House price growth at near two-year high, says Nationwide

Nationwide’s data, which is based on its own mortgage lending, showed that UK prices rose by 0.7% in September compared with the previous month. August had recorded a slight fall on the monthly measure.

“Income growth has continued to outstrip house price growth in recent months while borrowing costs have edged lower amid expectations that the Bank of England will continue to lower interest rates in the coming quarters,” said Nationwide’s chief economist, Robert Gardner.

“These trends have helped to improve affordability for prospective buyers.”

However, he said that while activity in the housing market and prices had picked up, they remained subdued compared with historical standards.

Amy Reynolds, head of sales at estate agency Antony Roberts, said: “While sellers may be encouraged by these price rises, we find if a property is too highly priced, applicants don’t waste their time and view.

“So if a property isn’t getting viewings, it is likely to be down to price, and the best advice we can give is to bring that price down to the market level.”