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Finance

UK's Rightmove sees 2027 revenue growth similar to 2026 due to homebuilding slump

Published by Global Banking & Finance Review

Posted on November 6, 2026

2 min read

· Last updated: November 6, 2026

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Rightmove Projects Flat Revenue Growth into 2027 Amid Weak UK Homebuilding

Rightmove Revenue Forecast and Market Challenges

Revenue Growth Outlook

Nov 6 (Reuters) - British property listing firm Rightmove on Friday said it expects revenue growth in 2027 to be similar to 2026 , pressured by a slowdown in new home construction amid affordability pressures and rising mortgage rates.

Key Factors Affecting Performance

Impact of Mortgage and Interest Rates

• Rising mortgage and interest rates have hurt affordability and dampened demand for new-build homes, impacting Rightmove which allows letting agents and new homes developers to advertise their properties

Adjusted Forecasts and Profit Expectations

• The company narrowed its 2026 revenue growth forecast to 6% to 7% from previous guidance of 6% to 8% and expects adjusted operating profit growth to be at least 3%, at the lower end of its 3% to 5% guidance range

Homebuilder Activity and Cost Pressures

Reduced Building Targets

• Homebuilders in the UK have pulled back on their building targets as demand has tempered and cost pressures from the Iran war have squeezed margins

Advertiser Revenue and ARPA Guidance

• The company said that it expects Average Revenue per Advertiser (ARPA) growth in 2026 to narrow to £100 to £110 from £110-£120

• The fall in advertiser revenue was due to homebuilders spending less on advertising

Reporting Credits

(Reporting by Simone Lobo in Bengaluru; Editing by Ronojoy Mazumdar)

Key Takeaways

  • Rightmove has narrowed its 2026 revenue growth forecast to 6–7%, down from 6–8%, with adjusted operating profit growth expected at the low end of its 3–5% range (finanznachrichten.de).
  • For 2027, the company forecasts similar revenue growth to 2026—reflecting continued weakness in new home developments—while expecting underlying operating profit growth of 4–7% and EPS growth of at least 10% (finanznachrichten.de).
  • Industry data underscores the sector-wide challenges: for example, homebuilder Barratt Redrow reported a 12% drop in completions amid high mortgage rates and cost pressures (uk.marketscreener.com).

References

Frequently Asked Questions

Why does Rightmove expect 2027 revenue growth to mirror 2026?
Rightmove predicts similar growth for 2027 due to ongoing weakness in UK homebuilding and continued affordability issues affecting new home demand.
How have rising mortgage rates impacted Rightmove's business?
Higher mortgage and interest rates have reduced affordability and demand for new homes, lowering advertising revenue from builders.
Why are UK homebuilders cutting back on their targets?
Homebuilders in the UK are reducing targets due to weaker demand and cost pressures from factors like the Iran war squeezing profit margins.
What is expected for Rightmove's Average Revenue per Advertiser (ARPA) in 2026?
ARPA growth is expected to narrow to £100-£110 in 2026, down from £110-£120 previously.

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