Countryside Properties says demand for the group's houses has recovered well after the shock of 11 September caused a slowdown in the UK housing market.
Chairman Alan Cherry was bullish about the group's prospects at Countryside's annual general meeting last week. He said the average selling price of a Countryside house had jumped 48% to £260,000 in the last three months compared with the same period last year.

Cherry added that inquiries for the group's homes over the last three months were 25% higher than the same period last year, and the number of reservations was up 18%. Interest in Countryside's urban regeneration schemes was particularly high, and that they were filling faster than they could be completed.

Cherry said: "Homebuyers are undoubtedly being attracted to the group's ever-improving designs and the very high quality of the environments we are creating."

Countryside said last November that it was concentrating resources on its residential schemes because the slowdown in the commercial sector. Cherry said the shortage of affordable housing in the UK was set to worsen, which was good news for the group because of its strong landbank.

He said: "Trading is encouraging, market fundamentals are favourable and our own forward sales position is strong." Countryside posted a pre-tax profit of £30.4m to 30 September last year on turnover of £404m.