British house price growth remained subdued during September as the market continued to show signs of slowing down, figures revealed today.
The average cost of a home edged ahead by just 0.2 per cent during the month, following growth of only 0.1 per cent during August, according to Nationwide Building Society.
The slowdown helped reduce annual house price inflation in the United Kingdom to 17.8 per cent from 18.9 per cent the previous month - its lowest level since March this year.
Mr Alex Bannister, Nationwide's group economist, said: "As expected, the housing market is now showing signs of cooling in response to continued low real take-home pay growth, five base rate increases in the last 11 months and a moderation in buyers' expectations of future house price growth."
He said the cost of property had risen by 12.5 per cent so far this year, and he expected prices to end the year 15 per cent higher than they started it, suggesting average rises of 0.8 per cent a month for the remaining quarter.