Rightmove signals move into mortgages as agency revenues rise

Rightmove is expecting more money from agents this year and is also looking to grab a slice of the mortgage market.

A trading update from the portal revealed its average revenue per advertiser (ARPA) is now expected to be between £112 to £116 for the year, up from £103 to £105 in previous forecasts.

Rightmove said the majority of the growth has been driven by new homes developers, who have extended their use of native search adverts and advanced development listing products to sell their developments.  

Estate agents have continued to build their pipelines using a mix of branding, lead-generation and property products, the update revealed.

Rightmove added that it is making “good strategic progress” with its mortgages business and last week launched its first broker product, to enable consumers applying for a mortgage to access brokered advice. 

Overall, it expects revenue to be up between 8% and 10% for 2023, with underlying profit growth of 7% to 8%.

Johan Svanstrom, chief executive of Rightmove, said:  "The momentum that we reported in July has continued through the third quarter and beyond. The strength of our performance against an uncertain market backdrop demonstrates the strength of the UK consumer affinity to our platform, the value of the established network effect of our business model, the depth and richness of our consumer data, and the value that our customers place in our products to build their businesses.

“It also illustrates the resilience of our business model in all phases of the property market cycle. We continue to look to the future with confidence and remain focused on the delivery of our strategic plans, both in our core business and in strategic growth areas.”