New buyer enquiries remained high in July with a net balance of 63% reporting a rise rather than a fall; this is marginally lower than the previous month but still indicative of a growing level of interest in the market.
At the same time the levels of stock on estate agents’ books remains very low.
A positive net balance of just 2% suggests that vendors are still a little reluctant to put properties on the market.
RICS spokesperson Jeremy Leaf said: "Although demand for property is continuing to rebound, it still remains low from a historical perspective. Crucially it is the lack of supply that is helping to underpin prices at the present time.
"Significantly, the more positive news on prices – at least in some parts of the country – may prompt more properties to come on to the market. If mortgage availability remains insufficient to meet the increase in buyer demand, then it is possible that prices may slip back again especially if unemployment continues to rise and mortgage rates increase.
"The pattern emerging in the regions is very interesting, with more Chartered Surveyors in London, the South-East and the South West reporting rising prices, whilst those in the North are clearly experiencing a very different marketplace."
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