In contrast the supply of properties and the percentage of properties sold to first time buyers decreased.
The NAEA says that the introduction of the Help to Buy mortgage guarantee scheme, combined with improving lending conditions, is showing the first signs of boosting confidence in the housing sector, however the impact on first time buyers take longer to emerge.
The average number of house hunters has increased significantly from 314 in September to 332 in October, an increase of 5.7%. This figure beats the previous high of 326 reached earlier this year in June and is the highest figure seen since before the financial crisis in May 2007 when it was 344.
The report says that it is interesting to note that this time last year the number of average house hunters reported by NAEA members stood at just 265.
The increased interest in the housing market also appears to have translated into a boost in sales. NAEA members have reported an increase in average sales per branch from nine in September to 10 in October, equalling the four year high reached in May 2013.
There was a sharp drop in properties available for sale, falling from an average of 57 per branch in September to an average of 53 per branch in October, a drop of s7%. The recent increased demand for properties could mean that properties are getting snapped up earlier as a result of strong competition, the report points out.
First time buyers dropped slightly in October making this the second month in a row to experience a decline in first time buyer numbers. This could be a concern considering the importance of first time buyers to the housing market and the recent government schemes designed to help them to get onto the property ladder. If this trend continues it may indicate that the current schemes are still not doing enough to help this particular segment of the market, the report adds.
The most popular group purchasing property in October was the 31 to 40 year olds. They led the way making up 43% of home buyers followed closely by the 41 to 55 year olds at 42%.
Buying a house as a couple was the most popular method seen by member agents last month, with 90% of properties being sold to couples. Only 6% were sold to individuals.
