Bellway PLC (LSE:BWY) has guided its house price forecast higher than previously and said it still expects to build 10% more homes this year.
“Market conditions and customer confidence are strong,” the housebuilder said.
Average selling prices rose by 2.8% to £311,800 in the six months to end January 2022, with private sale demand rising by 3.8%.
Completions edged up to 5,694, with an order book of 6,628 homes worth £1.94bn.
House prices for the year are now expected to average more than £300,000 including social housing, said the housebuilder, with the upgrade driven by mix and what it said are pricing benefits.
Jason Honeyman, chief executive, added it was a strong first half as the builder had to battle labour, material and fuel shortages and COVID-19 related absenteeism.
“Going forward, Bellway is on track to deliver its target volume growth of around 10% this financial year and further growth to around 12,200 homes in the financial year 2023, “ he said.
Bellway had net cash at the halfway point of £196mln.