A leading City fund manager has claimed that Rightmove remains a solid investment opportunity because estate agents are ‘more likely to turn the lights off before giving up their Rightmove subscription’.
James Thomson (pictured,above) who has run the Rathbone Global Opportunities Fund for 14 years, made his comments to a national newspaper over the weekend.
He also claimed that Rightmove’s dominance means that if the property market becomes tougher after Brexit, agents will need more not less help finding buyers and will ‘upgrade their packages’.
“Estate agents will need to pedal harder to sell homes. Rightmove is a mission critical tool for them,” he told The Mail on Sunday, describing the portal as one of the stocks he believes ‘makes the grade’ as a stockmarket winner whatever the economic conditions.
Thomson has been one of the City’s leading cheerleaders for Rightmove, which Rathbone invested heavily in during 2009.
Rightmove went public in 2006 at 34p a share and its stock is currently trading at approximately £5.35p a share or an increase of 1,458%.
The comments by Thomson will grate for the growing number of agents who have been complaining more vocally this year following the most recent fees hike.
As we reported in May, it was claimed at the time that a ‘minor rebellion’ was underway after Rightmove introduced fees increases of up to 20% for some agents.
But only five agents broke over as Rightmove leavers including Albion Sales & Lettings in Northampton; Camerons in Bournemouth; Clintons Management Ltd in Ilford, Essex; Glastonbury lettings firm Jungle Property and Skipton estate agency James Pye & Sons.