After a disastrous third quarter, the PIN Fund (our fictional property fund of 10 property-related shares) rebounded in Q4 returning 4.6%. However, were it not for the collapse in the Rightmove share price, the Fund would have returned 8% in the fourth quarter.

Rightmove has been the worst-performing stock in the FTSE 100 over the past six months and the share price slumped a further 26.9% in Q4. The bulk of the fall came in November, when Rightmove warned that underlying operating profit growth for 2026 will be much slower than previously expected. A part of this is due to “the rapid and scaling developments in AI technology”.

Ramping up AI spend is costly and the news spooked investors, leading to a sharp share price drop on the day. The company plans to spend £60m on AI and platform development over the next few years. It’s not a short-term project, but rather one that could see reduced profit margins for some time.

Another factor has been the slow UK property market. Due to interest rates staying higher for longer, as well as tax pressures from the government, it hasn’t exactly been the best time to buy property.

However, the problems don’t end there for Rightmove, after it emerged in mid-November that the portal could face a £1bn legal claim for allegedly overcharging estate agents. Former Competition and Markets Authority (CMA) panel member, Jeremy Newman, will reportedly argue that Rightmove abused its dominant position in the online property portal market by charging excessive and unfair prices to estate agents to list properties on its online portal.

Rightmove responded to news of the legal claim by stating: ‘We’re confident in the value we provide to our partners. Further updates will be provided as appropriate.’