Taylor Wimpey sees more 'sustainable' housing market

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For Sale signImage source, AFP

Housebuilding firm Taylor Wimpey says it has a record order book and has started the new year in an "excellent position".

Last year, the firm built 6% more homes - 12,454 in total - with their average price up 12% at £213,000.

In a trading update to stock market investors, the firm said it was benefiting from a "more sustainable housing market".

It said a key factor was that house price inflation had been slowing down.

"In the UK, we have an environment of sensible mortgage regulation and a reduced risk of UK interest rate increases in the near term," said chief executive Pete Redfern.

"We are encouraged by the more balanced market conditions, with a lower rate of price growth, which should create a healthy and more sustainable housing market."

Taylor Wimpey said at the end of 2014 it had orders for 6,210 new homes, worth £1.4bn.

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