Activity in the housing market has been "unseasonably strong" this month, forcing prices higher as the number of properties for sale dwindles, a report released today shows.

Hometrack, the housing information business, says that house prices rose on average in November by0.6 per cent compared with the previous month, picking up speed from the 0.4 per cent increase recorded in October. This latest acceleration takes house price inflation over the past 12 months to 5.3 per cent, the highest since August 2004.