The rate of house price increases could soon rise above 10% a year, the Nationwide building society has said.

Its latest survey shows that the average UK house price rose by 1.2% in January, pushing the annual rate up to 8.6%.

It means the average UK home now costs £163,481.

Separately, the Land Registry survey revealed that the annual change in property prices showed a rise for the first time since May 2008.

It said that the year-on-year increase was 2.5% in December, following an eighth consecutive monthly rise.

Source: BBC News