House sales are stuck at their lowest ebb in spite of government measures to boost the sector, according to Bellway.
The housebuilder has been selling between 50 and 60 homes a week throughout the summer, translating into one sale per active site per month.
The sales are stuck at about half last year’s figures, when the Northern Rock debacle was already having an impact on volumes, but prices have come down from £173,000 to less than £170,000, and could yet fall to £150,000.
The sales slump comes in spite of Bellway offering nearly £7,000 worth of incentives for every home, including part-exchange on old properties or cash payments to cover mortgage fees. The housebuilder, said that it was cutting prices by 25% at some developments after an unprecedented decline in the housing and mortgage markets
Financial Times, The Times