Hemnet Cuts Workforce by One-Third Amid Strategic Overhaul and Market Challenges

Hemnet, Sweden's leading housing website, announced a major restructuring plan on September 29, 2026, aimed at saving 80-85 million kronor annually due to declining market conditions and falling stock value. This cost-cutting package involves reducing its workforce from 184 to approximately 115 employees, affecting around 50 staff members through layoffs, natural attrition, and ending contracts with external consultants. CEO Jonas Gustafsson described the decision as difficult but necessary to ensure continued investment in customer value and to strengthen Hemnet's competitive position.

A significant part of Hemnet's strategy involves increased use of AI technology, which currently generates about 90% of their code, up from 20% in late 2025. Additionally, Hemnet is revising its advertising model amid criticism of rising ad prices. The company will introduce two free advertising packages while consolidating paid packages from four tiers into three—basic, premium, and max—with some premium features integrated into the basic package to improve accessibility without raising its cost. However, top-tier package prices remain unchanged.

The restructuring is expected to incur one-time costs of 30-35 million kronor in Q4. Hemnet's stock has dropped dramatically, losing 63% of its value since January 2026, highlighting market difficulties.

The company is also shifting its business model under new ownership influences, including support from Mäklarsamfundet, which holds a 10% stake. This includes controversial practices like scraping listings from real estate agents’ websites, a move criticized by competitors as problematic. CEO of Mäklarsamfundet, Oskar Öholm, expressed optimism regarding the product development despite market skepticism.

Hemnet is responding to increased sales occurring outside its platform and aims to maintain relevance as a comprehensive property marketplace. While some industry leaders question the value of paid advertisements given free alternatives, Hemnet insists on the necessity of these adaptations for future sustainability.