There are now 10 buyers chasing every property across England and Wales, a gap which is set to widen as more first-time buyers enter the market, according to estate agent Haart.
Its latest market monitor data revealed that average monthly house prices across England and Wales fell by 1.4% in February.
Annual prices have risen by 2.6%, taking the average price of a property up to £232,942.
Changes to stamp duty and Brexit jitters have done little to dampen housing demand, with the lack of supply helping to bolster prices.
Paul Smith, CEO of haart, said: “House prices are proving their resilience as values this month beat those seen at the same time last year, at a time when the market was experiencing levels of hyperactivity in the rush to beat the stamp duty change. After a turbulent year, that is a truly remarkable achievement.
“Our data shows that there are currently 10 buyers chasing every property across England and Wales, a gap that is set to widen as we also see the number of buyers and first-time buyers entering the market increase every month, and as viewing figures bolster. All very impressive when considering the battering the industry has taken in the last 12 months, in the form of the stamp duty changes, letting agent fees and political upheaval.”
The rise in stamp duty has resulted in landlords pulling out of the buy-to-let market, allowing more first-time buyers to get a foot on the property ladder.
The number of new first-time buyers entering the market rose 10.9% for the month across England and Wales.
“It is particularly positive to see first-time buyers entering the market up 11% on the month – proof that the aspiration for home ownership is still very strong among young people, whether the government are committed to helping them out or not,” said Smith.
“Whilst supply is still low, I urge those thinking about putting their house on the market to act now whilst demand is high to bag themselves a premium on their property.”
