The number of people buying a house in the south east is the lowest for 30 years, according to the Royal Institution of Chartered Surveyors.

In the three months to the end of June, the organisation recorded an average of 15.3 transactions per surveyor in the region, a figure mirrored nationwide.

In the south east 89 per cent more surveyors reported a fall than a rise in house prices.

Trevor Hines, head of public policy and communications, RICS South East, said: "With demand so low, would-be-buyers are negotiating from a position of strength.

"Even in a weak market there are always opportunities for investors to profit and some are starting to circle for bargains. However, transaction levels remain incredibly low with many buyers cut out of the process by tight lending conditions."

Mike Hewson, of Canterbury's independent partnership of chartered surveyors G W Finn & Sons said: "Despite the media pressure, people are still putting houses on the market

"If they are correctly priced, we are having interest and agreeing sales."

Surveyors report that some buy-to-let investors are entering the market to take advantage of rising rents and equally that "predatory buyers" are looking to bargain for reductions in a falling market.

John Oakley, chairman of the National Association of Estate Agents in East Kent said: "It is fair to say that people aren't moving. The market is very depressed, but there are buyers out there and they are looking for good deals.

"A lot of this is being driven by a lack of mortgages. People can't get the money to buy, as banks have put up the shutters. It is a very quiet market."

"Prices are going down. If you are in a position where you need to sell you will have to take a reduced price."