It calls houses it sells for an average of £515,000 CHEAP!
“The FTSE 250 company builds both private homes for sale and undertakes regeneration of housing estates. It said that in the year to September 30 it built 53pc more houses for sale than the year before, from 783 to 1,197 homes, while completions in its ‘partnerships’ arm increased by 17pc.
It expects this division, which is being helped by Government grants and other policies, to soon be the biggest part of the business. Ian Sutcliffe, the chief executive, said: “This means we can grow the business faster because we’re not waiting behind a sales rate to build and it gives us greater resilience. When the market starts to turn [our output of affordable and rental homes] won’t slow down but could increase.”
The company added that customer demand had remained strong, boosted by low interest rates and the Help to Buy programme, which has just been extended by the Government, and which is used on 53pc of Countryside’s private sales.
Mr Sutcliffe added: “We’re really pleased with the Government reaffirming support for housing, and not just private for sale, but affordable too, which plays really well to our business.”
The average selling price of Countryside’s private homes for sale fell by 23pc to £515,000 in the period, as part of its plan to reduce exposure to the subdued higher end of the market, which is suffering from slower sales rates. Its order book increased by 8pc to £242.4m, and it boosted its land bank. …”