The latest figures from the Halifax have suggested that January saw an increase in the average house price - but warned that it did not necessarily signal the start of a recovery.
House prices increased by 1.9 percent in January, according to statistics released by the Halifax.
The average home now costs £163,966, but this is 5.1 percent down in the three months to January and 17.2 percent lower than a year before. Halifax stressed that the monthly figure should be considered as a one-off.
"It is always important not to place too much weight on any one month's figures," said Halifax housing economist Martin Ellis. "Historically, house prices have not moved in the same direction month after month even during a pronounced downturn. There are some very early signs that market activity may be stabilising, albeit at quite a low level."
The Halifax figure is at odds with a survey released last week by Nationwide, which recorded a 1.3 percent drop in house prices in January. The lender cited fears over redundancy as a reason for people to avoid buying homes.
Unemployment in the UK is widely-expected to rise this year as the recession takes hold, and the Council of Mortgage Lenders has suggested that repossessions could rise markedly as a result. The government has taken steps to try to limit repossessions as much as possible, while homeowners have been advised to talk to their lender as soon as they think they may be in trouble.
