THERE has been a steady start to the year for the property sector with a 0.4 per cent increase in prices of homes coming on to the market.

The latest House Price Index from Rightmove shows that the increase in prices in similar to the 0.5 per cent increase recorded in the same period in 2016.

Miles Shipside, Rightmove director and housing market analyst said: “The 0.4 per cent monthly and 3.2 per cent year-on-year price increases are indicators of the continued market momentum from the autumn. Demand for a suitable home is such that visits to the Rightmove website are still up by five per cent year-on-year, despite being compared to a period that was boosted by high demand from buy-to-let investors rushing to beat the stamp duty deadline.”

The figures also indicate that there will be greater availability of properties for first time buyers in the year ahead, due to a fall in the number of buy-to-let purchasers.

The number of sales agreed in the first-time buyer sector of two bedrooms and fewer was down 13.2 per cent in December compared to the same month in 2015. As a result available stock for sale in this sector is up by 1.9 per cent compared to last year. In contrast a year availability of such properties had fallen by 18 per cent.

Shipside added: “Those planning to buy their first home in 2017 have more choice of properties and less competition from other buyers than their counterparts a year ago. It’s a possible learning point for aspiring first-time buyers that a year ago buy-to-let purchases acted more quickly and closed deals at a faster rate, appearing not to take a Christmas break. Admittedly, they had the financial incentive of a deadline to motivate them, but first-time buyers still have time to act and currently have the incentive of stronger negotiating power to try and mitigate the upwards trajectory of property prices.”