With few buyers coming to market, house prices continue to fall.  Experts have estimated this trend will continue through 2011 and possibly for the next five years.  What are homeowners to do if there are no buyers to take over their starter home allowing them to upgrade to a larger property?  For many it has left the answer to remortgage for a renovation and upgrade their own property adding value that will benefit in the years ahead.

As prices lower and equity falls on properties, it can make financial sense to remortgage at a lower rate than most would find on credit card rates to upgrade areas of the home or renovate structures and interiors to add value to a home, and thus rebuild equity.  Homeowners are basically making an investment into their property and benefitting from the new surroundings.  Later down the line, the demand for the property will be higher due to the new features and will help to sell the home.

There is little hope for a rush of new buyers coming into the market.  It may take many years before the economy is sufficient enough to support the property buying seen in the years past.  Many new programs are being aimed at first time buyers such as the stamp duty being exempt for properties up to £250,000 for two years.  There are programs for first time buyers in which there are savings programs for deposits and discounted deposit programs with the hopes of luring more into the market.  Yet, lending remains tightened and few can purchase without the help of family members to obtain deposits or to co-purchase a property.

Miles Shipside, commercial director of Rightmove, said: "A rise of just half a percent on the past quarter falls a long way short of the desired impetus many were hoping the new stamp duty threshold could bring.

"First-time buyers are vital at the foot of the property market food chain, but these results suggest this area of the market has been left malnourished by the recession and restrictive lending.

"This survey of first-time buyer intent is an early indication that we are unlikely to see any significant growth in their numbers over the next 12 months."