But homesellers are yet to fear a fall in house prices
A drop in house prices will force most homesellers to withdraw their property from the market, according to property purchasing specialist HBB Solutions.
The survey of 1,225 UK homeowners commissioned by HBB Solutions found that 96% of property owners considering a sale would be less likely to sell if the value of their home falls.
Recent house price indices have revealed a drop in prices – albeit slightly, but homesellers do not worry about house prices falling as much as they do about rising inflation.
HBB Solutions said 89% were worried about the current rate of inflation, as it hit yet another high last week, increasing at a greater rate than expected.
Read more: UK inflation rate hits double digits.
Property experts have been expecting a slowdown in house price growth for months amid consecutive base rate increases by the Bank of England in its attempt to control inflation.
However, the HBB survey revealed that homeowners remain confident in their property, with just 22% stating they are worried that the value of their home might fall in the coming months.
“Despite many households enduring an incredibly tough time at present, a high level of confidence remains in the property market,” Chris Hodgkinson, managing director of HBB Solutions, commented. “While we’ve seen signs that the market is starting to cool, there’s certainly no evidence that a market crash is imminent.
“Of course, it would be naive to expect that such a turbulent economic outlook will have no impact on the housing market, and it’s inevitable that some form of house price correction is on the horizon following such a heightened period of activity.
“So those considering a sale may want to do so sooner rather than later to ensure they hit the market while it remains robust, and prices are still holding strong.”
