UAE market 'becoming more stable'

The property sector in Abu Dhabi is stabilising after a period of swift decline, property experts CB Richard Ellis have said.

In its analysis of the market in the emirate during the second quarter (Q2), the firm noted that there have been declines in prices and activity, notably in the off-plan market, which has come to a "swift and abrupt end".

However, the situation has been improving, the report stated, noting: "Encouraging signs emerged in terms of price stability with declines during Q2 significantly less than previous quarters."

Such a situation may indicate that the market is bottoming out, which could make the near future a good time for investors to make acquisitions.

Earlier this month it was suggested that the market in Dubai may have hit its base.

Property firm Asteco reported that the fall in the costs of apartments and villas in the second quarter was less than in the first three months of the year, with prices now rising in developments such as the Palm Jumeirah project.