House prices continued their post-lockdown recovery in August, notching up their highest monthly rise in more than 16 years, says the Nationwide.
“House prices have now reversed the losses recorded in May and June and are at a new all-time high,” said its chief economist, Robert Gardner.
Prices rose by 2% last month, it said, taking the average price to £224,123.
The Nationwide said the recovery in housing market activity had been “unexpectedly rapid”.
It said the increase in August was the highest since February 2004, when house prices rose by 2.7%.
As a result, annual house price growth accelerated to 3.7%, from 1.5% in July.
Rival mortgage lender, the Halifax, had already suggested a similar summer rise in prices.