UK house prices rose slightly in July, ending a three-month period of declines, but annual growth slowed as uncertainty continued to weigh on the housing market.
Prices increased by 0.1% in July compared with the previous month, according to mortgage lender Nationwide Building Society.
However, prices were 1.8% higher than a year earlier, down from annual growth of 2.2% in June.
The figures were broadly in line with economists' expectations.
Nationwide's chief economist, Robert Gardner, said the housing market remained under pressure from an uncertain economic outlook.
"Geopolitical tensions remain high," he said, adding that the conflict between Iran and the US had pushed up energy prices and market interest rates in recent weeks.
The latest figures came a day after the Bank of England held its main interest rate at 3.75%.
Governor Andrew Bailey said the central bank was not moving towards an interest rate rise, although financial markets are pricing in the possibility of at least one quarter-point increase before the end of the year.
The prospect of higher rates has been linked to concerns that the conflict between the US and Iran could generate stronger inflationary pressures than the Bank of England currently expects.
Higher borrowing costs can weigh on demand for homes by making mortgages more expensive, while broader economic uncertainty can also make potential buyers more cautious.
The modest rise in July therefore marks a mixed picture for the UK housing market: prices have begun to stabilise, but annual growth remains subdued.
