Annual UK house price increases hit double digits during April, according to new figures.
The average cost of a UK home is now 10.5 per cent higher than it was in April 2009 at £167,802, the first time annual growth has reached double figures since June 2007, according to data from Nationwide.
Prices rose by 1% during April itself, with the recovery said to be driven by the supply of homes for sale being unable to keep up with demand from potential buyers, hence pushing up prices.
Prices still below 2007 peak
However, Nationwide said prices were still 10% below the peak they reached in October 2007, when the credit crisis was just beginning. April 2009 was one of the weaker months last year, with the building society adding that it was unlikely figures would remain in double figures over the coming months.
Nationwide also said that the quarterly rate of growth was continuing to decline, making it the seventh consecutive month during which it has fallen.
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