Rightmove flourishes in housing market downturn

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Rightmove, the property website, has seen a sharp increase in business as a result of the slowdown in the housing market.

Around 90% of UK estate agents now subscribe to the website, which charges A?325 per client to display property details.

Despite having increased charges by 30% this year, the company has seen a 39% rise in the number of new-build developments advertised on the site and the UK’s 20 largest housebuilders now use Rightmove.

A company spokesman explains: a�?The housing market isna��t doing very well, so people tend to think that Rightmove wona��t be doing very well. But because agents are having to work harder to sell properties, they are putting their discretionary spending where they get the best returns.a�?

Consequently, Rightmove believes it will be insulated from any downturn in the property market, unless estate agents begin to go out of business.

The website still only accounts for around 10% of countrywide property advertising revenues; the majority is still collected by local press.

In a recent trading statement, Rightmove forecast increased pre-tax profit for the current financial year, of between A?29.3 million to A?32.3 million. Last year, pre-tax profit stood at A?17.7 million.


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