Estate agents expect property to pick up

Estate agents are predicting that the property market may be on the brink of an upturn.

15:28 19 January 2005

Estate agents are predicting that the property market may be on the brink of an upturn.

Following months of disappointing prices, new figures from the National Association of Estate Agents (NAEA) suggest things are about to change for the better.

While the average property price fell by 1.2 per cent last month, overall it finished 2004 6.4 per cent higher than a year earlier.

The president of the NAEA, Richard Hair said: "The current downturn will prove to be short-lived... activity is good for the time of year."

He added: "Together with the upbeat reports we are receiving from the agents on the front line, and the wider economic conditions such as low interest rates, we fully expect UK house prices to be showing positive monthly growth again by the spring."

Nationwide, estate agents say buyers are beginning to show an interest once again in the market, especially first-time buyers.

Around 95 per cent said they expect the market to be back on track by Easter at the latest.

The Royal Institution of Chartered Surveyors also announced yesterday that the property market could be in for a "mild pick-up".