THE North West's housing market remains buoyant, but the outlook for the coming year is "more subdued", says the Royal Institute of Chartered Surveyors (RICS).

House prices and sales remain healthy despite falling in other UK regions, says the professional body.

During July, over one quarter of chartered surveyors (29 per cent) in the region saw house prices rise in the North West, where in many other UK regions respondents saw a decline.

Despite the number of homes on agents’ books in the North West falling to a new all-time low, 19 per cent of respondents reported a rise in sales activity during July (up from 15 per cent in June). Although a moderate increase, in most other parts of the UK sales activity fell during the month of July, says RICS.

North West agents reported an average of 45 homes on their books during July, which is disappointing for would-be buyers, given the summer period is usually the busiest time for the housing sales market, says RICS.

Comparatively, three years ago in July 2014 agents reported an average of 92 homes on their books and this was considered a ‘healthy’ amount.

However, despite the lack of homes for sale on the market, respondents reported a rise in the level of new buyer enquiries, demonstrating demand for home ownership is strong.

Simon Rubinsohn, chief economist at RICS, commented: "The most worrying aspect of the latest survey is the suggestion that subdued sales activity could continue for some time to come.

"One reason for this is the recent series of tax changes but this is only part of the story. Lack of new build in the wake of the financial crisis is a more fundamental factor weighing on the market. And there are some very real consequences for the economy from all of this including the impact on the ability of people to be mobile when looking for work."