House prices in Wales are rising faster than at any time since the late 1980s, according to the Principality Building Society.

But according to its end of century report, there are significant variations across Wales with the hottest spot in Cardiff.

The Principality - Wales's largest financial organisation - has released figures which show house prices have grown by 6.9% in 1999 compared to just 3.3% a year before.

The building society says it is the strongest real increase since the property boom of the 1980s.

In south east Wales, house prices rose by 9.3% and as much as 10% in Cardiff.

In some parts of the city, a house worth �400 in 1950 was worth �70,000 at the end of the century.

Throughout the rest of Wales though, reported increases are not as dramatic. In north Wales prices rose by 4.8% , in mid Wales by just over 4% and in West Wales, by just over 3%.

The Principality, which also owns the Peter Alan chain of estate agents, says it is quite likely the feel-good factor in the capital will start to ripple out to other parts of Wales.