Activity in the housing market remained flat during July, with house prices slipping further, according to the latest RICS UK Housing Market survey.

RICS report that 22% more chartered surveyors reported that prices fell rather than rose in July. While this represents a slight improvement on June’s net balance of -26, this reading has now remained in negative territory for over a year. Large deposits required by lenders appear to be a stumbling block for many would-be buyers.

New instructions, which saw a slight upturn during the early part of the summer, fell back in July, with 7% more surveyors reporting falls rather than rises in new houses coming onto the market. With prices continuing to slip, it appears that many potential vendors are unwilling to accept reduced selling prices, so are reluctant to enter the market.

Across the country, London continues to buck the national trend as the only region to report a positive net balance for house prices, with 30% more surveyors reporting rises rather than falls. The West Midlands and the East of England saw the most negative readings, with net balances of -44 and -40 respectively. Meanwhile, the capital recorded the strongest level of new buyer enquiries, again outperforming the rest of the UK.