The survey suggests that credit availability improved for medium and smaller businesses in Q3, though demand weakened.

The survey shows how far confidence has been shaken as the proportion of people who think prices will be lower in 12 months’ time rose from 1 in 10 in October 2009 to around one in three this quarter.

Around a quarter of respondents (27%) believe prices will be higher in 12 months’ time, while just over a third (36%) believe prices will be more or less the same.

This time last year 56% of respondents to the Rightmove survey believed house prices would be higher in a years’ time, which was an accurate forecast.

However, this quarter the opinion is divided and Rightmove said split responses like these generally result in a dormant housing market.

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But, unlike the industry homebuyers are more worried about the economy and state of the housing market than the lack of mortgage products available.

Rightmove’s commercial director, Miles Shipside, said following the Spending Review, it’s clear the success or failure of the cuts in the wider economy will have a big impact on the property market.

“It will be interesting to see whether the rise of the ‘price pessimists’ will continue given the new economic landscape. However, it shouldn’t be forgotten that a drop in house prices improves affordability and may bring prices into reach for some potential buyers currently unwilling or unable to proceed,” he said.