UK average house prices increased by 10.9% over the year to February 2022, according to official figures from HM Land Registry’s UK House Price Index.

It said the average UK house price was £277,000 in February 2022, £27,000 higher than this time last year.

Highest risers

The South West and East of England were the regions with the highest annual house price growth, with average prices increasing by 12.5% in the year to February 2022.

London continues to be the region with the lowest annual growth at 8.1%.

Average house prices increased over the year in England to £296,000 (10.7%), in Wales to £205,000 (14.2%), in Scotland to £181,000 (11.7%) and in Northern Ireland to £159,000 (7.9%).

Detached house prices were up 14.4%, semi-detached by 11.4%, while flats were up just 8.1%. New build prices were up by a staggering 19.3%.

Sarah Coles, senior personal finance analyst at Hargreaves Lansdown, said: “The property market continues to defy gravity. Despite rising rates and runaway inflation putting the squeeze on affordability, February saw another record average price, and it was another month where your house made about as much money as you did.

“But while it may feel like a property boom that can endure through rising inflation and interest rates could defy any challenge, there’s a risk that prices will eventually start to soften.

“We already know that mortgage companies are increasing the assumed costs in their affordability calculations, which will make it harder for people to get a mortgage. We also know that fewer mortgages were approved for future purchases in February – although the levels are still above those seen before the pandemic.”

Iain McKenzie, CEO of The Guild of Property Professionals, added: “House prices continue to be driven by the lack of available properties on the market and the speed in which many of them are sold. With the demand for housing still there, prices will defy the expectations of any readjustment.

“It will be interesting to see in the coming months if there will be any signs of a decline. For first-time buyers it is especially important that prices remain affordable, so that they are not priced out before they can get their foot on the ladder.”