The bank’s latest house price index said property prices had grown by 0.4% between February and March 2015. This is a return to growth following the 0.4% price drop between January and February.
The average house price in the country now stands at £192,970.
Annual growth was 8.1%, a fall compared to the 8.3% recorded last month and well down on the peak of 10.2% seen last summer.
Looking at the market on a quarterly basis, property prices in the first three months of the year were 2.6% up compared to those recorded in October, November and December.
The market was buoyed by an increasing number of mortgage approvals in the previous month, the bank stated.
Martin Ellis, housing economist, said: “House prices in the three months to March were 2.6% higher than in the previous three months. This measure of the underlying rate of house price growth increased for the third consecutive month in March.
“Annual price growth, however, fell slightly again, from 8.3% in February to 8.1%, and is comfortably below last July’s peak of 10.2%.
“The recent return to real earnings growth for the first time in several years, very low mortgage rates and last December’s stamp duty changes are supporting housing demand. The rising level of house prices in relation to earnings should, however, curb house price growth and activity. The annual rate of house price growth, which has continued to ease in the first quarter of 2015, is forecast to end the year at 3-5%.”