West Midlands house prices are still tumbling, according to the Royal Institution of Chartered Surveyors.
During October, 58 per cent of agents reported a fall in prices, while for the second month in a row, 41 per cent said prices had remained static. The number seeing an increase dropped back from a six-month high of six per cent in September to one per cent last month.
But there is hope for the market with new buyer enquires up though agreed sales in the region slipped back slightly after three months of increases.
The RICS said the slow decline in prices was expected to continue during the coming months. It claims the outlook for sales is upbeat.
Harvey Williams, national and regional housing spokesman, said: "It is hoped that last week's decision to hold the base rate at 4.5 per cent for the third consecutive month will give the housing market a much needed boost.
"This stability may help to bring a renewed confidence to the market and inspire potential buyers to commit to new property purchases, particularly first time buyers for whom affordability is such a crucial issue.
"Despite the fall in agreed house sales reported in the survey findings, city centre living within the region continues to be popular. Demand in October was the highest so far this year, with agreed deals up by seven per cent on the rest of 2005."
Across the UK, October saw the largest increase in new buyer enquiries in two years and marked the fourth consecutive month of rises. Although house prices slipped back, the pace of decline was at its slowest in 15 months.
The number of chartered surveyors reporting price falls for October dropped significantly to nine per cent, down from 21 per cent in September.
