House prices in Britain rose 1 per cent in March to take the annual three-month rate to a two-year high of 11.1 per cent, a survey showed today.
HBOS's Halifax house price survey also revised up February's monthly gain to 1.9 per cent from 1.8 per cent, but it left the annual three-month rate for that month at 9.9 per cent. The cost of an average home stood at £194,362 in March.
March's annual three-month reading is the strongest rate of house price inflation since February 2005 when prices rose 12.1 per cent and the first time the rate has risen above 10 per cent since March 2005, Halifax said.
The mortgage lender said the large annual rise was a result of base effects from figures this time last year and said it expected price inflation to ease this year.