House prices to see 'erosion rather than a landslide fall'

To protect and maximise the value of a property, Schofield said making it energy-efficient is a wise investment. 

“There is growing data to show that an energy-efficient home is worth significantly more than one that isn't. For the average home, making it energy-efficient could be a real hedge against falling prices,” Schofield said. 

Finaze’s head of term finance, Imogen Sporle agreed and said house prices are likely to rise steadily at 2 or 3 per cent, or in a worst case scenario plateau. 

However, Sporle noted that concerning changes related to new builds in the market, in particular from smaller developers.

Sporle said: “The cost of materials is skyrocketing and has been for a few years now, as have labour costs. I think this will cause a large increase in the cost of new build properties by 5 to 8 per cent, which could then have a knock-on effect on the rest of the market."

Looking at it on a regional basis, average house prices for the year have seen the sharpest increase in Scotland, up 11.6 per cent to £192,000. 

In England they have risen to £305,000 (7.3 per cent) and in Wales to £213,000 (8.6 per cent). While in Northern Ireland, the cheapest UK country in which to purchase a property the average price is up 9.6 per cent to £169,000.