Dubai property prices might drop by up to 20 percent by the end of 2015, according to a real estate experts
An appox of 20,000 flats and villas coming onto the market this year, will allow buyers to buy out property on a decent price, Says a Real Estate agent. Prices have already dropped by 5-6 percent within the 1st quarter of 2015 and the decrease of the property value is likely to continue into early 2016.
The upcoming new 20,170 units, Mainly in Sports City, Dubailand and Akoya. Which is up from the 3 year average of 11,600. A 10 percent drop is expected in central Dubai, to 20 per cent in outlying suburbs.
Hiba Khan, Who is a HR Senior Executive at Westcon said: “Its is good news for residents of Dubai. With this Drop in the Dubai property prices, people with steady incomes can look at the possibility of staying in Dubai instead of moving out towards Sharjah or Ajman especially residents who are working in Jebel Ali. “With many new people coming to Dubai, They will certainly benefit from this” She added: “There are around 20,000 units coming this year. She is keen to buy a property for herself”
But, in terms of rent, We see that Abu Dhabi is experiencing a shortage of quality housing, which is why rents will continue to Raise”. Tenants saw an average rise of 11 per cent in 2014.
Dina Ahmed, A School Teacher, said few of her friends from Abu Dhabi are planning to move towards Dubai or Sharjah due to rent rises or they are looking for cheaper options by switching to two bedrooms, having previously had three or four bedrooms.
Real Estate Agent Said: As rents are raising more than Dhs160,000-180,000 per year for a 3 bedroom apartment, People who get in touch with him are looking for cheaper options.”
Indian expat Huma Syed, 24, an Marketing Executive, is moving out from her apartment from Ajman Corniche towards Marina, Dubai. She said: “Rents dropping in Dubai property prices is a good time to move”