Falling house prices have sparked a wave of interest in Clifton property, according to a Bristol estate agent.

Homeowners living on the outskirts of Bristol are being drawn to properties in Clifton which have become more affordable due to the credit crunch.

Anna Maggs, of Henleaze estate agents Maggs and Allen said: "We're getting a lot more people who want to move into the Clifton area.

"For example, a two-bedroom flat in a prime Clifton spot would have been £220,000 a year ago – now it's nearer £170,000."

Clifton, with its range of upmarket shops, bars and restaurants is widely regarded as one of Bristol's most expensive addresses, with homes reaching £2 million in some parts. In November 2007, at the peak of the property boom a Clifton garage sold for £130,000.

The garage in Wellington Terrace, close to the Clifton Suspension Bridge, sold at auction for almost four times its guide price of £35,000.

Anna added: "But although we're getting people looking for property, there is a lack of stock because homeowners are often too wary to move in this climate."

The claims come as new research suggests falling prices are making it easier for first-time homeowners to move up the property ladder.

The price difference between the average one-bedroom property and a two-bedroom house is now £31,000, the lowest level for five years and down from £41,500 12 months ago, according to a property website.

The research said the increased level of affordability had come about because the value of two-bedroom homes had fallen faster than any other property type, losing 11.92 per cent of their value during 2008, compared with a drop of 8 per cent for one-bedroom homes.

It has also become easier to trade up from a two-bedroom property to a three-bedroom one, with the cost of making the jump easing from £66,264 to £58,436, but it has become more expensive to move up the property ladder to a four-bedroom home because larger properties have held their value better.