CoStar is set to sunset Homesnap and replace it fully with the Group's in-house brand Homes.com by the end of the year.
Homesnap was acquired by CoStar Group in 2020 for $250M, with Homes.com acquired in 2021 for a smaller amount ($156M) but becoming CoStar's number one consumer brand.
CoStar relaunched Homes.com in November 2022 after combining and streamlining the operations of both acquired portals.
And now it seems Homesnap has outlived its usefulness to CoStar, and the company will be dissolved as the Group transitions to Homes.com. Homesnap's agent app Homesnap Pro will be renamed Homes Pro,
Indeed, a visit to Homesnap's homepage already redirects users to Homes.com:
According to Similarweb.com, Homesnap had 3.9M views in April 2023 while Homes.com received nearly 30M visits—making it the fastest growing site in the industry according to David Mele, president of Homes.com:
“Homes.com traffic has increased 289 percent YOY and continues to grow every month.
“In fact, it has 10x the traffic of Homesnap now. We are currently in the process of merging the brands to provide agents with a better experience.”
In an email sent to Inman, Mele also outlined plans to move agents over to Homes Pro and eventually shut down Homesnap when the necessary transitions have been completed.
Considering CoStar's public withdrawal from a multi-billion dollar deal to acquire Realtor.com in favour of Homes.com, the Group's decision to sunset Homesnap is an understandable extension of the "let's do it ourselves" strategy that the company is clearly focused on.
It's clearly paying off—CoStar recorded revenue increases of 13% in this year's Q1 financial results. The Group continues to be one of the most powerful real estate companies in the world and would be the US's number one player if not for behemoth portal operator Zillow.