The annual change increased to 2.4% in August from 2.1% in July, while the monthly change in July saw a 0.3% increase.

The average house price (non-seasonally adjusted), now sits at £265,375, compared with £266,334.

Amy Reynolds, head of sales at Antony Roberts, said: “One small interest rate reduction and the market responded instantly, even though it was August.

“It’s been a very successful month, with a large number of sales agreed in all price ranges at a time when agents usually complain it is quiet.

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“As the rate reduction was widely expected, we were ready — encouraging sellers to reduce their price, or launch their properties at the end of July/beginning of August, rather than wait until September as most would usually choose to do."

Tomer Aboody, director at MT Finance, added: “Any concerns or uncertainty there may have been pre-election dissipated in August as property market sentiment picked up, buoyed by the rate cut.

“High borrowing costs have been an issue for a while so with lenders trimming their mortgage rates and promise of more reductions from the BoE to come, this should lead to an increase in activity in the autumn.

“While there are concerns about what the Budget will have in store, the Chancellor has an opportunity to tackle stamp duty reforms to assist buyers and boost all-important transaction levels.

“Let’s hope she takes it, benefiting not only the housing market but the wider economy.”