UK house prices rose by just £600 last month

Emma Haslett
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House price growth across the UK was stagnant in February (Source: Getty)

UK house price growth was flatter than yesterday's pancakes in February, with prices inching up just 0.6 per cent between January and February. That works out at an average of £600.

Figures published by Nationwide showed prices grew 4.5 per cent in the year to February, up very slightly from January's 4.3 per cent.

The average price was £205,846, up from £205,240 – that's £606 higher.

Although predictions of post-Brexit doom and gloom in the housing market are fairly common these days (just last week Hometrack said it expected house price growth to grind to a halt this year), Nationwide was more tempered: it said a rise of two per cent over the course of this year is "more likely than a decline".

Indeed: news of the housing market's death may be greatly exaggerated, with figures from the National Association of Estate Agents (NAEA) published earlier this week suggesting there are now 11 house-hunters for every property on the market.

Read more: UK house prices are growing at their slowest in four years

“The outlook is uncertain, but we, along with most other forecasters, expect the UK economy to slow through 2017 as heightened uncertainty weighs on business investment and hiring," said Nationwide's chief economist, Robert Gardner.

"Consumer spending, a key engine of growth in recent quarters, is also likely to be impacted by rising inflation in the months ahead as a result of the weaker pound."

“As long as borrowing rates also continue at an historic low level then predictions for the year ahead are positive, although we probably won’t be seeing London house prices over the short-term racing in front with dizzying double digit rises," added Rob Weaver, director of investments at property crowdfunding platfrom Property Partner.

“The capital has been the powerhouse of UK property price growth. But there’s now softness in the centre in contrast to outer boroughs and particularly along the Crossrail route, where prices look set to rise faster as the much-hailed new rail route goes live next year."

Read more: This one graph explains the horrors of London house prices

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