House price growth in the UK was 5.8 per cent in the year to February, up from 5.3 per cent in the year to January, but still below the average growth seen in 2016 of 7.3 per cent, official figures showed today.
The average UK house price in February was £218,000, up £12,000 from the previous year and £2,000 higher than last month, according to data from the Office for National Statistics (ONS).
In London, the region with the highest house prices, the average price was £475,000.
The East of England was the region that showed the highest annual growth, however, with prices lifting 10.3 per cent in the year to February.
Nicholas Finn, executive director of Garrington Property Finders, said:
“The gently increasing rate of price growth is welcome – but no one should confuse it with robust health in the property market. Rather it’s a symptom of the chronic lack of supply.
“The number of homes for sale is still very limited in many areas, with the RICS reporting that listings have remained stagnant for 12 months in a row.
“These are positive numbers from the housing market, and while one swallow does not a summer make, it could be the start of the spring market.”
Earlier this month, figures by Halifax showed house prices lifted 3.8 per cent in the year to March, below the 5.1 per cent they grew in the year to February and way below the 10 per cent they peaked at a year ago, suggesting house price growth is slowing.