Dubai: Annual house price growth softens by 9.2% in January
Property Monitor, a UAE real estate intelligence platform from Cavendish Maxwell, has released its Dubai House Price Index for January 2019. The index has been tracking the prices of a selection of apartments and villas/townhouses since September 2015.
The report indicates that the annual house price growth in Dubai softened by 9.2% in January 2019, with prices declining 1.7% month-on-month. House prices in the three months to January were 4.2% lower than in the previous quarter. The average house price in Dubai decreased to AED 2.69 million ($732,339).
The annual decline in prices was more pronounced in communities such as Arabian Ranches, Emirates Living, International Media Production Zone (IMPZ) and Dubai Sports City, where prices declined by more than 10% on average.
Off-plan apartment transfers continued to dominate in January 2019, as has been the case over the past 12 months. However, the volume of transfers was lower than in January 2018. Since the beginning of 2019, transfers of apartments and villas/townhouses decreased by 42% compared to the same period last year.
According to January’s House Price Index, the average apartment was AED 1.8 million ($490,000) and the average villa/townhouse price was AED 4.7 million ($1.28 million), down significantly from AED 2.1 million ($571,714) and AED 5.6 million ($1.52 million), respectively, for the same properties tracked since September 2015.
The Dubai House Price Index is produced by Property Monitor, a product of Cavendish Maxwell, and was developed in response to a need for greater market transparency.