The UK housing market started last year with a whimper, but finished with a roar. That trend, according to many close to the market, is expected to continue into this year. Not only are lenders riding high with mounds of activity, house builders are echoing the sentiment as they see nothing but positives in the coming months.

One builder who is especially enthused about the year ahead is Barratt. It recently made public knowledge of its optimism regarding the coming year and noted that the average selling prices of property built increased more than 10% during the course of last year and now sits at more than £250,000. Figures like these confirm the position they are holding down on the list of FTSE 100.

The company sees multiple reasons for the increase in average selling price. First, the government has initiated several schemes which are assisting first time buyers. The Help to Buy and Starter Homes schemes are making a difference in the market for those who are finding it difficult to pull together the funds for a down payment, or deposit, on a home. The schemes are making it possible for dreams to come true for young buyers who are fighting to make it on to the property ladder.

David Thomas of Barratt commented on the trend he sees continuing into this year and the optimism which is currently prevalent within the company at least about the short term.

Thomas said: "We're very confident about business this year. There is good mortgage availability, consumer confidence is very high and the Government has a number of attractive schemes for first-time buyers.”

Thomas added: "The main constraint to housebuilding is the shortage of labour in the supply chain. To build more houses, we need more labour. We've tried to increase use of alternative structures such as timber frame to reduce the reliance on builders, but obviously there are limits.”