HOUSE hunters are returning to the Northern Ireland residential market - but face slim pickings according to the latest RICS and Ulster Bank survey.
The October survey points to another drop in supply of available homes with the number of home buyer enquires continuing its upward trajectory.
New properties coming on to the market fell for the third time in four months - consolidating a trend which began over two years ago - while enquiries rose for the second consecutive month.
This follows five successive months of decline in the lead-up to and just after the EU vote.
As a result, sales expectations for the three months ahead eased and prices continue to edge upwards, fuelled by the constrained supply.
Detailed findings presented a headline price balance for Northern Ireland of +37, meaning that 37 per cent more surveyors said that prices rose in the past three months than those who said they fell.
The price expectations balance was +33, remaining in positive territory for the fourth consecutive month, while sales expectations data (+23) remained healthy despite having eased since the previous month's data.
Meanwhile, the new buyer enquiries balance at +26 remained positive for the second month in a row.
However, enquires didn't always follow through to instructions stage, with the new instructions balance in negative terrain (-26) for the third time in four months.
RICS residential property spokesman, Samuel Dickey, said the "dire shortage" of available housing in the north was pushing prices upwards, "regardless of the uncertainty linked to discussions around Brexit".
"We need to see measures put in place to increase housing supply," he said. "This is a vital part of addressing long-term economic and social need in Northern Ireland."
Despite rising prices, however, Ulster Bank also reported an increase in mortgage-related enquiries.
Sean Murphy, managing director of branch banking at Ulster Bank said: "With a very low interest rate environment, it is an affordable time to borrow and we are seeing a growing number of mortgage enquiries.
"New or existing customers can take advantage of the some of Ulster Bank’s lowest mortgage rates on offer, including 1.94 per cent on a 60 per cent LTV two-year fixed rate deal with no product fee.
"With limited housing supply, the challenge for buyers is to find quality, affordable homes to meet their needs."
