Rightmove Forecasts Positive Growth in UK Housing Market Amid Increase in Sales and Customer Numbers

Rightmove, the UK’s largest property portal, is predicting a more positive year for the UK housing market. With a slight increase in customer numbers compared to 2023, the company expects a 2% year-on-year rise in customers, a shift from an earlier prediction of a “slight decrease”. Despite challenges such as high mortgage rates and long transaction completion times, Rightmove reports that customers are now increasingly looking to transact.

Sales agreed between January and April have seen a significant 17% increase compared to the same period last year. Rightmove is forecasting 1.1 million sales to occur over the course of 2024, with the highest annual house price growth in 12 months at 1.7%. These positive figures were released as part of a trading update ahead of the company’s annual shareholder meeting.

The housing market shift is further evidenced by a recent surge in rental market activity, with an 18% jump in listings availability in the first four months of 2024 compared to the same period in 2023. Rents have also increased by an average of 7.6% year-on-year.

Johan Svanstrom, Rightmove’s chief executive, expressed optimism for the property market in 2024, citing differing dynamics across various segments. While the company revised its forecast for average revenue per advertiser lower, its overall annual revenue and profit expectations remain unchanged.

The Bank of England’s recent decision to maintain a base interest rate of 5.25%, the highest since 2008, indicates that interest rates are likely to remain stagnant for now. Despite these challenges, Rightmove remains hopeful for a successful year ahead in the UK property market.