THE housing market has picked up earlier than usual after the summer break in signs strong activity is set to return this autumn, a report has said.

House sellers' asking prices jumped by 0.9 per cent month-on-month in September to reach £264,875 on average across England and Wales, marking the first time since 2011 prices have increased at this time of year, Rightmove revealed.

Asking prices have recorded a typical monthly fall of 0.5 per cent in September over the last ten years, as the market usually takes a little time to gear up again after the summer holidays.

Miles Shipside, director of Rightmove, said: "We usually see a price fall at this time of year as potential home movers are generally still in holiday mode.

"However, it looks like there are early signs of a bounce-back in demand after the summer lull, leaving those estate agents with a shortage of stock at a potential disadvantage and therefore eager to attract new instructions."

There have been some signs toughened mortgage rules, which came into force in April under the Mortgage Market Review and force lenders to ask more questions about a mortgage applicant's spending habits, have slowed down the house sale process.

However, the Council of Mortgage Lenders last week reported the number of first-time buyer loans handed out in July was at its highest since August 2007.

Some estate agents have reported the referendum in Scotland on independence has disrupted the housing market there as potential buyers are waiting to see what the outcome is.

Mr Shipside added: "From a buyer perspective, when other home movers are nervous it can be a good time to act, as harder bargains can be driven.

"Those who are buying and selling in the same transaction may have to drop their selling price but could be able to make up the difference by paying a lower price for their onward move."