THE high demand for housing across the region is expected to keep the property market buoyant in 2003.

The prediction comes from the leading estate agents who believe that prices will buck the national trend and continue to grow - although the rises will be more modest than those witnessed in the boom of 2002.

But while homeowners in Ilkley, Otley and the surrounding areas can expect to see the value of their homes continue to grow, the pressures created by a limited supply and high demand mean that it is becoming increasingly difficult for first time buyers to get their foot on the first rung of the housing ladder.

The price of some properties in Ilkley rose by an incredible 20-25 per cent over the past 12 months, with the average three-bedroom semi-detached house changing hands for between £150,000- £200,000.

The outlook is equally tough for the first-time buyers in Otley where two-bedroomed terraced houses fetch £95,000.

Bill Dale, of Dale Eddison, on The Grove, Ilkley, summed up the mood among local estate agents.

He said: "I'm pretty positive about the outlook for the market. I think that prices are getting towards the state where big increases are going to be a thing of the past. We're getting towards the top of the market."

Mr Dale thinks house prices will continue to rise in the Ilkley area, if not nationally, for at least the first part of the year, but the increases will be more modest.

He believes any property in the greener parts of North Leeds - from Wetherby to Ilkley and beyond - are attractive to house buyers, as Leeds is a desirable place for employment, Ilkley being just 30 minutes from the city by train.

The town's other attraction to house buyers includes the area's successful schools.

But Mr Dale does not see there being any great in-roads in the creation of affordable housing in Ilkley, as few new sites are coming up for development.

He said there was a possibility of some affordable houses being created on the former Ilkley Middle School site, which is currently on the market, but he believes house prices are being driven by the strong demand for property in Ilkley.

"There's a demand for housing, from one-bedroom flats to six-bedroom mansions. There's no sign of that demand slackening off. After from the school and the college, there are no greenfield sites which can be developed."

Simon Thornton, who runs his estate agents business on The Grove, also thinks house prices will continue to rise in Ilkley, Addingham, Burley and Menston.

He said: "I think the market is looking strong. There's a very great shortage of supply in Ilkley, Burley, Addingham and Menston, and there's certainly strong demand, not least because of the perception of the quality of education.

"I think it's got to stop increasing at such a steep rate, because of the affordability factor that comes in. But whilst it is and there's a considerable excess of demand, I don't see it going the other way."

Mr Thornton pointed out that Bradford Council does ask for new developments to include some affordable housing, or a commuted sum towards new housing, but said it was common for younger people to move further afield, such as Silsden, to buy a first home.

As daytrippers visited Ilkley town centre on Saturday, many were seen looking at properties for sale in the windows of estate agents.

Patrick McCutcheon, of Dacre, Son and Hartley, in Ilkley, also thinks house prices will continue to rise in the area.

"I think we'll see a steady build upon the consistent growth that we've had over the last three to four years, and I would expect to see an average price growth of somewhere between seven and 12 per cent over the year," he said.

"However, inevitably some sectors will do more and some sectors will do less. In fact, this year, we've seen on average the market in Ilkley and Burley up by about 15-16 per cent, but there have been higher levels of growth in the first-time buyers market."

He says the prices are likely to continue rising in the Ilkley and Burley area, as there is a demand for property in the area, but a shortage in the supply.

Right across Wharfedale, Aireborough and Horsforth the picture for 2003 is of continuing growth, albeit at a slower pace than at the height of the 2002 boom.

Gary Shankland, manager of Dale Eddison's in Otley, said: "Hand on heart, nobody knows what the future holds for house prices anywhere in the country, let alone our area, but the overall consensus is that there is going to be a small rise in the year rather than a 'boom' like last year.

"Otley's proximity to Leeds still has an impact on the house prices, but an average semi detached house is around £130,000 to £135,000 - terraces are £95,000