Thursday 14 September 2017

Help-To-Buy Scheme Aids Some Buyers, But Boosts Builders Even More

Housebuilder Redrow says it’s looking forward to working with government to consider the future of the help-to-buy subsidy scheme beyond 2021. You bet it is. Since former chancellor George Osborne in 2013 committed to helping homebuyers purchase new properties with a deposit of only 5%, Redrow has reported record profits every year. The latest annual numbers – and a share price that has improved threefold since 2013 – shows how wonderful life has become for big housebuilders. Operating margins are running at 19% and return on capital employed has hit 26%. About 40% of its private sales are to help-to-buy purchases, which is typical for the sector. Read more on the Guardian website.

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