In January the London Estate Agency recorded 19% more buyers entering the market competing for 28% fewer properties.
Rollings said: “London is just one slice of a complex industry and we expect a return to more normal market conditions in the spring, as more property becomes available.
“The UK housing market continues to pick up with prices and sales volumes taking a huge leap forward. Demand is growing, competition is heating up and first-time buyers are rushing back to the market as improved lending conditions stimulate movement at all levels.”
Prices in London increased by 2.6% in December.
