The criteria for mortgage lending could be eased depending on the performance of house prices during the first six months of this year, according to an expert.

Gary Styles, strategy, risk and economics director at Hometrack, said that the organisation is expecting the cost of property to fall by between two and three per cent during 2012.

He went on to say that if the falls were more severe than that then lending criteria would be reined in.

“The first five or six months of this year could determine whether lenders choose to ease back a little bit in terms of their lending criteria - particularly to first-time buyers,” Mr Styles said.

With Hometrack envisaging a house price fall this year, the Royal Institution of Chartered Surveyors found that the number of house sales went up in January.

It found that 12 per cent more surveyors reported rises rather than falls in newly agreed sales since 2012 started.

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