Average Dubai property prices are now nearly 30 percent lower than their peak in mid-2014, according to new research.

Real estate consulting firm ValuStrat said in a new report that citywide values in the second quarter of 2019 are 29.3 percent lower than five years ago when prices were at their highest.

The Q2 ValuStrat Price Index displayed an overall 11.5 percent annual fall in capital values, with quarterly declines decelerating to 2.9 percent.

All established freehold locations monitored by the VPI witnessed price drops since the last quarter, ranging from 1.2 percent to 4.2 percent.

On an annual basis, only three out of 26 locations measured saw single-digit declines - villas in Palm Jumeirah and Al Furjan, as well as apartments in Dubai Sports City.

Capital values dropped more than 15 percent annually for apartments in Palm Jumeirah, Discovery Gardens, and The Greens, the report said.

“As capital values continue to soften, there was a relatively strong quarterly sales volume performance for nine months in a row, off-plan up 5.5 percent, ready sales stable, when compared to Q1,” said Haider Tuaima, head of Real Estate Research at ValuStrat.

The VPI also analyses residential rentals and showed a decline of 26.1 percent since mid-2014, dropping 3.4 percent quarterly and 10.7 percent annually.

Dubai’s net yields averaged 5.7 percent, with apartments at 5.9 percent and villas at 4.7 percent. The average residential occupancy rate stood at 84 percent.

As far as residential supply is concerned, 8,487 residential units, just 25 percent of the total estimated supply for 2019, have been completed so far, the report added.