Bellway to hit milestone despite signs of cooling

Bellway has said it is on track for a full-year sales milestone despite signs that Britain’s property market is faltering as it confirmed cooling price growth.

The Newcastle-based housebuilder said that, while pricing was generally “firm”, the rate of growth had eased back in 2018.

It added that customer demand has been hit for large and higher value homes in certain areas, prompting the use of incentives to boost sales.

But the group said it was on track for “substantial” full-year earnings growth and record house sales of more than 10,000 in spite of the price pressure.

Bellway’s comments came as rival Crest Nicholson confirmed its profit margins are under pressure from stalling prices and rising build costs, with the squeeze set to continue into next year.

Crest reported a 2 per cent fall in half-year profits to £74.8 million.

Recent house price surveys have confirmed the Ukpropertymarketingeneral is struggling to gain traction.