UK house prices have grown at their fastest rate in the past two years, according to Nationwide.
The building society says house prices increased by 0.7% in September, up from 2.4% in August to 3.2%.
This is the fastest pace since November 2022 when there was a 4.4% rise.
The average UK house price in September is £266,094, which is an increase from £265,375 in August.
The news follows a pretty subdued period for the property market, with wider economic factors like wage stagnation and political uncertainty hitting the market hard.
Robert Gardner, Nationwide’s chief economist, said: “Average prices are now around 2% below the all-time highs recorded in summer 2022.
“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.
“These trends have helped to improve affordability for prospective buyers and underpinned a modest increase in activity and house prices, though both remain subdued by historic standards.”
