Sellers must be competitive if they hope to sell their property this year, as the housing market continues to favour buyers.

Selwyn Lim, director of Mouseprice, said those looking to buy a property know it is a buyers’ market – thanks to lower transaction levels and stricter mortgage lending – and sellers must become more competitive if they wish to find a buyer.

However, he added: “As prices go up, there will be more and more availability coming on to the market and many people are just not even considering selling now because they know they may be in negative equity.”

His comments come after research revealed few people are looking to move house during the first half of 2011.

Just 12 per cent of the 2,000 people polled by HSBC said they were planning to move home or make their first steps onto the property ladder within the next six months, although the bank said it still plans to make £15 billion in mortgage finance available this year.

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