CoStar Group Inc., a provider of commercial real estate information, analytics and online marketplaces, has completed the acquisition of Homes.com for $156 million in cash.
“The combination of Homes.com and Homesnap, which we acquired in December 2020, sets the stage for us to offer sellers, buyers, and real estate agents a better, more collaborative online home sale and purchase experience,” said Andrew C. Florance, founder and chief executive officer of CoStar Group. “Rather than building a business model based on creating friction to syphon off agent commissions, we plan to provide a next generation marketplace that connects listing and buyer agents to sellers and buyers without taking a cut of their commissions. We strongly believe that consumers are better served when they are matched to an agent for free, based upon the agent’s expertise, rather than based upon how much a random agent is willing to pay for a lead. Real estate agents are central to 90 percent of home sales. We respect that and want to help them strengthen their relationships with their clients, rather than trying to disrupt and monetize those relationships. It is time for just such an offering, and we believe we are uniquely positioned to provide it.”
CoStar Group has a history of acquiring online marketplaces such as Apartments.com, LoopNet among others.