Annual house price growth in the UK accelerated to 11% in July, up slightly from 10.7% in June, according to new figures.
House prices rose 0.1% month-on-month, the 12th consecutive monthly increase, according to the Nationwide Building Society.
The average house price in July reached £271,209.
Robert Gardner, chief economist at Nationwide, said the housing market had been surprisingly buoyant so far, given the strains on household budgets and consumer confidence falling to record lows.
He added: “We continue to expect the market to slow as pressure on household budgets intensifies in the coming quarters, with inflation expected to reach double digits towards the end of the year.”
Marc von Grundherr, director of London estate agent Benham and Reeves, said: “You’d have thought that after feasting on mortgage affordability and stamp duty cuts during the pandemic , the appetite of home buyers in the country would be decreasing.
“Clearly this is not the case and even a series of consecutive interest rate rises have yet to taint their taste buds as they continue to pile their plates, pushing house prices to record highs in the process
“With the brick-and-mortar buffet on offer remaining insufficient in terms of the level of available homes, we can expect property prices to remain robust even in an uncertain economic environment.”
James Forrester, managing director of Barrows and Forrester, added: “Market momentum remains unwavering, having weathered a prolonged period of Brexit uncertainty, a global pandemic, rising inflation and the most incompetent Prime Minister to be remembered
“In hindsight, it seems nothing short of an apocalypse can bring the housing market to its knees.”
But HBB Solutions managing director Chris Hodgkinson said: “While house prices remain high, home sellers should fasten their seat belts as we are likely to witness to a period of intense turbulence before the end of the year.
“Buyer demand levels are already starting to wane and when the well dries up, home sellers will need to adjust their asking price expectations to secure a sale, as a perfect storm of rising mortgage costs , record inflation levels and the high cost of living are all putting pressure on the UK property market.”