Annual house price growth has been in double digits for much of the past year, revealing a buoyant market with one third of people considering a move, a housing survey shows.
For 11 of the past 12 months, annual house price growth has been in double digits, the Nationwide Building Society found.
And 38 per cent of people are actively moving or considering doing so, the Nationwide index showed.
The pace of annual house price growth slowed in April to 12.1 per cent, down from 14.3 per cent in March. Across the UK, the average house price in April was £267,620 ($336,238).
“This is the 11th time in the past 12 months that the annual growth rate has been in double digits,” Nationwide's chief economist Robert Gardner said.
“Housing market activity has remained solid with mortgage approvals continuing to run above pre-Covid levels.
“Demand is being supported by robust labour market conditions, where employment growth has remained strong and the unemployment rate has fallen back to pre-pandemic lows. With the stock of homes on the market still low, this has translated into continued upward pressure on house prices.
“Nevertheless, it is surprising that conditions have remained so buoyant, given mounting pressure on household budgets, which has severely dented consumer confidence.”
Mr Gardner said people's expectations of their own personal finances over the next 12 months have “dropped to levels last seen during the depths of the global financial crisis more than a decade ago” .
“Moreover, housing affordability has deteriorated because house price growth has been outstripping income growth by a wide margin over the past two years, while more recently borrowing costs have increased [although they remain low by historic standards],” he said.
A Nationwide survey of about 3,000 people in the UK indicated 38 per cent were either in the process of moving or considering a move.
Mr Gardner said the proportion was particularly high in London, where almost half said they were moving or considering a move.
Even in Wales, where the share was lowest, more than 25 per cent were either moving or considering a move, he said.
These figures are high considering that only about 5 per cent of the housing stock is turned over in a typical year in the UK, he said.