Britain's Redrow said today that housing demand was moderating to historical levels following two strong years for the sector as UK housebuilders brace for a tough market, hurt by rising mortgage rates and a worsening cost-of-living crisis.
The UK housing sector has shown signs it is losing some momentum.
Surveyors are reporting fewer new-buyer inquiries in recent months as mortgage approvals for house purchases fall below pre-pandemic levels.
"Given rising inflation and higher interest rates, it is not surprising the buoyant housing market has moderated recently and demand has returned to historically average levels," non-executive Chairman Richard Akers said in a statement.
The FTSE 250 firm retained its annual revenue guidance for the 2024 fiscal of £2.3 billion to £2.4 billion.
The company, which has started focusing on high-return regional businesses, said underlying pre-tax profit jumped 31% to £410m for the 53 weeks to July 3, while revenue climbed 10% to £2.14 billion/
Redrow, which now focuses on "heritage" suburban homes that feature designs and finishes popular in the late 19th and early 20th centuries, declared a final dividend of 22 pence per share.
