Taylor Wimpey Share Discussion Threads

[essentialinvestor] 20/6/2022 10:53

rogue, Vistry my sector favourite fwiw, not adding to that at current levels.

[sunshine today] 20/6/2022 10:52

Building materials can’t fall, so long as oil is at, or above todays price.

Wage inflation is going one way

Up.

Land valuations are going one way

Down.

New sites don’t stack up.

[stewart64] 20/6/2022 10:52

I did also try and point out that output had slowed on medium sized builders because of material shortages, a few days back. ( eg. a phase scheduled for 12 moths might take 14). Jugears replied saying that large builders are immune to shortages. I don't buy that. Delays are a big hit on margins.

[roguetraderuk] 20/6/2022 10:49

most commodities have rolled over. lithium and copper are holding up for now but you can see the roll building. there is going to be a massive round of price cutting to shift stock which has started in retail but will spread elsewhere. the last big penny to drop will be crude.

[essentialinvestor] 20/6/2022 10:46

rogue, they are as I think volume expectations will ultimately take a hit on weakening
demand.

[roguetraderuk] 20/6/2022 10:43

EI, building materials are now falling. look at kingspans statement. peak inflation in this sector is now past. the hbs had to raise prices to hold margins as material prices went up. now they will need to adjust prices lower as costs fall, but also demand drops. for a number of reasons, in the uk prices are better shielded than in europe, but you can still expect gains to drop to about flat y/y eventually.

[gaygay3] 20/6/2022 10:35

All HB taking a bashing today top of the FTS 100 fallers maybe £1 looks on time to buy more

[essentialinvestor] 20/6/2022 10:23

With respect people may be underestimating the impact of margins on HB profitability,
particularly with significant inflationary increases in building costs.

If property price increases are more difficult to achieve over the next 18
months, while building costs increase, then profitability can easily take a hit.

Read the last update from Ibstock on increases to UK brick prices, they have raised
prices twice already in 2022.

[sunshine today] 20/6/2022 10:15

Odd ; the smart money has been dumping for months !

Yet still, the bulls can’t understand.

[wfl1970] 20/6/2022 10:08

That's your £1.20 support gone...

[fenners66] 20/6/2022 09:56

From the DM re Rightmove

"Estate agents continue to report higher-than-usual demand for homes, with buyer demand for each available property more than double the pre-pandemic, five-year average for the month of May. "

"House asking prices hit fresh record for fifth month in a row but pace of growth slows and is set to halve to 5% by year end, Rightmove says "

Looks like the "experts" are entirely disagreeing with the troll's forecast of a house price crash this year, again.

Maybe next year , or the year after or next decade .....

Stopped clock is correct twice a day.....

[sunshine today] 20/6/2022 09:45

So how do you get investors interested in buying if your companies margins and profits are falling .?

[tuftymatt] 20/6/2022 08:54

I agree with that.

Estate agents have been chasing stock so will obviously give higher valuations in order to hopefully get the listing and then make a few quid more if it goes for the higher price.

The reality is though buyers are starting to try their luck and knock prices down a bit where they can due to all the doom and gloom news out there right now. Can't blame all concerned in the process really but as the saying goes " it's only worth what someone is willing to pay"

As I have said before I don't think we will see anything like a crash but a bit of flat lining is possible and some bargain stories too depending on how desperate sellers become / lucky certain buyers are.

[disneydonald] 20/6/2022 08:26

The reductions are not on new build. New build prices steady. Also, many second hand houses were put on the market at inflated prices, but didn’t have the quality to attract a sale. Just the market adjusting to normality.

[jugears] 20/6/2022 08:15

Yes, I have reported it to ADVFN

[rwlly1] 20/6/2022 08:11

Manny it is obvious you are claris and are trying to SCAM people.

[jugears] 20/6/2022 07:48

Buybadly, I note you quote islands & Londo, insidently the places that in the past have had extortionate valuations! & were obviously marketed by greedy estate agents & homeowners for well over the asking price IMO, why buy there when there is better value around the rest of the country?

[stewart64] 20/6/2022 07:48

Very little conversation on here about the pressures on profit margins. New houses have been a sinch to sell ( and still mainly are). However, profit margins are going to get hit badly. Some materials have risen 70%, and both materials and labour are a scarce resource. Wimps was traditionally at 20% profit margin ( before tax). 10% at the height of the Pandemic and 16% last time out. If it falls under 10% again in 2022 ( I think it might) when the sun is shining and NEW houses are selling easily, that will go down like a bag of sick on the Equity Market.

[fenners66] 20/6/2022 07:27

buywell where did you get that "info" from ?

[ppceh] 20/6/2022 07:15

Rightmove say that house price growth with slow but still grow at 5% (annualised) until the end of the year. If this turns out to be true then house builders are grossly oversold. Interest rates are likely to have peaked by year end and inflation should be falling

[rwlly1] 20/6/2022 05:02

Dont mention NEKT to me, very sore point. Went for 200k collorol shares at 10p instead of NEXT at 10p because city lads reckoned NEXT was going under and Collorol was a good recovery play. within a week Collorol had folded.

[rwlly1] 20/6/2022 04:52

Mandy One word SCAM

[buywell3] 20/6/2022 02:24

buywell has just conducted a survey of 3 different areas to see how many properties have come on the market in the last 3 days

Plus how many of those are in the 'Reduced' category


The areas chosen were

Bermondsey ( London)
12 of which 6 were reductions

Isle of Wight
46 of which 23 were reductions

Isle of Man
5 of which 2 are reductions

Hackney (LONDON)
50 of which 21 are reductions


The market is in crisis imo

Reductions in property prices are now running approaching 50% on a weekly basis

This %age is now accelerating over the last week

This is proved by looking at Hackney over a 7 day window V the last 3 days

Over the last 7 day window
150 new listings which includes 59 reductions

Over the last 3 day window
50 new listings which includes 21 reductions

There are now many higher priced properties sticking unsold

London will lead the way down first

dyor