Christmas light fanatics should avoid decorating the outside of their homes if they want to sell up over the festive period.

And trying to sell a house next door to a miniature Blackpool Illumination is likely to become a frosty situation too.

When questioned in the summer of 2006, Christmas lights came 8th in the rankings of what was most likely to put you off buying a home. However, house exteriors that are over-enthusiastically decked in Christmas decorations have rocketed to number three in December’s survey of home buyers’ pet hates.

There are some perennial eyesores, the prospect of which fill buyers with apprehension all year round. Broken down vehicles and rubbish in front of homes have remained top of the list, the survey concluded. However, there is a clear indication that seasonal factors come into play in repelling potential buyers. Back in the summer ubiquitous World Cup flags proved a real turn off to buyers. Now December has come around they have been replaced by Christmas bling, equally off-putting to buyers.

Wealthier households with incomes over £60,000 were twice as likely to be put off by Christmas decorations as households with incomes under £30,000.

Warren Bright, chief executive officer of propertyfinder.com commented: “Christmas and the New Year is a notoriously difficult time to sell as people like to be settled over the festive period. Sellers will have to be extra careful not to alienate the buyers who are still out there and over the top decorations are sure to put a lot of people off.”

“Overstated exteriors are seen as tacky and are likely to give a negative first impression of both the house and the neighbourhood. If you are a seller who likes to deck the outside of your house with flashing lights and plastic figures, then be thankful Father Christmas will be coming down the chimney because you won’t be getting buyers through the door.”

1 in 4 house hunters put off by neighbours' garish decorations

Separately, Yorkshire Bank have been looking at decorated facades too. They say one in four house hunters (25%) would not make an offer on a house next to one lit up like Blackpool Illuminations.  And with one in eight Britons (13%) decorating the outside as well as the inside of their homes this year, this could have an impact on a lot of sellers.

Gary Lumby, Yorkshire Bank's head of retail, said: "TV property experts say that the smell of coffee or freshly baked bread can make a property seem very inviting to prospective buyers. However, even the most delicious smelling coffee may not be able to distract the viewer's eye from the all-singing, all-dancing elf collection on the neighbour's front lawn!”

"Your neighbours' house resembling Santa's Grotto could mean you'll struggle to achieve that sought after curb appeal that presenters like Kirstie Allsop and Phil Spencer say is so vital."

"Exterior Christmas lights don't necessarily mean that potential buyers will avoid buying in your area - it is just something to be considered if your neighbour is trying to sell.  Our research has shown that there are still plenty of people who enjoy having neighbours who get into the Christmas spirit."