Zoopla.co.uk research revealed 55% of homeowners expect house prices to rise in H2, down from 59% three months ago and by a smaller amount over a year.
However, homeowners still think their own property will outperform others in their local area, predicting values will increase 2.8% in the next six months.
Also, of more than 5,000 survey respondents, only 24% expect the value of their own property to fall over the same period, compared to 29% who expect house prices in their area will fall.
People expect house prices to rise an average of 2.2% over H1 against 2.7% last quarter.
The London market stands apart from the rest of the UK, with 72% of London homeowners expecting average house prices to rise, up from 68% on last quarter. Prices are forecast to increase by 4.7%, up from 3.6%.
Almost half consumers believe that the key signal that the property market is improving will be when mortgage availability increases. However, just 11% believe it is easier to get a mortgage now than three months ago.
Nicholas Leeming of Zoopla.co.uk, said: “There is a lot of general economic uncertainty at the moment which is taking its toll on homeowner confidence.
“Until there is some good news on the overall economy, homeowners will continue to be cautious with their optimism for the property market.”
