House price growth in Dubai over the past year to the end of June was the highest in the world, according to a new report by Knight Frank on Monday.
Dubai topped the annual rankings for the fifth consecutive quarter, recording annual price growth of 24 percent. Turkey was ranked second with 14 percent annual growth, followed by Ireland (12.5 percent)
However Dubai's growth was down from 27.7 percent in the year to March, indicating a slowdown in price growth during the second quarter of this year.
Knight Frank said price growth in the emirate rose by 7.4 percent in the past six months and by 3.9 percent in the three months to the end of June.
It said the emirate’s mainstream market is outperforming the luxury end of the market due in part to the mortgage rules introduced by the UAE Central Bank which are less restrictive for those buying residential property worth below AED5 million ($1.36 million).
Globally, the Knight Frank Global House Price index presented a mixed picture this quarter. The average rate of annual growth slowed from 7.1 percent in March to 5.2 percent in June, but the rate of quarterly growth picked up, rising from 0.6 percent over the first quarter to 1.6 percent in the second.
The index now stands 14.3 percent above its financial crisis low in Q2 2009.
Kate Everett-Allen, Knight Frank, International Residential Research said: “The overall trajectory of the index is an upward one with 40 of the 54 countries tracked by the index recording flat or rising prices on an annual basis.”
In March, Knight Frank named Dubai the world's best performing real estate market during 2013 with price growth nudging 35 percent.For all the latest real estate news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.
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