Rightmove Forecasts - Location & Landlords the Winners in 2010

LONDON, December 14 - The Rightmove House Price Index
(www.rightmove.co.uk/news/house-price-index) for December is released
today, featuring the property market performance over the past month and
Rightmove's forecasts for 2010.

In spite of the lowest average stock for sale for 21 months, new sellers
have dropped their asking prices by 2.2% this month (-GBP4,977). This follows
November's fall of 1.6%. We expect a further drop next month, meaning the
final quarter of 2009 will see 3 consecutive monthly price falls as the
motivation of winter sellers outweighs the growing lack of choice for
potential buyers. Rightmove predicts a burst of activity and asking price
gains again in early spring, continuing the heightened level of activity seen
during 2009. We forecast that post-election the housing market will enter a
more challenging period.

Miles Shipside, commercial director of Rightmove comments: "Those
contemplating selling should spend some of the festive break researching
their local market before seeking professional opinion very soon after the
New Year. Time may well be of the essence as the election is likely to be a
party pooper. 2009 turned out to be a good time to trade up, and we forecast
the positive mood will continue into 2010 until the post-election hang-over
kicks in."

Location will be all important in how well insulated an area is from the
negative impacts of structural changes to the housing market. More desirable
areas continue to see low levels of property on the market, driving house
prices (www.rightmove.co.uk/house-prices.html) higher. Even in these
sought-after locations, there are pockets of potential buyers frozen out of
the market. This month sees average stock levels per estate agency branch
fall from 69 to 67 properties, the lowest Rightmove has recorded since
February 2008. This will give additional impetus to the traditional fresh
crop of new year buyers, assisting a buoyant start to 2010 wherever estate
agents (www.rightmove.co.uk/estate-agents.html) are stock-starved.

Shipside adds: "Those who are moving now tend to have a jolly good
reason, rather than a whim. Sellers motivated by death, divorce and debt are
now being supplemented by some discretionary movers as the market improves,
but it's hard to see how lenders and regulators will have the appetite for
the increased lending required to satisfy the levels of home moving that had
become the norm."

For further statistics and to download the Rightmove December 2009 House
Price Index please visit - www.rightmove.co.uk/news/house-price-index
or search for local house prices at
www.rightmove.co.uk/house-prices.html.

Tom McGuigan, Rightmove Press Office, press@rightmove.co.uk,
+44(0)207-087-0700

Tom McGuigan, Rightmove Press Office, press at rightmove.co.uk, +44(0)207-087-0700