According to reports on MSN today, Halifax, interest rates are likely to remain very low for some time, and they predict no more than one rise to the Bank of England base rate in 2011.

"This will underpin the favourable affordability position for those able to enter the market," said Halifax's Martin Ellis. "The low interest rate environment has reduced the burden of servicing mortgage debt. Typical mortgage payments for a new borrower have fallen from a peak of 48% of average disposable earnings in mid-2007 to around 30% now, which is an important factor supporting housing demand."

The Council of Mortgage Lenders (CML) also says it's unlikely that the base rate will rise significantly in the short term and that it may well remain unchanged at 0.5% for the whole of 2011.

Andrew Montlake from mortgage broker Coreco told MSN Money that for buyers who want to take advantage of low interest rates and competitive house prices, 2011 will seem to be "as good a bet as any".

"If we are to follow a general cycle of recovery in 2012 and beyond, it therefore follows that 2011 will be the nadir for both house prices and interest rates," he said. "For me... 2011 will prove to have been the year that many of the best bargains were bagged."