House prices still rising, says Nationwide

House prices are still rising, according to the latest monthly survey from the Nationwide building society.

Prices went up by another 0.5% in May, pushing the price of the average UK home up to £169,162 which was £15,000 more than a year ago.

Annual house price inflation fell slightly last month though, from 10.5% to 9.8%.

But the Nationwide said prices might keep on rising modestly as few properties were being put up for sale.

"Housing market conditions remain characterised by thin transaction volumes and a relative scarcity of properties for sale, despite a slow return of more sellers in recent months," said the Nationwide's chief economist Martin Gahbauer.

"The current supply-demand balance on the market is still consistent with relatively stable to modestly upward trending prices."

source: 03 June 2010