According to the report from Halifax, on a monthly basis, house prices in February were 0.1% lower than in January. Economists expected prices to remain unchanged. In the latest quarter (December to February) house prices were 0.5% higher than in the preceding three months (September to November). House prices were 5.2% higher than in February last year.

Russell Galley, Managing Director, Halifax, said: “Having enjoyed an extremely strong period of activity in the second half of last year, the housing market continued its softer start to 2021, with average prices down very slightly (-0.1%) compared to January. However, with annual house price inflation currently at +5.2%, property values remain comfortably higher than 12 months ago, when February was the last full month before lockdown. In the longer-term, the performance of the housing market remains inextricably linked to the health of the wider economy. The pace and extent of recovery are still highly uncertain, and much will depend on the ongoing success of the UK’s vaccination roll out.”