House prices rose for the first time in nearly a year last month but economists warned it did not mark the end of the slump.

Figures from mortgage lender Halifax today showed prices rose 1.9% in January to £163,966 having fallen for 10 months on the trot including 1.6% in December and 2.7% in November.

However, prices were still down a record 17.2% on a year ago, or nearly £33,000.

Estate agents said the monthly price rise was consistent with growing interest among buyers since New Year, particularly at the bottom end of the market.

"Crucially, this suggests the first-time buyer is starting to look again," said Daniel Lee, chief executive of property search engine Globrix. But economists warned prices still have further to fall.

"This is not a sign that the housing market is recovering," said Seema Shah at Capital Economics. "Not only are monthly house price indices volatile, but with the economy on course for the deepest recession in decades and unemployment soaring, house prices have much further to fall."

Halifax housing economist Martin Ellis said: "It is always important not to place too much weight on any one month's figures.

"Historically, house prices have not moved in the same direction month after month even during a pronounced downturn."