Asking prices for properties increased during July marking the fifth monthly rise of the year, research has revealed.

There was a 0.6% rise in the average asking price in England and Wales to £227,864 in the month to July 12, figures from property website Rightmove revealed.

The group predicted that the housing market would remain in a "steady state" for the rest of the year and claimed that the increase was evidence the sector had passed the bottom of the downturn.

The 0.6% rise in July comes after a drop of 0.4% in the previous month, which had ended a run of four consecutive months of price hikes.

Initial asking prices have risen by 6.7% since the start of 2009 and Rightmove said there was a 20% recovery in new seller numbers to its highest level so far this year.

Seller numbers are now averaging 21,364 a week. However, this remains under the historic average of about 35,000, according to Rightmove.

Miles Shipside, commercial director of Rightmove, said: "There is now clear evidence that there were some fire-sale prices last winter, when a few brave buyers correctly called the bottom of the market.

"In most parts of the country prices have consistently improved during spring. With growing confidence that we've passed the bottom, buyers are more active, although they may discover that many of the best buys have gone."

Activity in the buyers' market has increased this year as the property sector shows signs of rejuvenation following heavy falls in 2008.

Rightmove reported that the number of pages being viewed on its website was close to levels seen in the spring selling season.

The news follows a variety of positive property price surveys in recent weeks, with the Home Builders Federation (HBF) saying that the housing market was showing the first signs of an upturn since 2006.

The HBF survey of Britain's major home builders found 60% of those asked had seen an increase in sales compared to the same time last year.

But the availability of mortgages is still regarded as a major hurdle for the property sector, as lenders continue to clamp down.

Copyright © Press Association 2009