Mortgage aid schemes help housebuilder Bellway grow

Marion Dakers
HOUSEBUILDER Bellway said yesterday demand for its properties is rising, helped by new sales outlets and the government’s NewBuy mortgage scheme for first-time buyers.

The firm said it completed sales on 2,597 homes in the six months to the end of January, a rise of 5.8 per cent on last year.

The average price has also risen 2.3 per cent to £187,000 as Bellway builds on higher margin land snapped up during the financial crisis.

Bellway has spent a further £145m on land during the period, agreeing heads of terms on around 4,500 plots.

The NewBuy and MI New Home mortgage indemnity schemes have boosted demand for its houses, Bellway said, and helped lift its weekly reservation rate from 89 to 97.

These programmes now account for 11 per cent of deposits taken by Bellway.

The firm is upbeat for the coming year, forecasting five per cent sales volume growth.

Shares in FTSE 250-listed Bellway closed up 3.5 per cent at 1,161p yesterday.