Property price declines in Dubai slowed to their lowest rate in three years last month, according to new research. 

Real estate consultants ValuStrat said average values in Dubai slipped by just 0.1% in December. Its VPI – Residential Capital Values for Dubai index stood at a stable 65.3 points, although this was still down by 13.8% on an annual basis. 

“On a citywide level, capital values of homes approached stabilisation at the end of 2020, as the downward trend of recent years currently appears to be coming to a gradual end,” ValuStrat said. It added that stability and marginal improvements in prices were observed in 90% of established villa communities as well as 63% of freehold apartment areas.

December also registered a 19.5% monthly gain in transactions of cash-based sales, as existing homes saw an increase of 31.8%, while off-plan sales also grew, but at a lower monthly rate of only 2%.