Housing market confidence drops to new low as renter numbers soar

16 2008
Confidence in the UK housing market has hit a record low, meaning there are likely to be fewer buyers and more renters over the coming months and years.

The latest figures released by the Royal Institution of Chartered Surveyors (Rics) found that the number of its members reporting a fall rather than a rise in property prices in March stood at 78.8 per cent.

While house prices are stalling and even declining across most areas of the country, the number of properties being put on the market is also dropping, while would-be buyers are also having a difficult time getting a mortgage.

"Sentiment is at a very low ebb and will continue to remain depressed while the economy suffers from this unique liquidity blight," explained Rics spokesmen Jeremy Leaf.

"The slowdown in prices is directly attributable to a lack of available finance which has hit demand."

Earlier this week, it was reported that growing numbers of homeowners are choosing to rent out their properties and take advantage of growing tenant demand rather than sell-up for a lower-than-expected price. ADNFCR-1219-ID-18554200-ADNFCR

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