HOUSE prices fell back from a record high in September with the first month-on-month decrease in more than a year, a report has revealed.

The average UK property price dropped 0.2 per cent to £188,374, down from the all-time peak of £189,306 recorded in August.

The survey, from Nationwide building society, said year-on-year house price growth slowed to 9.4 per cent in September, which was lower than the 11 per cent seen in August.

The monthly price decrease follows 16 consecutive months of increases, and ends the run of property prices across the country hitting fresh highs over the summer.

Typical UK house prices surpassed their 2007 peak in cash terms in May this year and up until this month they had been reaching new records ever since.

Despite the slowing pace of house price growth, every region across the UK recorded year-on-year house price gains, with the North seeing a 4.3 per cent rise.