Mortgage funding remains a headache
One in three of those surveyed by property website Zoopla cite mortgage concerns as the biggest threat to the housing market.
Over three quarters, 77 per cent, said mortgage funding continued to be restricted during the second quarter of 2010.
According to the quarterly housing market sentiment survey of 5,442 homeowners, 25 per cent of respondents worried about a rise in interest rates affecting the housing market recovery and 21 per cent were concerned about the impact of job losses in the public sector.
Whilst 78 per cent of homeowners think property prices will rise over the next six months compared with 81 per cent three months ago.
The average respondent expects house prices to rise by 5.5 per cent from current levels by the end of the year.
Nicholas Leeming, commercial director at Zoopla, said: "Confidence amongst homeowners remains high for the time being, but the dip does signal a directional shift as concerns are building again around the outlook for the property market.
"The fear remains that the revival in the housing market will be derailed unless the banks make a concerted effort to increase lending. With job cuts looming in the public sector and interest rate hikes expected at some point, the new government has its work cut out for it to ensure that home ownership remains affordable and attainable for most people."