Following the Crest Nicholson interim results published this morning, Samuel Mather-Holgate of Mather & Murray Financial, John Choong, from InvestingReviews.co.uk and Graham Cox, from SelfEmployedMortgageHub.com have all commented.
Samuel Mather-Holgate of Swindon-based advisory firm, Mather & Murray Financial: “This is the latest in a series of house builders showing weaker results, and although Crest Nicholson sell the case for buying property, it’s with a shaky voice. They also set the case for the Bank of England pivoting, which we all know to be true apart from the governor, Andrew Bailey. Crest also deliver a shot across the bow of the Tories, effectively saying they are unimpressed by the lack of a housing policy.”
John Choong, an equity analyst at InvestingReviews.co.uk: “Just as housebuilders were showing encouraging green shoots in their Q1 updates over the past few weeks, Crest Nicholson’s latest trading update and the recent fiasco surrounding higher mortgage rates have now put the better-than-expected outlook for the housing market in jeopardy. Having said that, there may be some light at the end of the tunnel, judging by the management’s outlook for the rest of the year. However, this optimism may prove misplaced if inflation doesn’t fall as fast as anticipated and if the Bank of England continues to hike interest rates at a rapid pace.”
Graham Cox, founder of the Bristol-based broker, SelfEmployedMortgageHub.com: “Desperation emanates from every word of Crest Nicholson’s trading statement, as they implore the government to do something, anything, to stem the tide. No doubt they would love Help to Buy to make a comeback, as they’ve made huge profits off the back of it over the past decade. It would, however, be a huge mistake, which is not to say the government won’t make it, particularly with the Tories languishing in the polls. What really helps people buy is cheaper house prices. Help to Buy only increases them.”