Its survey showed that the average estate agent sold seven properties last month, up from just six in September. sellers were now being more realistic and were cutting their asking prices.

A property search website, Globrix, said price cuts on homes last week averaged £16,871 across the UK.

The NAEA’s survey found that the average estate agent sold seven properties in October, up from six the previous month. The slight rise is attributed to the fact that sellers are being more realistic and are slashing their asking prices, said the NAEA.

Chris Brown, president of the NAEA, said sellers are beginning to face up to the reality that their houses are not worth as much now as they were this time last year.

The UK property market is in the middle of the worst slump in living memory because of the credit crunch and a subsequent mortgage drought.

Average prices, according to the biggest lenders, have fallen by about 15% in the past year and sales have fallen by more than half."Sellers are beginning to face up to the reality that their houses are not worth as much now as they were 12 months ago," said Chris Brown, president of the NAEA.

"They are ripping up last year's price tags and beginning to come to terms with the new economic reality," he added.

The realisation by sellers that they need to cut prices is reflected in figures compiled by the property search website Globrix. Buyers are now holding all the cards and sellers need to realise that if they want to sell in this market then they may have to accept an offer they wouldn't have even considered six months ago," said Daniel Lee of Globrix.

It has become increasingly difficult to obtain a mortgage without a hefty deposit since the credit crunch has meant lenders are only willing to lend to those with an excellent credit rating or a large amount of equity in their properties.

Finally, as a result of the downturn in the property market, the jobs of 15,000 people working in estate agents’ offices are at risk, according to a report published in The Times last week.

Since last summer, it is estimated that up to 7,000 estate agents have lost their jobs through staff cuts at branches or the closure of offices.