The Dubai housing market continues to show signs that it is bottoming out, according to a local consulting firm.

A new report from ValuStrat states that the market will likely start to recover during the second half of the year, with renewed investor interest becoming more evident.

The consultancy company regularly tracks property prices in key locations across the emirate, and its own price index shows that residential values in Dubai have been ‘broadly stable’ in recent months. 

The latest ValuStrat’s residential price index posted a 0.1% decline to 97.9 index points in June compared to the months of April and May.

“Statistical analysis has shown further indications of an early recovery in some areas, signalling possible signs of a bottoming out in property values across [the areas monitored] during the course of the year,” ValuStrat said in a statement.