Rising interest rates have had a negative impact upon the UK''s regional housing markets, the National Association of Estate Agents (NAEA) has stated.

A recent survey carried out by the organisation found that 71 per cent of its members have seen interest rates hitting house prices in their area, with just 23 per cent claiming that the five rises introduced over the past year have had no effect at all.

Since the latest rate rise, 61 per cent of estate agents have seen the number of buyers of their books fall, with 13 per cent of these seeing a reduction of more than 16 per cent, indicating that consumer confidence has declined, the study also revealed.

In addition, estate agents were found to be split over their thoughts on a further rate rise.

While 47 per cent felt that their local market could not withstand a further rise in interest rates, 53 per cent said that it could, but only by small fractional amounts.

NAEA president Stewart Lilly said: "There is a glimmer of hope that further interest rate rises are temporarily on hold following the latest round of reports.

"If this is indeed the case it will provide much needed comfort to house hunters who have been grappling with the effects of the past three rises this year."