This is the fastest annual rate of house price growth since April 2015, while it represents an increase from 4.7% in September.
The fastest growing regions were in London and the South East, although East Anglia experienced the strongest growth of any region with a prices rising by 6.2% annually to £241,284.
Richard Sexton, director of e.surv chartered surveyors, said: “While many commentators are forecasting significant house price growth in London and the UK in the coming years, these need to be viewed in historical context and we’re unlikely to see a return to the unsustainable rises of the past decade.
“Most current predictions are still a slowdown from the past five years of growth, and overall since September 2005 average prices across the country have soared 43.5%, while average property values in London have more than doubled, jumping 104%.”
The index also revealed that sales of homes worth over £1.5 million down 35% year-on-year as the Chancellor’s stamp duty changes bite.
Sexton added: “The Chancellor’s intimidating stamp duty remodel is still spooking the top end of the London market.
“This tax has really put the shackles on the prime market in the capital, as three quarters of these sales since January 2014 took place in London.
“The implications can be seen in the 12.6% annual drop in prices in Kensington and Chelsea, while prices in the City of Westminster have also fallen, 5.5% year-on-year.
“Stamp duty has had strong implications for the South East too, with prices dropping in other typically more expensive areas, such as Windsor and Maidenhead.”
