Annual house price growth slowed in the UK last month, according to the Nationwide building society.
Prices grew at an annual rate of 2.2% in February, the lender said, down from January’s figure of 3.2%.
The drop in the annual rate came as house prices fell by 0.3% in February compared with the month before.
Nationwide said the slowdown in the annual rate was consistent with signs of softening in the household sector in recent months.
“Retail sales were relatively soft over the Christmas period and at the start of the new year, as were key measures of consumer confidence, as the squeeze on household incomes continued to take its toll,” said Robert Gardner, Nationwide’s chief economist.
“Similarly, mortgage approvals declined to their weakest level for three years in December, at just 61,000.
“Surveyors report that new buyer enquiries have remained soft in recent months,” he added.
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