Bovis Homes reports rising profits

Bovis Homes has confirmed a big rise in its profits for the first six months of the year.

It was announced by the company that its profits jumped by 19 per cent to £18.6 million in the six months to the end of June.

Average prices were revealed by Bovis to be up 15 per cent to £188,500 and the firm said it has already sold 90 per cent of its homes for this financial year. As a result of this, Bovis stated that it expects profits for the full year 2013 to be up "significantly" on 2012's data.

Bovis Homes chief executive David Ritchie stated that buyer sentiment has been improving, partly due to the government's Help to Buy scheme.

However, some economists believe the UK could be heading for another house price bubble as the value of property is being artificially inflated.

Despite announcing a strong rise in profits, the share price of Bovis Homes is slightly down in the early stages of trading this morning (August 20th). As of 08:29 BST, its stocks were selling 0.13 per cent down on the start of the day.

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