House prices soared by the equivalent of £65 a day last year, a survey has revealed.

Britain's booming property market saw prices rise by just over 25 per cent in 2002 and analysts predict that growth is set to continue, although not at the same pace.

The news was backed by the record books which revealed that last year witnessed the fastest year of house price growth since 1989.

The North is expected to outstrip the South during the coming year as London is likely to feel the pinch first.

The survey from Nationwide Building Society showed last month experienced good growth with the average cost of a home increasing by 1.7 per cent to £117,206.

The building society is expecting further double digit growth this year, predicting house prices will rise by ten per cent during the next 12 months.

But it added that while some regions could see the cost of property surge ahead by 15 per cent, it was highly likely that some parts of London and other hotspots would see price falls.

In terms of local authorities, Selby topped the growth league with house prices soaring by 66 per cent during 2002, followed by Blyth Valley in Northumberland with growth of 63 per cent.

Yorkshire and Humberside saw the strongest overall rise with house prices 35 per cent higher during the final quarter of 2002 than for the same period the previous year.

Further North, prices were up 27 per cent.

Going forward Nationwide expects prices in the capital to grow by five per cent during the coming 12 months, while in the North it expects rises of about 15 per cent.