HOUSE prices in Yorkshire continue to rise as demand outstrips supply.

A survey by the Royal Institute of Chartered Surveyors shows that, in the three months to October, price rises were running at more than double the long-term annual average of 10pc.

They are expected to continue to rise until the end of the year, with price inflation in Yorkshire and Humber hitting its strongest pace for six months.

In the Yorkshire region, 71pc more chartered surveyors reported a rise in prices than reported a fall, with the region second only to the northern region, where the figure was 81pc.

The national figure for the month was 54pc, while in London it was 14pc.

The average number of properties available for sale continues to remain low, at 56 per chartered surveyor in Yorkshire and 63 per chartered surveyor estate agent nationally.

Phillip Mills, of Norman F Brown in Bedale, said that properties introduced to the market continued to sell quickly.

"It would appear that stock levels will be low in the new year as only a limited number of houses will be placed on the market during November and December," he said.

Edward Astin, of Edward G Astin and Associates in Whitby, said the market continued to be very buoyant with no sign of a decline in general.

Other North Yorkshire chartered surveyors were more cautious.

Malcolm Parker, of Joplings in Thirsk, said: "Demand is still strong for properties up to £200,000, with a chronic shortage of available properties at the lower end of the market.

"Purchasers seem to be aware that the market is quietening down and are negotiating over price."

Looking ahead, chartered surveyors expect price rises to continue for the next three months, with 36pc more contributors expecting prices to rise than fall, against 34pc last month, although uncertainty over the Middle East means contributors are less positive about prospects into the spring of next year.

The expectation for prices is not maintained for sales, with only 17pc more contributors expecting sales to rise rather than fall, less than the 24pc last month.

RICS national housing spokesman, Ian Perry, said: "The market continues to power ahead. Despite many pundits speculating on how much longer rapid price rises can be sustained, they show no signs of slowing down before the end of the year.

"The on-going shortage of suitable property for sale and low interest rates remain the key factors driving up prices."

Meanwhile, in the North-East, house prices are expected to continue to rise until the end of the year.

In Bishop Auckland, the market is still buoyant, with a shortage of good quality larger houses, but there are signs of a slow down in Durham City, which is starting to see more price reductions.

A spokesman said: "For those already on the housing ladder, affordability does not appear to be a problem, while interest rates remain at their present levels.

"But high price inflation means many first-time buyers are being forced to find ever bigger deposits if they want to make that all-important first step, or look to the lettings market in the short term."