The average house price slid 2.3% in November, the largest monthly drop recorded by lender Halifax since October 2008.
The decline, which follows the mortgage market volatility seen in the wake of the mini budget, reduces the annual rate of house price growth to 4.7% from 8.2% the previous month.
Oil prices, meanwhile, are at their lowest level in nearly a year as the demand outlook is hit by recession warnings in the US economy.
