Rising supply could hit recovery in Dubai property market, says CBRE

New report says about 70,000 units are expected to be delivered between 2017 and 2019 as developers make a major Expo 2020 push

Average residential sales rates for apartments in Dubai fell by 4.6 percent annually in the fourth quarter of 2016 but remained flat quarter-on-quarter, according to a new CBRE report.

Rents in Dubai fell by an average of 1 percent in Q4, said CBRE's Dubai Annual Market Update Report.

While average apartment sales rates fell by 4.6 percent in 2016, the drop for villas was more pronounced at 6.5 percent, the report said, adding that the residential sector is expected to see more stable sales pricing during 2017 as sentiment slowly starts to improve.

However, CBRE said there is a cautionary note with the recovery amid rapidly rising supply levels. Approximately 70,000 units are expected to be delivered between 2017 and 2019 as developers make a major push in the...Read more...

Source: arabianbusiness.com