Bellway Posts Rise in Home Completions in First Half

British homebuilder Bellway has projected that it will deliver further volume growth in the current fiscal year after reporting an increase in the number of homes that it completed as well as its reservation rate in the first half.The company, which has its headquarters in Newcastle-upon-Tyne, said that it completed 4,462 homes in the six months ended January 31st, up 6.5% from the prior-year period, according to a trading update published on its website on Tuesday.

At the end of the period, its order book had 4,487 homes for a value of 1.12 billion pounds ($1.39 billion), compared with 4,434 homes worth 1.03 billion pounds a year earlier. The company said that the reservation rate was 166 homes per week, an increase of more than 6% compared with the same period last year.

The overall average selling price of completions fell slightly to 256,000 pounds from 257,280 pounds in the prior year period which the company attributed, in part, to a greater proportion of ‘lower value social homes’ than in the prior year period. It said that these kinds of homes made up almost 21% of completions, compared to 13% in the same period of 2016. The overall average selling price is still expected to rise to around 260,000 pounds for the year ending July 31st 2017, the company said.

By Bucky Rini