Wales house prices above pre-slump levels, Principality says
Principality director Tom Denman said the housing market was in "a pretty good place"
Media captionPrincipality director Tom Denman said the housing market was in "a pretty good place"
The average house price in Wales is now higher than in 2007 before the slump caused by the financial crisis, according to a new index by the Principality.
The average price in Wales is £174,319 compared with a peak of £170,142 in October of 2007.
The average price hit a low of £150,000 eight years ago.
The building society said it expected modest growth throughout 2017.
Unlike some other house price indexes from mortgage providers, the Principality uses figures from sales registered with the Land Registry rather than its own loans.
The rate of growth is lowest since 2013.
However, the Principality believes this might be distorted by a jump in house prices at the start of last year, ahead of the introduction of a 3% surcharge in stamp duty on second homes and buy-to-let properties.
Higher employment levels, continuing consumer confidence and record-low interest rates are factors behind the rise in prices overall.
The average has fallen in five areas in the past 12 months - including Cardiff, where prices fell 2.9%.
The increase in demand at the start of 2016 is probably a significant factor in this.