November 2011: UK property prices increase
UK property prices rose slightly in November, according to the Nationwide House Price Index report
According to the data, house prices increased by 0.4 per cent in November, with the price of a typical home now 1.6 per cent higher than it was one year ago. 
The figures show that house prices are holding up despite the economic climate.
However, prices in London are very buoyant, and that will account for some of the 1.6 percent. The London market is driven by bonus money and non-domiciles seeking prime London property, whether as an investment or for residential use.
Indeed, some would say the central London housing market is having a very good year, with sales volumes and sales values both higher than prior to the start of the credit crunch - significantly in many cases. How much of this is down to the Olympics and how much is down to the fact that for many overseas investors, London has always been considered a safe haven in times of political or financial turmoil is hard to say.
Elsewhere, like the South West, there are not many properties coming onto the market, so scarcity of supply may help to underpin asking prices.
There are of course great regional differences and house prices in general will probably stagnate over the next year, with the south faring better, generally. 
Vendors may need to be more realistic about what their property will fetch if they are serious about selling.
M Luffingham: December 2011