CBRE has said.
Its Q1 2015 Dubai MarketView report said more downward pressure on prices was likely for the remainder of 2015 as new supply enters the market. CBRE also said annual residential rental growth measured just three percent - a reflection of "more stable market conditions".
According to the CBRE report, the volume of residential sale transactions fell by four percent in Q1 compared to the year-earlier period although both transaction values and volumes were up compared to the previous quarter.
The report added that the delivery of a significant number of new units during 2015 will add further pressure to the residential market over the course of the year.