Great news in the new build housing market with some great figures released from one of the UK's largest house builders, Persimmon. Annual profits have risen by nearly a quarter, and it has described the market as very “confident”.
Persimmon sold over 15,000 new homes last year, 599 more than in 2015, with average prices rising by 3.8% to £206,765. It also added that 2017 has got off to a promising start, with encouraging activity from potential home buyers.
Persimmon stated that "The UK new build housing market remains confident with customer demand for new homes supported by compelling mortgage products." However, it added that it remained "wary of the risks and increased uncertainties associated with the EU referendum result".
Interestingly Government policy in the name of the ‘Help to Buy Scheme’ remained a vital component of their sales with 6,970 (or nearly 46%) coming from first time buyers through this scheme.
Laith Khalaf, a senior analyst at Hargreaves Lansdown, said “The UK's housebuilders have had the wind at their back for some time now, with the government Help to Buy scheme boosting transaction numbers, while a chronic housing shortage has pushed prices up too.
"Looking forward, the UK housing market shows little sign of pausing for breath in its steady upward climb, and low-interest rates are likely to remain supportive for the foreseeable future."
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