Dubai residential market has been a story of increased supply and unsold stock resulting in declining prices over the last three years. This price decline in the last few years is primarily due to declining percentage of white-collar workers in the city, bearish economic outlook and strong supply pipeline along with the declining oil prices.
Strong supply pipeline has been a key influencer to declining prices. The vast majority of new stock remains unaffordable for the average buyer. Soft price corrections persisted in Q3’17 with some areas showing signs of stabilizing due to rising sales and innovative mortgage products.