Homeowners biding time despite confidence in property price growth

Most Britons believe property prices will increase in their area over the next six months but fewer homeowners are planning to buy or sell, according to a property website.

Just 18% of Britons plan to buy a property in the next six months, down by 7% since last October, and 17% plan to sell, down 6%, Zoopla found.

However 87% of homeowners, 4% more than in October, are confident of property price growth at an average of 7.8%, the latest Housing Market Sentiment survey shows.

Homeowners in the east of England are the most confident about their local property market, with 89% expecting to see an increase in values over the next six months, followed by 88% in the East Midlands.

Those in Wales and the North East are the least optimistic about property price growth, with 68% and 69% of homeowners respectively expecting a rise.

Just 29% believe it is now more difficult to get approval for a mortgage, down 3% from 12 months ago.

Zoopla spokesman Lawrence Hall said: "Despite a continued period of political uncertainty, it's encouraging to see a rise in confidence for property price growth.

"However, despite this, we can't ignore that there's been a rise in reluctance to buy and sell properties.

"With the upcoming General Election, it's perhaps no surprise that people may be holding out to make a purchase or sale decision until after June 8."

:: Zoopla surveyed 1,511 registered users between April 21.