A new survey has found that four in 10 British people think properties in their area are overpriced and 48% predict that house prices will rise by up to 10% over the next 12 months.
The OnePoll survey, conducted by investment company Freehold Sale, surveyed people across the UK who are planning to buy a home in the next five years to find out their levels of confidence in the current property market.
When asked about their attitude towards current property prices, over 41% of respondents consider properties in their area to be overpriced. This was highest amongst respondents in London with 57%, followed by 54% in the South East, 52% in the South West and 50% in East Anglia.
The poll also found that 48% think that house prices will rise by up to 10% over the next 12 months. A breakdown of the figures show that 25% believe house prices will increase by up to 5% and 23% believe they will increase by 6% to 10%.
When asked about the drivers behind these potential price increase some 43% of respondents think the UK leaving the European Union will be responsible for the change in property prices over the next 12 months.
The survey also looked at how buyers are approaching the purchase of a new property. Some 31% are looking for a new build for their next home. This result is highest amongst 25 to 34 year olds suggesting first time buyers are attracted to new homes.
The poll asked if buyers would be using any of the Government’s Help to Buy schemes and found that 19% will be relying on the Help to Buy scheme to buy their first home and this figure is highest amongst 18 to 24 year olds at 44%.
A further 10% of respondents said that they will be relying on the Right to Buy scheme to buy their new home, this scheme is most popular amongst respondents aged between 35 to 44 years at 12%.