Connells posts £16.9m profit

The group said Connells Mortgage Services made a significant contribution to the results due to investment increasing the number of mortgage consultants from 275 to around 400.

It said it plans to expand further with a target of 450 advisers.

In June Connells recorded a 38% increase in mortgage sales compared to June 2010.

Stephen Shipperley, group executive chairman of Connells, said: “Our results at the end of June 2011 understate a performance and market that has improved as the year has progressed.

“Connells enters the second half of this year with a substantially increased sales pipeline for new homes, second-hand homes and mortgages than we had in January 2011.

“Our continued investments into areas like Mortgage Services are delivering substantial returns as demonstrated by increasing our mortgage sales by over a third since this time last year.”

Connells said it planned to “continue to develop its proposition to lenders” following its recent acquisition of conveyancing panel management provider LMS in a joint venture with LSL Property Services.

The Group also invested in new branch openings, expanding its lettings capabilities, new divisions including the estate agency sales centre based at its head office in Leighton Buzzard and acquisitions such as the recent joint venture with LMS.

In 2011 Connells said it had invested nearly £1m into new premises for its Connells asset management business and the growing estate agency sales centre.

Shipperley added: “We intend to maintain our market-leading position in providing high quality advice and expertise to customers regardless of fluctuations in the housing market.”