Taylor Wimpey Share Discussion Threads

[fenners66] 30/6/2022 11:13

Clearly vs their need to reduce debt and the large profit they made in the previous year , this is relevant

"Partnership housing contract income

The Group continues to see increasing demand from affordable housing providers and BtR operators for partnership housing projects. Our partners recognise Inland Homes' ability to add value across all stages of these projects. One of the advantages of Inland Homes' flexible business model is that it allows the Group to book a profit on the land it sells and to make returns and generate cashflow from the resulting build contract over the medium term"

"The margins in the partnership housing contract income and the housebuilding division have not been satisfactory for some time. As a result, the Board commissioned an independent review of all projects under construction to identify areas for improvement. A number of recommendations were made and the Group has commenced changes in processes and controls to drive greater cost control. "


Reads as they had a lot of debt to shift , so sold their land to social housing with an upfront profit to gain cash flow, and are now suffering lower than anticipated margins on the build.

Just goes to show , one should read the accounts and be mindful of balance sheet strength when stock picking.

[fenners66] 30/6/2022 11:10

ST - you were very selective on Inland Homes

But

""Our valuable land portfolio and expertise in securing planning consent on these sites is enabling us to maximise the opportunities presented by the strong land market and the wider-market undersupply of new homes. We continue to see high demand from affordable housing providers, Build to Rent operators and other housebuilders for our high-quality land assets and build capability. "

"While the UK housebuilding industry is facing some headwinds in the short term, we believe there is a drastic shortage of consented sites in the South and South East that is exacerbated by a highly complex planning system which places high demands on developers. Resultantly, the Group, with its valuable land portfolio, is well placed to continue to make further significant progress on its strategic objectives in the second half of the year."

[rwlly1] 30/6/2022 11:10

That is because agricultural land is being inflated by rollover money from inflated building land prices, which is where it is because builders have been able to bid each other up because of overpriced property.

[jugears] 30/6/2022 10:46

you wont get cheaper homes unless we build more & land becomes cheaper & as like me you probably own land & know that its not coming down in price, I remember buying land for 2k an acre & thinking that was very expensive but now look at prices, Recessions or not, houses, Land & good shares are all good guaranteed long term investments, I have never lost on any even buying at what at the time seemed the peak.

[rwlly1] 30/6/2022 10:35

Yes these first time buyers are getting shafted twice once by having to pay inflated prices for their homes, and secondly higher taxes for the privalage.

[jugears] 30/6/2022 10:25

Yes of course we are not getting cheap food as we are paying for it through taxes!
St contractors that build for developers like housing association work on very tight build cost, they do not own the land & benefit from the profits from the overall build, unlike hb's that own the land, & take the overall profit from the completed home. if a house costs 100k to build,that's what the contractor gets , less materials & labour, If the land cost 100k & the house sells for 300k the hb makes 100k, but agree there are many contractors going bust now because on jobs like schools, care homes, doctors surgery s, hospitals, social housing etc build costs have increased but can't always be passed on to the client due to fixed price contracts, If an hb's build cost increases then so do house prices, if demand falls then they don't build as many or build at a slower pace, simple really!

[rwlly1] 30/6/2022 10:19

No JUG, We have become acustomed to expensive property at the expense of the tax payer.

[sunshine today] 30/6/2022 10:10

Just as predicted yet another low .

Inland homes reported today, contractors going bust,in fact they can’t even build on behalf of social housing landlords , without taking a thumping loss.

On the subject of contractors take a look at the sheer numbers going down the pan on a weekly basis.

Remember it only takes just one contractor used on a few sites, to go down and the site stops dead.

TW bragged about forward sales, but the penny is about to drop that all the extra profit they thought they had through higher house prices is being eaten away by massive jumps in labour and materials.

Site fuel has doubled going from red to white diesel.

[jugears] 30/6/2022 09:34

Midnight farmer, so we have become acustomed to cheap food at the expense of the tax payer buying the food?

[claret dragon] 30/6/2022 09:01

The next inflation report will give an indication if rates go up again.

Any move up in the IR and then the pain will be a drag on House prices and stocks.

I cant see policy committee doing anything as the effect is just too bad to

contemplate.

[rwlly1] 30/6/2022 08:22

Farmers get subsidies to keep prices down Housebuilders get subsidies to keep prices up simple as that.

[jugears] 30/6/2022 08:18

For the same reason that hundreds of other firms are currently doing!why do the government waste money giving farmers subsidies, if you can make it pay close,my company has never received one hand out, not even during covid where quick actions & diversification enabled me to retain all my staff, we even managed to grow our turnover & profits.

[rwlly1] 30/6/2022 05:30

To prop up the share price.

[buywell3] 30/6/2022 03:11

Can anyone explain, using their own words in a couple of simple easily understood sentences why TW. carried out the recent buyback program

What was the point of it ?

thanks in advance

[rwlly1] 30/6/2022 03:01

JUG You would make a better comedian than ramper, you keep repeating the same rubbish day after day.

[jugears] 29/6/2022 20:57

Yippy I get to buy more cheap shares then, the rich get richer as they say.
Midnight farmer no offence taken I'm looking 18 months to two years in front but you old chap should stop trying to clutch at straws, your starting to sound as desperate as buy badly & sickly & no offence but I very much doubt you know one ene of a cow from another!

[sikhthetech] 29/6/2022 19:22

Nah, HBs shares will still go significantly lower..

BoD buying doesn't stop the housing market from crashing.

[beckers2008] 29/6/2022 19:20

With the TW. CEO and Chairman both buying around £25k's worth and the NED buying around 30k's worth all under the NAV of £1.25 in the last few days.
We could be at the bottom of the current cycle in share price terms?

[rwlly1] 29/6/2022 18:41

I think they can see a bit further ahead than you can JUG, no offence.

[beckers2008] 29/6/2022 18:32

Jugears,

Don't you go confusing the Sikh troll on the subject of interest rates, he hasn't a clue, he's an idiot with Zero credibility, lol, just lol!

[jugears] 29/6/2022 18:26

Midnight farmer why would tw need to cut dividend to preserve cash?
Sikh take in to account the people that slip through the net & the whole of the uk population is nearer 80 million, as far as interest rates are concerned, I said in real terms!!!

[buywell3] 29/6/2022 17:37

Canada inflation rate gallops to near 40-year high, calls for supersized rate hike mount

Rampant inflation means Bank of Canada must raise rates above 3%

Canadian Real Estate Prices Expected To Drop 24%, Can Crash 40%: Oxford Economics

Some NZ homeowners may hit negative equity if house prices drop 15%

Auckland have already recently dropped 12%

14/6/2022 · Property prices PLUNGE by up to 20% across parts of US as buyers shun the market

UK property prices now having a cliff edge moment imo

[beckers2008] 29/6/2022 17:18

Nice to see another NED buying just shy of £30k worth at £1.18986.
This is 5% below the NAV at £1.25.

Directors of a few house builders have been adding lately. Does this signal the bottom of the current share price cycle?

[beckers2008] 29/6/2022 15:17

The troll 'Sikhthetech' doesn't even know the difference between the BOE base rate and the bank to bank lending rate. The troll is a proven fool.
The troll has been banging on about a house price crash for over 2 years.
On the PSN BB. The troll now thinks that what I post manipulates the SP!, What, really, lol!

The troll has Zero credibility and is an idiot, lol, just lol!