This was the third consecutive increase in prices on this measure of the underlying trend and was the same as the increase in January.
Prices in the three months to February were 1.9% higher than in the same three months a year ago. This was the second successive rise in this annual measure and was the biggest increase since September 2010 (2.6%).
House prices increased by 0.5% in February. This followed a small fall in January (-0.3%).
Commenting, Martin Ellis, housing economist, said:
"The housing market continued to provide evidence of improvement in February. Prices in the three months to February were 1.9% higher than in the previous three months. This was the third successive increase in this measure of the underlying trend. Prices were also 1.9% higher than in the same period a year ago.
"House sales also continue on a modest upward trend. This increase in both house prices and activity in recent months is consistent with evidence of some improvement in market conditions. The more than half a million increase in the number of people in employment over the past year is likely to have been a factor supporting housing demand.
"We expect to see a national increase in house prices over the course of 2013. Weak income growth and continuing below-trend economic growth, however, are likely to remain significant constraints on housing demand."
Mark Harris, chief executive of mortgage broker SPF Private Clients, says:
"The housing market presents a confused picture. On the one hand, prices continue to rise on a monthly and quarterly basis, according to the Halifax, and on the other, lending fell in the final quarter of last year, according to the Bank of England.
"It is worth remembering that national averages also conceal significant regional differences, with prices falling in parts of the country while rising in others. The north-south divide grows ever wider.
"Lenders continue to cut mortgage rates, undercutting each other almost on a daily basis. While this is good news from the borrower's perspective, particularly those with big deposits, we also need to see some easing of criteria in order to make mortgages more accessible. This is surely the next move for lenders, many of whom tell us they have had enough of a rate war and the pressure to constantly offer the cheapest rates.
"More options at better rates at higher LTVs are filtering through, and we need more of these to support the first-time buyer market."
Jonathan Samuels, CEO, Dragonfly Property Finance, commented:
"Few will see this fairly upbeat reading by the Halifax as the beginning of a market recovery. The overall economic backdrop remains challenging and consumer confidence is still delicate.
"There has definitely been a rise in activity levels in recent months and the relatively robust jobs market will surely have contributed to this. Soaring demand for buy-to-let property is also driving up prices. Landlords are snapping up property left, right and centre in a bid to secure the high returns available.
"Despite the annual change of 1.9%, the property market remains very fragmented. Certain areas, primarily London and the South East, continue to strengthen whereas much of the North remains under pressure.
"If there are signs of recovery, those signs are certainly not applicable to all areas of the country. Average house prices may well finish the year higher than at the beginning but the data is likely to be skewed by the outperformance of the capital."
