Abu Dhabi's real estate market saw the biggest decline in property prices in the world in 2017, according to a new report.
Knight Frank's Global Residential Cities Index 2017 ranked the UAE capital 150th out of 150 cities covered, with an annual property price slump of more than 9 percent.
Dubai, the only other Gulf-based city analysed in the report, was placed 134th with a 2 percent fall in prices year-on-year.
The poor performance of both cities comes despite analysis of five-year figures showing cities in the Middle East seeing the highest rise in nominal house price growth, averaging 58 percent.
Globally, the Knight Frank index increased by 4.7 percent in the year to September 2017, down from 5.8 percent in the previous quarter.
Nineteen of the 30 cities registered an increase in their rate of house price growth and only 11 saw their rate of growth decline.
The number of cities registering declining growth rates has fallen from 27 to 26 with Darwin, Valencia and Abu Dhabi taking the bottom spots.
In the third quarter, Knight Franks said 46 percent of all cities that registered a fall in prices year-on-year are located within Europe, with seven located in Italy.
Reykjavik topped the rankings, the only city to record annual price growth above 20 percent while Toronto slipped from the top spot to fourth place as the new foreign buyer tax influenced market sentiment.
Unlike the luxury end of the market, mainstream prices in Europe remained weak accounting for almost half of the cities registering an annual decline.For all the latest business 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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