The luxury property market in Dubai continues to weaken, with prices having dropped by up to 15% over the past 12 months, according to Cluttons.

The fall at the top end of the market is in contrast to the lower end of the market, where prices have remained broadly stable.

Overall property prices across the emirate fell by 2.4% in the three months to the end of September, meaning prices are 7.4% lower year-on-year, and rents are 8% lower, Cluttons said.

“While Dubai’s economy is still diversified, it’s the senior level jobs that have been lost,” said Faisal Durrani, the head of research at Cluttons. “Also, the rate of [job] replacement and creation has slowed down.”

He continued: “Dubai serves as a regional centre for the export of financial and business services, and with austerity measures continuing to filter through, there is less and less demand for senior-level jobs and there is less merger and acquisition activity taking place in the region.”

Cluttons does not expect a recovery in Dubai’s property market until the end of 2017, when job creation rates are expected to be higher thanks mainly to Expo 2020-led infrastructure work.