The year-on-year figures show buyer enquiries declined 13%, with average mortgage rates up 0.4% in recent weeks

Property buyer demand has slumped 13% this month amid uncertainty about the global economic situation, the latest Zoopla house price index reveals.

The portal says rising mortgage rates and uncertainty impacted confidence, although sales agreed are only down 2%.

There is a growing gap between sales agreed and buyer demand, which is the key theme in March, Zoopla says.

The year-on-year figures show buyer enquiries declined 13%, with average mortgage rates up 0.4% in recent weeks.

In fact, Zoopla’s data shows that buyer demand has been running below last year’s levels through the first three months of the year, with demand weakening further in March.

Trends in sales and buyer demand are replicated across the country, and there is no difference between first-time buyers and existing homeowners.

Buyer enquiries have dropped by between 7% and 19% year-on-year, with the largest decline in active buyers recorded in the North East and West Midlands, albeit with enquiries falling off a high base compared to last year.

And house price inflation is stable at +1.3%, Zoopla says.

Richard Donnell, Executive Director at Zoopla, says: The market remains active, but becoming increasingly reliant on a smaller pool of serious buyers.

Some early stage buyers are adopting a wait and see approach, but there is a sizeable group of committed buyers who are pressing ahead with housing purchases, he says.

If mortgage rates stabilise at current levels we expect sales activity to continue to hold up well compared to last year, he says.

He adds: For buyers, there is less competition and more choice, but affordability is becoming more stretched.