Despite a further fall in house prices in January, estate agents remain positive and confident of steady, if unspectacular, growth in the year ahead.

The latest survey by the TEAM network of independent estate agents, shows that nationwide the average price of homes “under offer” was £185,203 in mid-January compared with £188,680 in December, a fall of 1.8%. On average, properties are now 4.8% more expensive than 12 months ago.

The survey is based on data supplied by 558 offices of TEAM members in 16 regions across England and Wales. It reflects a daily average of 2,102 homes listed as under offer by agents in the four-week period to mid-January, historically the quietest period of the year.

Prices in most regions have again fallen slightly in the past month, or at best shown little movement. On an annual basis, the biggest gains have been in South Wales (14%), Cornwall (11%), East Yorkshire (9%) and Midlands (9%).

TEAM’s immediate past national chairman, Philip Muzzlewhite, commented, “A quiet approach to Christmas is reflected in lower prices but a significant increase in activity and confidence in the New Year period has already restored prices. Our confidence in a steady year ahead remains undaunted.”

Jim Atkins, a past president of the National Association of Estate Agents and a TEAM member based in Dorset, said: “The market is as we expected it to be. December and the New Year period saw a drop in activity across the board, in common with every other year in my experience."

"January started in positive mood with a good level of instructions, serious buyers making offers and sales being arranged in fair numbers. Buyers are taking their time to look around and are cautious on prices, but from the first few weeks indications are that, having entered 2005 with solid foundations, the market will further build up again as we approach the spring and summer. A positive year ahead!”