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Redrow has become the latest housebuilder to indicate that the current global credit crunch is impacting upon its business.

In a statement ahead of its annual general meeting, the company warned that it had seen only a "modest" seasonal uplift in reservation rates for its houses in September and October.

Having previously warned that higher interest rates appeared to be hitting the confidence of potential homebuyers ahead of the autumn selling season, Redrow said that consumer sentiment had been further influenced by the credit crunch that has emerged in recent weeks.

Commenting on the situation Redrow chairman Alan Bowkett warned: "Customers appear to be waiting to assess the prospects for both the housing market and mortgage interest rates and lenders are taking a more cautious view as regards lending criteria."

"Until we can determine the extent to which the housing market will be affected by the prevailing conditions it is difficult to assess the likely outturn for the year to June 2008," he added.

Nonetheless Redrow, which expects the group's first-half legal completions to be around 2,000 homes, stressed that the prices it achieved for its properties in September and October were "generally consistent" with its plans.

The housebuilder also said that actions it had taken over the past financial year to make its business more efficient and promote long-term growth were standing the group in good stead.

Redrow has focused on keeping costs down and actively managing its investment in land in order to optimise value for its shareholders.

Yesterday Bovis Homes revealed that the recent turmoil in the financial markets had hit its sales, while rival Taylor Wimpey warned last week that it expected the UK housing market to remain "subdued" over the next year.