DEMAND is continuing to outstrip supply in the Scottish housing market, according to a new report.

A net balance of 32% of chartered surveyors reported a growth in new buyer inquiries last month, the latest Royal Institution of Chartered Surveyors Residential Market Survey found. However only a net balance of 1% reported an increase in new instructions for properties coming on to the market in June.

Continued demand was also reflected in the net balance (those reporting a rise minus those reporting a fall) for newly agreed sales, regarded as a good indicator of market activity.

The study said this has shown a steady pace of growth since February 2013.

Respondents also perceived banks to be lending less.