- New homes sold increases 38 per cent
- Average selling price rises as market improves
- Forward sales up 35 per cent

Housebuilder Persimmon said total forward sales revenue increased 35 per cent from 2013 as it starts off its new financial year on a strong footing.

The York-based firm said it has around 7,200 new homes sold forward into the private sale market for 2014, up 38% from the same point last year. The average selling price rose 3% to £200,400 amid an improving UK market.

Current total forward sales now stand at £1.87bn for 2014, which includes legal completions taken so far this year.

The FTSE-100 house builder said the new financial year has started well with visitor levels to its sites up 10% over the previous year during the initial 15 weeks of trading.

It said cancellation rates over this period continue to run at historically low levels and its build activity continues to support the improved rates of sale.

It remains confident of delivering further growth in the number of new homes legally completed for 2014.

The group also revealed that around 5,000 new homes have been sold to customers using mortgages associated with the government sponsored Help to Buy shared equity scheme in England. The scheme reached its first anniversary on April 1st 2014. Persimmon said it welcomes the extension of Help to Buy from March 2016 to March 2020.

The group also announced that it has recently signed an extension to its £300m revolving credit facility to a new maturity date of March 31st 2019.

The company said it continued to make progress with its so-called Capital Return Plan, announced in February 2012. Subject to shareholder approval at the annual general meeting, the second payment of the Capital Return Plan of around £213m, or 70p per share, will be paid to shareholders on July 4th 2014.



CJ

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