Oct 22 (Reuters) - U.S. homebuilder NVR Inc ( NVR )

missed Wall Street estimates for third-quarter earnings per

share on Tuesday as higher lot costs and closing costs

assistance weighed on profit margins.

While demand remains strong, with more skittish buyers

returning to the housing market after some respite in the

popular 30-year fixed mortgage rate, large homebuilders have

kept their prices relatively flat due to still persistent

affordability issues.

Meanwhile land and developed lot costs have seen

inflationary gains, adding more pressure on margins.

NVR's gross profit margins declined to 23.4%, from 24.3%

last year.

Home deliveries in the third quarter ended Sept. 30 rose by

5% to 5,908 units.

Consolidated revenues rose 6% from a year earlier to $2.73

billion, above analysts' estimates of $2.66 billion, according

to data compiled by LSEG.

However, NVR's third-quarter earnings per share of $130.50

came in slightly below analysts' average estimate of $131 per

share, as per data compiled by LSEG, due to higher costs and a

higher effective tax rate.

Shares of the company fell about 2.7% in morning trade.

(Reporting by Ananta Agarwal in Bengaluru; Editing by Mrigank

Dhaniwala)