The average number of home inspections by surveyors in Wales has dropped to its lowest level in more than 30 years.
The average number of home inspections by surveyors in Wales has dropped to its lowest level in more than 30 years.
The report from the Royal Institution of Chartered Surveyors (RICS) said a lack of mortgage finance continued to "stifle" access to the housing market.
The report from the Royal Institution of Chartered Surveyors (RICS) said a lack of mortgage finance continued to "stifle" access to the housing market.
But it also found surveyors were optimistic that house sales will increase over the next three months.
But it also found surveyors were optimistic that house sales will increase over the next three months.
The director of RICS Wales, Cathy McLean, said the market continued to "hold its breath".
The director of RICS Wales, Cathy McLean, said the market continued to "hold its breath".
She said the housing market would be likely to "remain a dormant beast for some time to come" unless mortgage liquidity improved.
She said the housing market would be likely to "remain a dormant beast for some time to come" unless mortgage liquidity improved.
'Dented confidence'
'Dented confidence'
The survey found there was an average of 11.5 transactions per surveyor over a three-month period, the lowest level since the survey began in 1978.
The survey found there was an average of 11.5 transactions per surveyor over a three-month period, the lowest level since the survey began in 1978.
But the balance of the professionals predicting sales would rise rather than fall was positive for the first time since June 2007, with 16% more surveyors expecting sales to improve.
But the balance of the professionals predicting sales would rise rather than fall was positive for the first time since June 2007, with 16% more surveyors expecting sales to improve.
Ms McLean said: "The recent turmoil in the financial markets has dented confidence further but yesterday's announcement by the government that the re-capitalisation of banks will be accompanied by increased lending to home owners, raises the possibility that the lack of mortgage finance that has so damaged the housing market might be eased. August was difficult but there's been some upturn in the market with sales and obviously we're hoping that will continue Dafydd Hardy, estate agent
Ms McLean said: "The recent turmoil in the financial markets has dented confidence further but yesterday's announcement by the government that the re-capitalisation of banks will be accompanied by increased lending to home owners, raises the possibility that the lack of mortgage finance that has so damaged the housing market might be eased. August was difficult but there's been some upturn in the market with sales and obviously we're hoping that will continue Dafydd Hardy, estate agent
"As it stands, only those with significant finances are in a position to access the market," she said.
"As it stands, only those with significant finances are in a position to access the market," she said.
The report also said investors were waiting to take advantage of the weakening market.
The report also said investors were waiting to take advantage of the weakening market.
Dafydd Hardy, a chartered surveyor and director of an estate agency in north Wales, said there appeared to be some movement by investors looking to buy land or property.
Dafydd Hardy, a chartered surveyor and director of an estate agency in north Wales, said there appeared to be some movement by investors looking to buy land or property.
"I think that if you were to look at the overall market as far as investment is concerned, I'm still of the opinion that your money is better placed within property rather than being subjected to the volatility of the stock market," he said.
"I think that if you were to look at the overall market as far as investment is concerned, I'm still of the opinion that your money is better placed within property rather than being subjected to the volatility of the stock market," he said.
"August was difficult but there's been some upturn in the market with sales and obviously we're hoping that will continue.
"August was difficult but there's been some upturn in the market with sales and obviously we're hoping that will continue.
"We will still have a fairly difficult winter and that once the financial markets have settled then we can perhaps look at some strengthening in the market in the spring."
"We will still have a fairly difficult winter and that once the financial markets have settled then we can perhaps look at some strengthening in the market in the spring."
'Out of synch'
'Out of synch'
Mike Rees, residential director at real estate company Atisreal in Cardiff, said he expected the market to bottom-out next year, followed by a recovery in 2010.
Mike Rees, residential director at real estate company Atisreal in Cardiff, said he expected the market to bottom-out next year, followed by a recovery in 2010.
The company released its own autumn report into the UK housing market last month, with an economist from Cardiff Business School.
The company released its own autumn report into the UK housing market last month, with an economist from Cardiff Business School.
It found while some high profile new developments in Cardiff, Newport and Swansea had been shelved, demand for traditional two-storey homes remained strong, as well as demand from housing associations for social housing.
It found while some high profile new developments in Cardiff, Newport and Swansea had been shelved, demand for traditional two-storey homes remained strong, as well as demand from housing associations for social housing.
"I think basically the liquidity situation is going to improve and certainly the initiatives taken by the government have already started to have a positive effect," said Mr Rees.
"I think basically the liquidity situation is going to improve and certainly the initiatives taken by the government have already started to have a positive effect," said Mr Rees.
"If you look at the overall trend there's been a growth of about 2.5-3% in the housing market and that trend will continue."
"If you look at the overall trend there's been a growth of about 2.5-3% in the housing market and that trend will continue."
"The fundamentals of supply and demand are out of synch and even in the good times we were never building enough homes to match supply. There's a lot of people out there trying to find a house and can't find it and that's having a beneficial effect on the rental market."
"The fundamentals of supply and demand are out of synch and even in the good times we were never building enough homes to match supply. There's a lot of people out there trying to find a house and can't find it and that's having a beneficial effect on the rental market."
View from around Wales:
View from around Wales:
E B Morgan of Beverley Morgan and Co in Torfaen said: "Vendors now seem to be aware of the state of the housing market due to the over-coverage by the media. As a result, they are reducing prices to a more realistic level, but a lack of confidence by purchasers is slowing the market down and very few sales are taking place."
E B Morgan of Beverley Morgan and Co in Torfaen said: "Vendors now seem to be aware of the state of the housing market due to the over-coverage by the media. As a result, they are reducing prices to a more realistic level, but a lack of confidence by purchasers is slowing the market down and very few sales are taking place."
In Cardiff, Kelvin Francis said: "There is a reasonable flow of offers, despite the dramatic events in the financial markets. Viewers are not afraid to offer, even if very low and are keen to buy, but only at a price that they perceive to be the 'right price'."
In Cardiff, Kelvin Francis said: "There is a reasonable flow of offers, despite the dramatic events in the financial markets. Viewers are not afraid to offer, even if very low and are keen to buy, but only at a price that they perceive to be the 'right price'."
But Andrew Morgan of Morgan & Davies in Lampeter, Ceredigion said: "It is a dire state of affairs. The condition of the market is extremely fragile."
But Andrew Morgan of Morgan & Davies in Lampeter, Ceredigion said: "It is a dire state of affairs. The condition of the market is extremely fragile."
And David Jones from Jones & Redfearn in Rhyl, Denbighshire said: "Until mortgages are being granted, the market will remain in a straight jacket. We need to lend to mend."
And David Jones from Jones & Redfearn in Rhyl, Denbighshire said: "Until mortgages are being granted, the market will remain in a straight jacket. We need to lend to mend."
In Llandudno, Conwy, Dafydd Hardy Y Gwerthwyr Tai, said: "This has been the quietest summer sales period I can recall in the 20 years I have been in estate agency. The continuous media hype has really affected people's confidence in buying".
In Llandudno, Conwy, Dafydd Hardy Y Gwerthwyr Tai, said: "This has been the quietest summer sales period I can recall in the 20 years I have been in estate agency. The continuous media hype has really affected people's confidence in buying".
While he said of Bangor, Gwynedd: "It has been a good month for both sales and listings. Seller and buyer awareness of market conditions encourages an honest and cooperative dealing. Buyers are coming off the fence and becoming more confident."
While he said of Bangor, Gwynedd: "It has been a good month for both sales and listings. Seller and buyer awareness of market conditions encourages an honest and cooperative dealing. Buyers are coming off the fence and becoming more confident."
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