House prices have returned to around the same level as during the summer of 2006, following the latest rise recorded by the Land Registry.
Its June data shows prices rose 0.1 per cent for the month, bringing the annual price increase to 8.4 per cent.
Earlier this week housing market intelligence agency Hometrack reported prices fell for the first time in 15 months in July, although only by 0.1 per cent.
The Land Registry’s index covers England and Wales. All regions have seen an increase in prices over the last year. London has seen the greatest rise, at 12.2 per cent, the north east has seen the smallest, at 0.7 per cent.
The Land Registry also records data for completed house sales. Its most up to date figures show sales rose 26 per cent in April, compared to the previous year, from 39,280 to 49,323.
Commenting on the figures Simon Rubinsohn, chief economist at the Royal Institution of Chartered Surveyors, said the house sales data is ‘worrying’.
‘Figures on mortgage approvals suggest that this number is unlikely to pick-up anytime soon,’ he said.
‘With the average number of monthly transactions prior to onset of the credit crunch roughly double this figure, it is clear mobility has been impacted and many people who wish to take their first step on the property ladder or move home have been unable to do so.’