CoStar added another 6,300 paid members to its Homes.com platform in the second quarter of this year, as the parent company continued its focus on its residential real estate services and positioning itself as a top competitor to other portals.
Between its last earnings call in April and its second quarter earnings reported on Tuesday, CoStar increased by 50 percent the projected number of salespeople who will be selling memberships on the platform to 750 by the end of this year.
The company reportedly generated 111 million average monthly unique visitors across its network, which includes Homes.com, the 11 rental sites in the Apartments.com Network, and the Land Network.
The portal parent company’s total profit was $6.2 million, 68 percent lower than in the second quarter of 2024. The company has recorded an $8.6 million net loss so far this year.
CEO Andy Florance also provided some insight into the company’s “Boost” revenue program, which charges agents and their clients a fee to give more visibility to listings on the Homes.com platform.
“To date, we have sold more than 1,200 Boosts to agents and homesellers,” Florance said in a statement.
The marketing campaign irked some agents who said this month their clients were sent direct mailers asking them to pay Homes.com to “boost” their listings, though Florance said agents were happy with the service on the whole.
Florance addressed the controversial mailer during an earnings call with investors on Tuesday. He called the direct mailers a “member agent appreciation campaign” and unveiled that it was aimed at nearly 100,000 sellers.
The company’s cash and cash equivalents are now more than $1 billion lower than at the end of last year, at $3.6 billion.
Total revenue for the quarter was $781 million.
CoStar earned $28.4 million in revenue from its residential services segment in the quarter. That’s up 8.4 percent from the same time in 2024. Meanwhile, the company’s total revenue grew by 15.3 percent in that same timeframe.
The company didn’t pull out other holdings in its Homes.com Network. The company reports its Land Network generates 12 million views per month. The Apartments.com Network generates over 48 million monthly unique users.
Homes.com plans to increase its new-home offerings on the platform next month, Florance said. He noted that the company had already reached agreements with 200 builders to help meet the needs of buyers searching for new homes for sale.
Florance announced that CoStar would wind down VHT Studios, a real estate digital marketing platform Matterport acquired in 2022. VHT will shut down by the end of August.
