The current economic situation with house prices started to show signs of stability; more demand but less supply are on the market. Researches showed that more home buyers are interested in the housing market and it has been revealed that every property has attracted four home buyers to chase after.

Researches revealed that about four home buyers are interested and chasing after one property. Experts explained this phenomenon as a “flood back” of potential buyers to the housing market. Property prices reviewed by different House Index showed signs of stability. According to the report, 49% believe that the property price will rise in 12 months; while 12% of individuals think the market house prices would stay the same. Another 27% of people, fell from 65% in March, are looking forward to a further decrease in house prices. With the falling in house prices starting to ease off, more people are interested in the purchasing a property before it begins to rise again.

Report also releases the number of house buyer registered with the Estate Agents has increased from 265 in April to 299 in May - which is seen as the highest figure since 2007. The increase in interest of home buyers contributed to the increase in average sales of each estate agent. Each agent has recorded the fifth consecutive monthly increase in average sales of 10.4 during the month - that is also the highest level since October 2007. This increase in demand has even had a significant effect on first time buyers, where properties sold to them soared from 23% in April to 43% in May. The level of double increase in sales to the first time buyers this month is recorded as last seen in September 2001.

While the demands and interest in housing are gradually increasing, supplies in property are decreasing conversely. Due to the sign of stability, more potential households would try to keep their properties and wait to release them to the market when the house prices rise back to a certain level - fearing that they might not be able to sell it at the price they want under the economic climate. Some would rather rent their properties out than trying to sell them when the average house price is 19% below the peak. Other than that, fewer houses are being built at this time of the year. Supported by the statistics, each estate agent branch has an average of 69 properties available only in May - that is down from 76 and 100 compared to the previous month and December 2008 respectively. The lack of availability in housing has caused inconvenience to the families who want to get their own property before the arrival of a baby.

During an economic recession, it is normal that housing demand is more than supply within the industry. When the housing supply and demand are happening under this phenomenon, the average property prices are signalled and have the potential to climb up. And hence, this explains the view of 49% of individuals expecting the house prices to increase in the next 12 months.