Property in Dubai 'falling in price'

The price of property in Dubai has fallen by record numbers over the last year, which may boost the number of bargain homes available.

A new report by global housing specialist Knight Frank has revealed that the average cost of purchasing a property in Dubai has decreased by 32 per cent in the last 12 months.

According to the company, the Global House Price Index indicates that the cost of property in Dubai will continue falling "for some time", which could in turn boost the number of people searching for low-priced homes.

Nick Barnes, head of international research at the organisation, says the economic downturn has been largely responsible for the overall reduction in values worldwide.

He adds that the "inescapable trend" has led to some of the biggest reductions in 80 years.

In contrast, Nick Marr, chief executive officer of Homesgofast.com, recently predicted that the cost of buying a home across the whole of the Asian market will begin to rise next year, which may increase the urgency for buying property in Dubai.