Commenting on the figures, Robert Gardner, Nationwide's chief economist, said: "The price of a typical house fell by 0.2% in April, which left prices 1.3% lower than the same period of 2010. The three month on three month measure of house prices, a better measure of the underlying trend, showed a modest rise of 0.6%.
"Since November 2010 house prices have increased in three months and fallen in three months. However, it is not unusual to see a pattern of modest monthly increases and decreases when the market is fairly static, as has been the case since last summer.
"There is still little evidence to suggest that price declines will accelerate in the months ahead. While the UK economy only managed a modest bounce-back at the start of the year, after the weather-induced contraction in late 2010, the economic recovery is expected to gather momentum."
Nicholas Ayre, director of Home Fusion, said: "The property market is simply mirroring the erratic nature of the economy and confidence. Positive data followed by negative data, confidence up, confidence down.
"Rationalise it all you will, but nobody really knows what is going on, whether the economy is recovering or on the cusp of a further decline. The same applies to the property market.
"The Nationwide suggests the economic recovery may gather momentum but then we have this week's poor manufacturing data. The March of the Makers seems to be stuck in the mire.
"Given the state of demand, it's certainly not surprising that prices have fallen again.
"In a climate of high unemployment, high living costs and, sooner rather than later, higher interest rates, the demand for property is understandably low.
"As ever, there are isolated spots around the country where the property market is healthier, and sought-after properties in London are still commanding good prices.
"But overall, from a UK perspective, the property market is still very much on the back foot."
