Landlords and homeowners are being warned that issues are still affecting the house building industry, which mean it cannot yet "feel truly confident".
Managing director of SmartNewHomes.com David Bexon said that decisive government action has not yet followed the strong performance of house building firms.
He referred to an announcement by Barratt Developments, which revealed that the average selling prices of new properties increased in the last half of 2009.
A four per cent increase meant that the average cost of a new-build was £167,000, it reported on January 14th.
There will be approximately 12,000 new properties completed in 2010, the company predicted.
Mr Bexon said this is encouraging, but there is a cautious tone to the announcement.
This is due to the fact that the rise in prices is attributed to "changes in the mix". He explained that data from SmartNewHomes.com is expecting a supply shortage to affect family homes in the UK.
Housing minister John Healey said last week (January 11th) that the government would double the amount of money it contributed towards new homes.
Written by Sarah Field
