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FINANCIAL NEWS
Dubai house prices expected to further fall in 2012
01 Feb 2012
(MENAFN) UAE house prices in the UAE are expected to continue this year, held sown by the huge oversupply and uncertainty about the global economy, a Reuters poll showed.
The poll of 11 respondents, including banks, investment firms and research institutions, showed house prices in Dubai will slip by a median 5 percent this year, ultimately will ease another 8 percent from here, a median of nine respondents showed.
Four respondents said Dubai’s property prices will stabilise during the year, while three said they won’t until 2013 or beyond. Others thought prices had already reached bottom.
Dubai’s property market is oversupplied by 30 percent, a median of seven respondents showed.
The report predicted UAE’s economy to slow to 3.1 percent this year, which would help Dubai’s property prices to recover after plunging by two-thirds from their 2008 peak.
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