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House prices still rising, figures show
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House prices have increased for the second time in three months, figures from Nationwide show.

The building society revealed that typical house prices increased by 1.2 per cent in May, which it believes signals an improvement in the wider market.

"The three-month-on, three-month rate of change - a smoother indicator of short-term price trends - rose from three per cent in April to reach -0.5 per cent in May and now stands at its highest level since January 2008," noted Martin Gahbauer, Nationwide's chief economist.

He added that the short-term trend makes it difficult to say the market is definitely improving, with unemployment and tighter lending criteria yet to be illustrated in the figures.

In May, Nationwide said the national average house price stood at £154,016, marking an increase from the £151,861 in the previous month.

The Land Registry announced earlier this week that its house price index for April would be released on June 1st.ADNFCR-1100-ID-19193582-ADNFCR

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Date Published: 29 May 2009

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