First-time buyers again increased their share of the property market in December 2007, according to the National Association of Estate Agents (NAEA).

A rise from 10.1 per cent in November to 13 per cent in December takes the market share for first-timers to the highest it has been since November 2006.

Due to the decision to cut interest rates by Bank of England's monetary policy committee, as well as prices reportedly falling in a number of key areas, such consumers are now in a "prime position".

President of the NAEA Stewart Lilly comments: "We hope this positive trend will continue into 2008. Another interest rate drop would be a very positive move for the struggling first-time buyer group - and indeed for consumer confidence as a whole."

In related news, residential property agency Hamptons International described the Bank's recent decision to maintain the interest rate at 5.5 per cent as disappointing.