Jeremy Leaf, north London estate agent and a former chairman of the Royal Institution of Chartered Surveyors, said the housing market is still “playing catch-up” as the increase in new enquiries emboldens sellers to not only make their properties available, but chance their arm at higher asking figures.

He added: “The prospect of more stable or even falling mortgage rates is certainly helping to improve confidence generally.

“However, the uplift in supply has meant more choice, so the market remains price sensitive and buyers are negotiating hard – particularly those who require little or no finance.”

Rates peaked in July 2023, reaching 6.86pc, but have since fallen. The average two-year fix sits at around 5.83pc, while the average five-year fix is more like 5.40pc according to data firm Moneyfacts.

But in more recent times, mortgages have begun to edge up again as higher-than-expected inflation figures cast doubt over the likelihood the Bank of England will cut interest rates before the summer.

Tom Bill, head of UK residential research at Knight Frank, said changing economic predictions mean buyers and sellers “have faced mixed messages” this year, which may mean asking prices aren’t achieved. 

He said: “While rising asking prices show seller expectations have improved, there is broader downwards pressure on prices as mortgage rates edge higher, supply increases and a wave of people roll off sub-2pc fixed-rate mortgages agreed in early 2022. 

“The result is more friction around prices, particularly when a rate cut seems to move further into the distance with every release of economic data. That said, higher supply means there should be a recognisable spring bounce in the housing market.”

Nick Mendes, of mortgage brokerage John Charcol, said he had noticed a “slow down” of activity in recent weeks as mortgage rates stagnate and some buyers wait eagerly for a Bank Rate reduction.

He added: “We did see a lot of people entering the market earlier on in the year to beat the summer rush. Some house prices were reflecting the highs we saw just a few years ago.

“Some people will have stretched themselves, now unable to renew their rate in the current market and trying to downsize without losing on their property value.

“Always take asking prices with a pinch of salt; look at Land Registry prices for what [properties] were actually sold for.”