"While issues with affordability and supply remain, political and economic uncertainty linked to Brexit is more acute than ever."
Average house prices in the UK increased by 0.6% in the year to February, down from 1.7% in January, according to the latest UK House Price Index statistics.
This is the lowest annual rate since September 2012 when it was 0.4%, and the figures show that annual growth is now falling in Scotland.
House prices in Scotland fell by 0.2% over the year, down from a rise of 2.4% in the year to January 2019. The average house price in England increased by 0.4% over the year to February, down from 1.4% in January.
House price growth in Wales increased by 4.1% over the 12 months, while Northern Ireland house prices increased by 5.5% over the year to Q4 2018.
By region, the lowest annual growth was in London where prices fell by 3.8% over the year, down from a decrease of 2.2% in January, followed by the South East where prices fell by 1.8%.
The North West showed the highest annual growth, with prices increasing by 4.0%, followed by the West Midlands at 2.9%.
John Goodall, CEO of Landbay, commented: “You don’t need to be a housing analyst to see that falling prices in London are acting like an anchor, dragging overall house price growth down across the country.
“While issues with affordability and supply remain, political and economic uncertainty linked to Brexit is more acute than ever. The reality is we could have a combination of a new Prime Minister, a general election, a Labour government, or a second EU referendum in the coming months.
“This means that while transactions volumes continue to tick over, the truth is we aren’t currently in a buyers nor a sellers market. Therefore it’s understandable that many of those in a position to move are holding fire for now.
“However there have been price rises in key areas outside of London, which backs up Landbay’s experience that landlords are casting their net much wider than the M25 when it comes to searching for new properties.”