Homebuilder Telford boosted by overseas demand

The group added that profit for the 2013-14 fiscal year was also anticipated to be ahead of expectations, having already pre-sold more than half its homes for the period.

London-based Teflord, which is focused on the east of the city where many of the Olympic events were held, said much of its business had come from overseas clients, who have stepped in and stimulated the market in the absence of financing for domestic home-buyers.

The firm said it had exchanged contracts on 218 open market properties in the six months to September 30, with 252 legal completions achieved at higher margins. The latter compared to 125 completions in the same period a year ago.

“The strength of London as a global city, its international appeal, transport connections and a shortage of new homes make the group’s area of operation particularly attractive, especially on the back of a very successful Olympic Games,” Telford Homes said in a statement.

Fellow housebuilder Bellway posted a bumper profit on Tuesday, up 57 per cent on the previous year, but also cited financing as a crucial challenge for the sector.

Telford said while mortgage finance availability had shown some signs of improvement, it expected pressures to continue.

The group said that profit in for the full year to end- March 2013 would be in line with expectations.