BUZZ-Foxtons leads UK housing sector rally after Goldman upgrade

** Foxtons shares up 4.2% and among the best performers on the FTSE midcaps after Goldman lifts stock to "neutral" from "sell" as part of a broad reshuffle of their recommendations across the UK housing sector

** Broker, which says recent data continues to support its positive view on newbuild sector's fundamentals, says selective value remains after strong run (Thomson Reuters UK Homebuilding index 2% shy of mid-August record, +42% YTD)

** GS continues to expect conditions in land market to remain favourable & reiterates its belief that limited and gradual interest rate hikes are less likely to structurally impact housing market fundamentals

** Key ideas are the mid-sized builders; upgrades Crest (BSE: CREST.BO - news) Nicholson to "buy" v "neutral", sees 45% upside for stock which it adds to Conviction Buy list, shares up 2.3% on Wednesday

** Already had "buy" ratings on Bovis & Bellway , sees 39% & 28% upside respectively for the cos (shares up 0.5% & 1.8%)

** GS downgrades both Taylor Wimpey (LSE: TW.L - news) & Redrow to "neutral" after solid outperformance (up 50% & 65% YTD respectively) (RM (LSE: RM.L - news) : vikram.subhedar.thomsonreuters.com@reuters.net)