
House prices in the UK increased in the year to February, new figures show.
House prices in the UK increased in the year to February, new figures show.
England and Wales were the driving force behind the rise as house prices in Scotland and Northern Ireland declined over the same period, according to the data published by the Office for National Statistics (ONS).
There was a 1.9% year-on-year rise in house prices in February, with 11 consecutive months of year-on-year rises, suggesting confidence is returning to the residential property market.
The average UK house price held steady at £233,000 in February after a 0.7% fall a month earlier, the figures show.
In England, a 2.1% rise saw the average house price hit £242,000, while in Wales a 4.1% hike saw the average price reach around £160,000.
Homebuyers carrying out a property search in Scotland or Northern Ireland may have found they were able to get more for their money, however, as prices continued to decline.
The ONS data shows house prices fell by 1.2% annually to around £177,000 in Scotland, while in Northern Ireland they dropped by 7.7% to reach a typical figure of £125,000.
House prices have fallen over the past five years in Northern Ireland, following on from a surge in prices prior to the financial crisis.
A year-on-year slide of 0.1% in the North West was the exception to the rule in England, where the biggest annual rises were seen in London (5.9%), the North East (2.4%) and the South East (1.4%).
Meanwhile, a breakdown of lending figures released by the Council of Mortgage Lenders (CML) suggests the first part of 2013 has seen the most significant levels of first-time buyer activity - a key indicator of wider market vitality - since 2008.
The CML figures suggest first-time buyers have consistently accounted for two-fifths of house purchase loans in the last six months and prices paid by first-time buyers were typically 1.6% higher in February than a year earlier at an average of £173,000.
The typical price paid by an existing homeowner in February was £269,000 after a 2.1% year-on-year increase.
Jonathan Harris, director of mortgage broker Anderson Harris, said the reported increase in first-time buyers is "good news" but expressed concern that rising prices could potentially prove prohibitive for those at the bottom of the property ladder.
Nevertheless, there has been a significant increase in mortgages available to first-time buyers since the launch of the Funding for Lending scheme last August.
Martyn Haden who heads up the Strutt & Parker Chester office said that, even though prices have increased, people still have to be "realistic about the value of their home". Wales has seen the greatest price increase of all the UK nations, however he stresses that there are limited sales across the region and most of these are at the affordable end of the market.
Historically, Wales offers better value for money than England and Hayden believes that the news will create a positive attitude from buyers who, at times, have been "cautious" when it comes to commitment.