The cost of the average home has gone above a quarter of a million pounds for first time, new data shows.

The latest Nationwide house price index reveals a 9.9% annual growth, with prices up 0.7% from last month.

That pushes the average home up from £248,742 in September to £250,311 in October, breaking the quarter million mark.

The average property price is now more than £30,000 up on the pre-Covid figure.

Robert Gardner, Nationwide's Chief Economist, said: "Demand for homes has remained strong, despite the expiry of the stamp duty holiday at the end of September.

"Indeed, mortgage applications remained robust at 72,645 in September, more than 10% above the monthly average recorded in 2019. Combined with a lack of homes on the market, this helps to explain why price growth has remained robust."

However, he added that the outlook remained 'extremely uncertain' with a number of factors suggest the pace of activity may slow.

Consumer confidence has weakened in recent months, partly as a result of a sharp increase in the cost of living. It is also predicted that the Bank of England will raise interest rates this week, which would increase the cost of mortgage repayments.

Experts are suggesting the Bank Rate will rise from its current record low of 0.1% before the end of the year - most likely to 0.25% or 0.5% - and perhaps reaching 1% within a year.