Barratt Redrow PLC's (LSE:BTRW) third-quarter update was "solid" and "steady", analysts said, with the external factor of mortgage rates likely to be the key factor that could make or break how the housebiuilding sector performs and is rated by the market.
Shares in the FTSE 100-listed group rose 1.4% to 433.8p by late morning.
Analysts at Stifel called the trading statement a "solid" one, with a reported sales rate of 0.62 for the quarter that was 2% ahead of the prior year.
It "implies that March was marginally slower year-on-year, but March was a strong month last year, and it is likely the group pushed a little harder for price this year".
With the full-year outlook maintained, Stifel said it is "encouraged by the first view of cost inflation" for the 2026 financial year, at only 1-2%, while reports on the wider housing market suggest mortgage availability is improving.
Fellow broker Peel Hunt called it a "steady as she goes" statement.
"We see no reason to change our forecasts at this stage and continue to watch the moves on mortgage rates closely as we believe this is a key swing factor for demand in the next 12-18 months, along with any possible new government policy changes (eg a new help-to-buy product)."