UK house prices increased by 1.2% in January, according to the latest information released by the Nationwide building society.

House prices have now risen for nine months in succession and the average UK home now costs £163,481.

"House prices strengthened their upward momentum at the start of 2010, increasing by a seasonally adjusted 1.2% month-on-month in January," said Martin Gahbauer, the Nationwide's chief economist.

"Unless there is a fall in property values in February, annual house price inflation is likely to move into double-digit territory next month for the first time since May 2007."