Spain, the Republic of Ireland and the US have seen the largest reported increases in distressed property listings in the past three months, according to the latest RICS Global Distressed Property Monitor.

The Royal Institute of Chartered Surveyors (RICS) found that two third of the countries surveyed are expecting an increase in distressed property listings for the second quarter of 2011. The outlook remains negative in Spain, Ireland, Hungary and Italy as poor economic conditions continue to weigh on the real estate markets in these countries

Spain takes the top spot in terms of expected distressed property listing, reflecting the country's gloomy economic situation.

According to RICS monitor, Poland and Russia saw the largest drop in the levels of distressed property coming to the market during the first quarter of 2011.

Russia, Poland and China expect the lowest number of distressed properties for the second quarter of 2011.

Germany also experienced a decrease in distressed property levels, despite very high expectations at the end of last year, the report suggests.

'As the global economy continues to strengthen, central banks now begin to address the spectre of rising inflation. In some markets, this threat is compounded by the continuing European sovereign debt crisis,' said RICS Chief Economist Simon Rubinsohn.

'As a result, many central banks are thinking of tightening or have already tightened their monetary policy. This brings new challenges for the commercial real estate market, which explains why the distressed property forecast remains cloudy.'