Arabian Business quoted a global property survey of 33 cities as saying that Dubai house prices recorded the second largest quarterly drop falling 7.5% in the 3 months to June 2009.

Property consultant Knight Frank said in its latest Global House Price Index that property values in Bulgaria plunged the most in the Q2 2009 slipping 9.7%.

The survey said that Dubai saw the largest annual fall in house prices to June 2009 of 47.3% followed by Singapore where the average cost of residential property dropped 27.7% in the same period. But Knight Frank said that there was evidence that Dubai’s struggling housing market was improving.

Mr Liam Bailey head of residential research at Knight Frank said in a statement that “Prices are still falling in Dubai but the decline has slowed sharply.”

He added that “The Q2 drop in Dubai was only 7.5% compared with a massive 41% slide during the previous 3 months. While the market still remains over supplied, transaction volumes have started to increase on the back of reduced asking prices, the increased availability of credit and more certainty from developers regarding the completion dates of projects.”

(Sourced from Arabianbusiness.com)