Funding is being allocated to build more houses in Scotland

First Minister Jack McConnell said the issue was always raised during his travels throughout rural Scotland.

But Alan Ferguson, of CIH, said there was a danger of "merely patching up the dam" rather than making progress.

The executive has earmarked �18m from a �284m fund to create housing in the Highlands and Islands.

Mr McConnell announced on Monday that the island of Arran would receive �1.7m to build 16 new affordable homes.

The first minister said: "Affordable housing is an issue for all Scots, in every part of the country.

Quality affordable housing is vital to the well-being of individuals and to Scotland as a whole Alan Ferguson CIH Scotland

"However, when I visit rural communities it is an issue that is always raised with me.

"People tell me that they want to stay in their communities, but the lack of good, affordable housing is forcing them to leave - we must act to stop this.

"That is why we created the Special Rural Fund and I am delighted that, already, it is starting to deliver."

But the CIH said first-time buyers in Scotland were struggling to gain a foothold on the property ladder and that the level of council housing was at an all-time low.

The organisation claimed that for every social rented house built, four were being lost from the rented market.

Funding welcomed

Mr Ferguson said: "Naturally the recent announcement of the �10m Special Rural Fund for affordable housing and the �20m announced on Friday to help implement the Scottish Executive's review of affordable housing are welcome.

"However, with such announcements we are in danger of merely patching up the dam rather than looking to address the real issues of housing supply and affordability in Scotland."

Mr Ferguson urged the executive to carry out a "proper" inquiry into housing supply and affordability issues.

He added: "Without such an inquiry, well intentioned announcements from the executive may do little more than act as a finger in the dyke holding back the floodwaters of housing need.