Dubai Home Prices Set for Another Year of Decline, CBRE Says - Bloomberg

Dubai Home Prices Set for Another Year of Decline, CBRE Says - Bloomberg:

"Dubai home prices are set for another year of decline with supply outstripping demand even as developers delay the completion of properties, according to real estate adviser CBRE Group Inc.

“We expect to see a slight decline in values, which is in line with the drop in 2016,” said Nick Maclean, CBRE Group Inc.’s managing director for the Middle East. CBRE estimated apartment prices fell 4.6 percent on average last year, while single-family homes slid 6.5 percent. Rents also dropped about 4 percent.

Residential values in Dubai have been declining since the second quarter of 2014 as weak job growth and ballooning supply drives values and rents lower. Transactions by value dropped about 20 percent last year compared with 2015 as the city’s traditional investors from the Persian Gulf, Russia and the U.K. were hit by lower oil revenue and by the decline of their local currencies against the U.S. dollar to which the United Arab Emirates dirham is pegged."



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