House values dropped two per cent over the course of last month, according to a newly released report.
Land Registry figures have revealed that this brought the annual rate of decline to 16.5 per cent, with the average price standing at Â£153,862.
The most significant fall was seen in the north-west, with values decreasing by 4.1 per cent in February.
And in London, the yearly fall reached 15.6 per cent, with a typical home costing just under Â£300,000.
While the drop may be bad news for homeowners facing negative equity – something that could lead to them seeking debt help – those looking to purchase property can benefit from lower prices.
Commenting on the data, Royal Institution of Chartered Surveyors chief economist Simon Rubinsohn said: “Lower prices and the cheap cost of money has begun to fuel an increase in buyer interest â€¦ although activity will still remain at relatively depressed levels.”
By Jamie Price