The figures were released in the Nationwide's latest monthly housing report.

The society's monthly housing index rose just 0.1%, down from 0.6% growth in October.

Property prices in November were 6.9% higher than a year ago, the lowest annual rise since September 1996.

The Nationwide's Divisional Director of Planning, David Parry, said: "As expected the housing market has experienced a further weakening, with annual house price inflation declining to its lowest level since September 1996."

This slowdown in property inflation has been matched by a decline in housing market activity.

House sales have continued to fall and are about 8% lower than in the summer, according to the Nationwide.

Mr Parry said: "The lack of quality properties coming on to the market and the cooling in demand suggest that activity will continue to fall over the next couple of months.

"Our view remains that this downturn will be relatively modest. Much of the recent slowdown in activity and prices has been due to the fall in consumer confidence seen since mid-year, rather than an inability on the part of housebuyers to enter the market.