Now is the best time to buy a home as property prices begin to bottom out, according to many first-time buyers.

Research from property website Rightmove shows that 57% of those hoping to take their first step on the property ladder expect prices to either stay at their current levels or rise in the next year.

About 69% said they thought now was a good time to buy, with one in five fearing it will be more difficult to buy a first home in 12 months' time.

Rightmove said that first-time buyers with a good deposit have been able to get hold of properties at 25% less than their peak price due to a rise in forced sellers and a shortage of buyers as a result of the hostility in the mortgage market.

Miles Shipside, commercial director at Rightmove, said: "It's a clear sign that the mood is swinging from negative to positive when first-time buyers are looking to re-enter the market.

"Canny investors have been snapping up some bargains, and now first-time buyers reckon prices are reaching a floor too.

"Some will be frustrated by the size of deposit lenders are demanding to get the best mortgage deals, however."

Of the 3,120 first-time buyers surveyed, the average had a deposit worth the equivalent of around 20% of the average house price in England and Wales, at £31,650.

A 40% deposit is now required by most lenders in order to qualify for the lowest-rated deals, with very little choice for people with only 10%.

However, competition in the mortgage market has been increasing in recent weeks for people looking to borrow 75% or 80% of their home's value.

Mr Shipside urged lenders to take the plight of first-time buyers seriously and offer more loans to people with smaller deposits.

He said: "The British aspiration of property ownership remains high and aspiring first-time buyers cannot be condemned to renting forever.

"We need to think about the long-term effects of the continuing mortgage famine and current lending policies."

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