Research from the First Time Buyer Opinion Barometer by Reeds Rains estate and lettings agents shows that home values have risen by 13 per cent in the last 12 months with the amount of tenants ready to step onto the property ladder reaching its highest level in over a year.
The news comes as demand from first-time buyers is putting pressure on the market.
The number of completed first-time buyer transactions stood at 27,900 in January 2016, representing a 38.8 per cent rise from January 2015, when the figure stood at 20,100.
John Wetherell, regional managing director at Reeds Rains says: “Traditionally, this time of year sees many buyers entering the market and tenants still appear optimistic.
“When asked in January when they planned to purchase their first home, 15 per cent replied that they expected to do this within the next 12 months – up from six per cent in September 2015.”