The latest drop over the three months to September has prompted the institution to puts it weight behind mounting pressure on Government to boost house building.
According to the latest RICS construction market survey a net balance of 4% more chartered surveyors reported falls in private sector housing workloads rather than rises.
The picture is even worse for public sector housing where 11% more respondents said that work levels had dropped.
Overall general construction workloads were flat over the quarter.
The housing sector has now failed to see any real growth in almost five years.
RICS said it hoped the recently announced £10bn stimulus package will go some way to boosting badly needed development.
Across Great Britain, all areas failed to see any significant growth with the exception of the Midlands, where overall workload readings reached their highest level since early 2010 (net balance +10%).
Simon Rubinsohn, RICS chief economist, said: “Without doubt, house building is continuing to struggle and last quarter was predictably difficult for construction firms.
“The government’s stimulus package will hopefully deliver a much needed shot in the arm for the sector, but we would like to have seen a greater level of investment in housing.
“Not only would this provide relatively swift economic returns but it would also go some way to alleviating the pressure on the country’s worryingly low supply of homes.
“However, with the raft of measures recently put in place by the government, it appears that there is some optimism that things could improve over the next twelve months.”