Redrow shares rocket on soaring UK house prices make

Spacex rocketREUTERS/Scott AudetteThe unmanned Falcon 9 rocket launched by SpaceX, on a cargo resupply service mission to the International Space Station, lifts off from the Cape Canaveral Air Force Station in Cape Canaveral, Florida January 10, 2015.

Redrow shares rocketed on Feb. 17 after soaring 10% in the market open.

The house builder revealed that sales jumped 54% to a record £560.6 million over the first half of its financial year as Britons couldn’t get enough of its properties.

It also said that 14% more people snapped up homes for an average of £300,000, which is up from £262,000 a year earlier.

This is above the national average of £271,000.

“Our policy of retaining capital to concentrate on growth continues to reap the benefit, with a further substantial rise in both turnover, up 54% and pre-tax profits, up 92%,” says Steve Morgan, Chairman of Redrow, in a statement.

According to the group, the government’s stamp duty reforms will boost demand and orders.

Last year the Conservative-led coalition scrapped the old slab stamp duty tax system and installed a model that is more like how income tax is calculated.

The new stamp duty calculations will make it cheaper for 98% of Britons buying a house because only those purchasing a property over the bracket of £1 million.

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