Annual house price growth remained steady at 2.9% in the year to February, the latest Halifax House Price Index (HPI) has shown.

This figure was unchanged from the rate of annual growth in January although the average UK house price did however see a slight monthly dip of -0.1%, following a 0.6% increase in January.

Halifax revealed that the price movement means the average property price for a UK home stood at £298,602 in February, compared to £298,815 in the previous month, edging down by £213.

Head of mortgages at Halifax, Amanda Bryden, said that February's figures highlighted the “delicate balance within the UK housing market”.

“While there’s been talk of a last-minute rush on new mortgages ahead of the changes to stamp duty, inevitably we’ve seen some of the demand that was brought forward start to fade as the April deadline ticks closer, given the time needed to complete a purchase,” Bryden said.

She added that this could explain why growth in first-time buyer property prices eased in February, falling to +2.4% according to the HPI, in contrast to home mover price inflation which accelerated, reaching +3.7%.

“While house price growth has slowed overall, market activity remains strong and comparable to pre-pandemic levels, demonstrating a resilience amongst buyers that’s been evident in the face of higher borrowing costs,” Bryden continued.

“While those affordability challenges persist, the ongoing shortage of housing supply coupled with sustained demand suggests property prices will continue to rise this year, albeit at a more measured pace compared to last year.”

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