ANALYST VIEWS: IS THE HOUSING MARKET SLIDE SUGGESTING THAT THE ECONOMY IS HEADING BACK INTO RECESSION?

HOWARD ARCHER | GLOBAL INSIGHT
"The more worried that consumers are, the more reluctant they will be to commit to buying a house. It is notable that surveys have recently been showing reduced buyer interest. Given this backdrop, we suspect that house prices could fall by around 10 per cent between now and the end of 2011."

LUCIAN COOK | SAVILLS
"It’s not a time to panic but there is a softening on the market and we expect a drop in price of around five per cent on the next six months. There is more stock available and uncertainty over the economy makes this a crucial period. The prime market will perform better because there is more equity."

TOM GIDLEY-KITCHIN | CHARLES STANLEY
"The housing market is in a difficult place with the number of mortgages being awarded so low. We see a slowing down of the market (transactions) of around five to 10 per cent. Housebuilders will probably improve their margins as they have bought land at a lower rate in the downturn."