According to HMRC data, non-seasonally adjusted transactions rose 17% to 111,100 in October compared to the previous month.

This is the highest non-seasonally adjusted monthly value since November 2022.

The report comes after the Bank of England introduced its first interest rate cuts in four years in August and November this year, reducing the overall rate by 0.5% to 4.75%.

Mark Harris, CEO of SPF Private Clients, said: “Lower mortgage rates continue to drive market activity and improve transaction numbers.

“Having had two interest rate cuts in recent months and more to come next year, buyers are feeling more empowered to commit to a property purchase.

“Swap rates have also fallen, which should allow lenders to offer lower mortgage rates. This will be welcome after a few weeks in which prices have risen slightly again.”

Malcolm Webb of Legal & General Surveying Services added: “It is encouraging to see borrower confidence continuing to grow, with strong increases in new offers and agreed sales.”

“First-time buyers continue to lead the way, accounting for over a third of all sales. As we start the new year we could see an increase in FTBs to be completed before the new, lower stamp duty thresholds come into effect.”

MT finance director Tomer Aboody said: “A fairly significant increase in transaction numbers compared to this time last year shows how lower interest rates have encouraged buyers and sellers to be active.”

“Although we are still far from the highs of previous years, the confidence in the market is promising.

“We must also be clear that the full impact of the budget has yet to be considered and therefore a real indication of where we are will be around spring next year.”

“Let’s hope that by then there will be another rate cut that will help keep the market productive and confident.”