In all but one month in the past year, annual house price rises have been higher than 10%, the Nationwide said. Across the UK, it said the average house price in April was £267,620.
The UK housing market is continuing to see demand for properties outstripping the number of homes on the market. Employment levels have also been relatively steady, despite the pandemic, which has helped to keep demand high, said Robert Gardner, Nationwide's chief economist. A survey for the building society suggested that 38% of those asked said they were either in the process of moving or considering a move.
Samantha Bickford, mortgage specialist at Plymouth-based Clarity Wealth Management, said: "I have not yet personally seen buyers or sellers becoming more nervous given the cost of living crisis. First-time buyers are still keen to get on the property ladder."
However, Gardner said that the cost of living squeeze would eventually have an impact. "We continue to expect the housing market to slow in the quarters ahead. The squeeze on household incomes is set to intensify," he said.
"Moreover, assuming that labour market conditions remain strong, the Bank of England is likely to raise interest rates further, which will also exert a drag on the market if this feeds through to mortgage rates."
