Dubai property sales drop 42.6%

According to REIDIN. com 1,724 properties in Dubai were sold in H1 2009, down 42.6% as compared to the previous year.

The sales of the property, further, are not expected to be encouraging and are going to be yet another difficult quarter for the property developers.

"We are seeing some signs of stability in the underlying market, but crunch comes in the second half of the year, when a number of developments are due. Any development delays, which we are starting to see, will not allow developers to recognise sales revenues and may lead to further analyst earnings downgrades," said Chet Riley, an analyst at Nomura Securities.

The transactions of the properties have been affected by the fall in the property prices upto 50% in some area of the Emirate.