Housing starts are set to rise to 155,000 from 125,000 this year - but will be insufficient to address the more rapid growth in population, RICS said.
We expect all areas of the country to see prices increase, with London, predictably, recording the biggest rises.
The improving economic picture aside, this is largely down to the fact that buyer numbers considerably outweigh the amount of homes on the market.
While the number of new homes being built is now on the rise, it still won't be anywhere near enough to meet demand and we expect the problem of insufficient housing stock to be the main driver behind price increases over the next 12 months.
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