House prices in Wales rose by more than £1,000 in October, according to the latest figures from the Office for National Statistics.
Sales are at their highest level since December 2007, with the average house price reaching £154,696.
Richard Sexton, from LSL Property Services, said: "The market is powering ahead, with prices increasing by £1,125 compared to September, representing the third monthly price rise, while prices are up by £3,137 since January 2013.
"New buyer enquiries, sales and price expectations are all above the three-month average illustrating the strong headway being made.
"Sales in particular are no standing at the highest level since December 2007, and momentum is building further - thanks to the boost in consumer confidence and the improving economic picture."
He added that first-time buyer homes are "particularly popular" in Cardiff with prices up 7.4 per cent since last year.