House sales have hit a record average low of 11 per estate agent in the three months to November, according to the Royal Institution of Chartered Surveyors (RICS).

It blames the mortgage shortage for the slump, saying the credit crunch is stifling the ability of buyers to raise the finance they need.

But despite the bad news, 20% more surveyors expect sales to improve during the next three months - up from just 4% in September - than the number who think they will worsen.

The optimism is due to sellers being increasing prepared to drop their asking price, plus a likely jump in the number of homes being repossessed.

Although the rate of inquiries from new buyers is still falling, it eased for the sixth month in a row during October, with the number of sales agreed following a similar trend.

London has seen the biggest fall in sales, with chartered surveyor estate agents selling an average of only six properties each during the three months to the end of October, while those in East Anglia and Wales have sold an average of just nine homes.

But sales levels are more buoyant in the North East, with agents there completing around 16 transactions each.

Surveyors in London are optimistic that sales levels will pick up during the coming quarter, with a balance of 37% expecting a rise, while 47% of surveyors in the South West also expect to see an improvement.

A Government spokesman said: "We are focused on overcoming the current difficulties in the housing market, and ensuring support is in place to help vulnerable households and first-time buyers.

"We have taken action to support first-time buyers aspiring to enter the market by increasing opportunities to buy a share of a home, as well as protecting the most vulnerable families with a new mortgage rescue scheme.

"We are constantly looking at what more we can to do to ensure stability and fairness into the market, and working to ensure building societies and banks pass on recent cuts in the interest rate."

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