HOUSE prices are rising faster in the North than in the South, according to a survey published today.

Figures compiled by the Royal Institution of Chartered Surveyors (RICS) show more surveyors in the region reported an increase than in the traditionally stronger markets of London and the South-East.

In the North, the difference between surveyors reporting a price rise in February and those recording a fall was 32 per cent. This was up eight per cent on the previous month, suggesting a recovery from the sluggish period last year.

In comparison, the difference in London was only two per cent, the RICS poll found.

Yorkshire and Humberside showed a 16 per cent difference, and the North-East recorded ten per cent.

Neil Mortimer, partner in Northallerton estate agents Harmer Mortimer, said there had been a general price rise among all property types.

He said: "We're experiencing quite a steady increase and the semi-detached houses seem to be where the greatest shortage lies.

"We have got a fairly buoyant market right across the range and we're consistently selling more than we're taking on, leading to a shortage of choice for buyers."

Semi-detached homes selling for £70,000-£75,000 two years ago were now fetching £90,000.

But, in contrast, John Wilson, of Appletons, in Stockton, said prices in some areas had stood still.

RICS spokesman Ian Perry said: "The housing market is buoyant at the moment. There are signs this will continue, as there is traditionally an upswing in activity in the market at this time of year.

"But uncertainty over the economy does remain a dark cloud on the horizon.

"Last year, the North of England did not have the large swings in prices seen in London and the South-East, and the market has correspondingly been more settled."

He said the foot-and-mouth outbreak would have a dampening effect on sales in rural areas but was unlikely to have a lasting impact.

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