Taylor Wimpey Reports a Building Slowdown

Housebuilder Taylor Wimpey has followed recent trends and reported a 26% drop in completions and 21% fall in revenue.

This comes as average sales rates have also depleted.

The substantial challenges and apprehension surrounding buyers with mortgage affordability are having a tangible impact on the builders and Taylor Wimpey is no exception.

Recent Nationwide data has shown that house prices have fallen at the fastest rate since the financial crisis, highlighting the extent of the pain.

Taylor Wimpey’s pricing seems to be holding firm for now, but the scope of demand weakness will determine how long that’s the case.

With the worst of the financial pain from higher interest rates yet to fully feed through to households, this will definitely be something to watch.

Sophie Lund-Yates
Lead Equity Analyst at Hargreaves Lansdown

Sophie Lund-Yates, Lead Equity Analyst at Hargreaves Lansdown.