Figures released by The National Association of Estate Agents from its March housing market survey have revealed a levelling of activity in the residential housing market.

The number of houses for sale in March increased by 8.7% from figures reported in February. March is traditionally a busier time in estate agency than February and the March figures reflect this. NAEA members across the country reported an average of 62 properties for sale in March, relatively level to the 61 recorded in March 2006. With the forthcoming Home Information Packs it is likely that those wishing to sell will accelerate their decision and put their homes on the market before 1 June.

The number of people looking to buy property increased in March by 11.6% from February and by 3.7% from the same period last year. Demand continues to outstrip supply in the residential housing market throughout many parts of the UK, which in turn will continue to add an upward pressure on house prices. First time buyers are also up from 8.9% in March 2006 to 12.6% in March 2007, and it has increased slightly by 9.3% from February 2007.

Charles Smailes, NAEA president, said: “It appears that we are finally hitting a period of levelling in the residential housing market, although this is unlikely to last. There is a great deal of uncertainty in the market at the moment, the increase in interest rates and the implementation of home information packs are set to have a significant impact.

“Post 1 June, I expect new instructions to fall significantly as home sellers will have their right to speculatively test the market for free taken away from them. This will have a further impact on the already low levels of housing stock across many parts of the country”, he concluded.