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HSBC has revealed it is buyer confidence, rather than finance that is stalling the UK housing market.

New research from the bank has found that 98% of potential housebuyers have no problem arranging a mortgage, but people expect house prices to fall further and are not confident in their ability to fund a new property as the cost of living, including mortgages rises.

HSBC's study found that one in 10 Britons are keen to move house or get on the housing ladder, but have decided hold off for at least six months. Of these, just 2% said they had difficultly getting a mortgage, but 37% said they did not want to buy while prices are expected to fall further.

Martijn van der Heijden, UK head of mortgages for HSBC, says: "There is a perception at present that banks are not offering mortgages. In fact, our latest study suggests that access to finance is not a major issue. Instead, many buyers are taking a wait and see attitude, naturally some feel uncomfortable buying a home which may be worth less in six month's time.

"Almost one in four buyers think they might struggle to get a mortgage, however just one in fifty has actually given up on their purchase due to failing to find a suitable loan. Anyone keen to buy a home still has an extensive range of mortgage options.”

This news comes as the National Association of Estate Agents revealed quarter of UK estate agents say the Chancellor’s indecision regarding stamp duty has led to sales falling through.

A poll of more than 1000 estate agents found that the recent stamp duty issue has affected the property market.

The poll revealed 25% of agents now claim that a sale has fallen through as a direct result of the Chancellor’s comments. Whilst 92% of agents says the Chancellors remarks have increased consumers concerns.

The Chancellor Alistair Darling recently hinted at a possible stamp duty holiday to revive the UK housing market. The treasury then retracted the statement, which was then reiterated once again by housing minister Caroline Flint.

Peter Bolton King, chief executive of the NAEA, says: "Instead of the Government formulating a careful plan outlining their thoughts clearly and concisely with a clear time frame in mind, this comment was simply made off-the-cuff.

“Consumers need reassurance - clear and immediate decisions in this area need to be made. Sometime in Autumn is not good enough. The Government need to clear up this uncertainty as soon as possible to help minimise the disruption to the market place and help the British economy move forward. We would welcome the opportunity to meet with the Treasury to try and help overcome this problem."

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