Never ever buy a freehold new build house without having the Land Registry TP1 document fully explained to you by an independent lawyer. They are apparently scamming buyers from the start by selling them fake-freehold properties according to at least one ex MP. Make your own mind up though : |
go back to 13/april/23 post 651 then post 690
dyor |
Added at £22 on advice of a different broker who said switch out of Berkeley. |
 From Citywire today.
I have to acknowledge a curious reluctance to replace what I sold a few months back at a comfortably higher price
quote
Bellway (BWY) is at the beginning of a five-year recovery programme but there are better housebuilding plays elsewhere, says Berenberg.
Analyst Harry Goad retained his ‘hold’ recommendation and target price of £32 on the Citywire Elite Companies A-rated stock. Trading at £22.54, the stock was little changed on Friday afternoon, but is down about 17% over 12 months.
Goad said the group was ‘at the early stage of a five-year recovery programme in which we see it delivering 11,500 houses per annum by 2029, roughly back to the level it was last at in 2022’, which will trigger a recovery in margins.
Although the recovery is ‘considerably slower’ than the pace of declines suffered in 2023 and 2024, Berenberg believes it ‘appropriately balances the tailwind of recovery with various ongoing challenges on affordability and costs’.
‘We expect average profit before tax growth of 20% per annum over this period, with the group retaining a strong balance sheet,’ said Goad.
‘We thus maintain a positive outlook for the group over the mid-term but keep our “hold” rating as we think there are more compelling ideas elsewhere in the sub-sector.’ |
XD 38p this week. |
Gilt yields on fire today which will put upwards pressure on mortgage rates, hence BWY taking a beating. Will the Labour budget unintentionally detonate the housing market? |
Prelims have taken Bellway to a 3 yr high. Despite profit fall. |
Perhaps Vistry need to hire a company to post fake positive reviews all day long ?
Vistry half year results 5th Sept
Redrow results 11th Sept |
If you are using trustpilot as your metric then they score average 3.9 from 5,593 total reviews.
Whilst taylor wimpey score 4.0 barratt 4.4 persimmon 4.5
Linden Homes 600 reviews 2.6
Bovis Homes Group •384 reviews 1.9
Countrysidepartnerships 821 reviews 2.2
So if you think this is a valid metric then Beazley sit somewhere in the middle.
The newest reviews for Vistry are much more negative, but the weakness of using Trustpilot is that it generally attracts people who feel strongly , which in the case of buying the largest purchase of your life is likely to be emotive. If you are quietly happy with your house you are probably not going to bother posting. A cross-sectional survey like Which do is about as close as you can get to a true customer satisfaction metric.
Wouldn't want to work in a housebuilders complaint dept. |
I wonder how unusual the issues are at that site, looks like some vociferous complainers and a receptive bbc in quiet news day.
Show me a snag free house. |
getting some bad press today due to poor construction and multiple snagging issues at Cambridgeshire site |
So glad they have pulled out. I guess that they might and bought in on anticipation. |
Bellway Reviews
FAKE FREEHOLDS ?
Read the TP1 Land Registry document
Read the Covenants in the TP1
Read of the uncapped unregulated management fees for so called ‘freehold’ houses.
Then RUN. In my personal opinion only. |
They put a brave face on it, but Friday's update was grim, especially since the only bright spot seems to be increasing buyer interest due to supposed rate cuts. The bank of england is likely to keep them unchanged this month according to most bets.
Halving the dividend when the business has now got net debt of £57m points augurs badly for the future. After the last 12 months the business has £100m less cash. What are the odds they cancel it completely in six months? I would say better than even. |
Encouraging update |
Should jump like a scolded cat on this upbeat news |
Good of them to catch up a bit
26th Feb
‘ CMA finds fundamental concerns in housebuilding market’
‘ Concerns around estate management charges ‘ |
Should I listen to this?
MP :
“The large property developers…..are scamming people from the start” |
Personally I don’t see any real value in the houses due to a possibly uncapped unregulated management ‘Estate Charge’ in the so called freehold? Also in the TP1 are ‘Estate Regulations’ which must be complied with and which are subject to change ‘from time to time’.
Quote from TP1: ‘ At all times to comply with and observe the Estate Regulations’
Freehold is supposed to mean free from any hold. But it’s certainly not free from hold on the new build estates imo. I don’t see how anyone would want to buy such a house if say an uncapped Estate Charge quadrupled.
As a buyer, looks to me like you have to become a ‘member’ of ‘The Management Company’, so if you want to complain via the courts about anything, looks to me like you basically have to pay to complain about yourself ?
For the above reasons I believe this is a SELL.
Dear oh dear |
Customer confidence continued to improve which led to a lower cancellation rate of 16% (2023 - 20%) for the whole of the first half and a reduction to a normalised level of around 13% during January 2024
The above was one of several that suggests that things improved in January |
‘ The Group has delivered housing revenue of over £1.25 billion (2023 - £1,804.9 million), in line with the Board's expectations.
Total housing completions reduced by 28.1% to 4,092 homes (2023 - 5,695), with the decline reflecting the generally weaker trading conditions experienced since late summer 2022 and the lower order book at 1 August 2023.’ |
‘ net cash at 31 January 2024 was £77 million4 (2023 - £292.5 million). ‘
292 down to 77 in 12 months ? |
UBS raises Bellway price target to 2,980 (2,530) pence - 'buy' |
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