House prices fell 0.1% on a quarterly basis however increased 2.2% from February figures.
Martin Ellis, housing economist at Halifax, said: "House prices in the first quarter of 2012 were little changed compared with the final quarter of 2011, showing a decline of just 0.1%. This was the same as the slight fall recorded between the third and fourth quarters of 2011.
“The underlying trend therefore indicates broad stability in UK house prices. The more volatile monthly figures continue to fluctuate as a result of the historically low level of sales volumes, increasing by 2.2% in March following February's 0.4% fall.
“Efforts by first-time buyers to beat the expiry of the stamp duty holiday at the end of March have probably increased sales in recent months and may have helped to support prices.
“We continue to expect little overall movement in prices this year provided that the UK economy does not suffer a pronounced weakening.”
Liya Fateh, director at MeetMyAgent, said: “Taken at face value, the almost endless stream of house price indices seems to be suggesting that house prices are yo-yoing up and down. One set of data is up, the next is down.
“With such a lack of consistency in the numbers, both buyers and sellers should approach them with caution. The volatility is down to a sad but inescapable fact - the number of property sales is very low.
Russell Quirk, director of the national estate agents emoov, added: “Seen against Britain’s bleak economic backdrop, even mild growth in house prices is an encouraging sign.
“March’s bounce in sales and an increased level of buyer interest should encourage more sellers who have been waiting to market their home to get off the fence.
“The small incentive provided in the run-up to the end of the stamp duty holiday may be gone, but both buyer confidence and mortgage availability are slowly improving. Nevertheless progress is tentative and job insecurity is hanging over many would-be buyers.”
Kristjan Byfield, director of sales and letting agents, Base Property Specialists, said: “The mad spike in March was a combination of extremely low sales volumes still skewing the figures and the brief rush to beat the stamp duty deadline.
“The danger is that seeing headline price rises like this will make sellers even more unrealistic about their asking prices. People read the headlines and they act accordingly.”
“The truth is that the UK property market is a pastiche of micro markets.”
“Move just three streets to the right and a property can be worth hundreds of pounds per square foot less or more.
“The sooner we stop talking about a UK market, the better, because it's that far off the mark.”
