Costar Group Inc Stock Price, News & Analysis

Homes.com, a CoStar Group company, has released a comprehensive report on the Washington D.C. housing market following the first 100 days of the Trump administration. The analysis reveals that the DMV (D.C.-Maryland-Virginia) region's housing market remains consistent with national trends.

Key findings include:

• Average time on market: 90 days in DMV, 95 days in D.C.
• Median home price in DMV: $595,000 (up from $575,000 last year)
• Over 400 luxury properties priced at $3M+ are currently available
• Current 30-year fixed mortgage rate: 6.83%

The luxury housing market shows strong momentum, with many buyers making cash purchases to avoid mortgage rates. While some agents report optimistic spring signs, others describe April as a "whiplash" due to fluctuating mortgage rates. The Homes.com Network reached 104 million average monthly unique visitors in Q1 2025, with brand awareness growing from 4% to 33% in one year.

CoStar Group reported Q1 2025 revenue of $732 million, up 12% year-over-year, marking its 56th quarter of double-digit growth. The company posted a net loss of $15 million ($0.04 per share), impacted by a $31 million charge from the Matterport acquisition.

Key highlights include:

• Apartments.com added 4,300 properties - highest quarterly addition since 2016
• Homes.com expanded to 370 sales representatives with 50%+ demo-to-close rate
• Commercial businesses showed strong performance: CoStar's net bookings up 68% and LoopNet up 200% year-over-year
• Adjusted EBITDA reached $66 million, a 429% increase from Q1 2024

Looking ahead, CoStar projects 2025 revenue between $3.115-$3.155 billion, representing 15% growth, with adjusted EBITDA forecast at $355-$385 million. The Matterport acquisition, completed in February 2025, is expected to enhance CoStar's digital real estate presentation capabilities.

Visual Lease, a CoStar Group (NASDAQ: CSGP) brand, has been named a Workday Innovation Partner. The partnership integrates Visual Lease's lease accounting and management platform with Workday Financial Management software to provide customers with a comprehensive view of their lease portfolios.

The integration features preconfigured solutions that enable bidirectional exchange of financial data, streamlined lease management, and support for FASB/IFRS and GASB 87/96 compliance standards. Following CoStar Group's recent acquisition of Visual Lease, this partnership aims to deliver real-time data across systems, enhance compliance, improve operational efficiencies, and reduce financial reporting risks while minimizing costs.

Homes.com's March 2025 housing market report reveals a continued slowdown in home price growth for the third consecutive month. The median home price increased 2.2% year-over-year to $380,000, compared to 2.7% in February and 3.6% in January.

Key findings include:

• Price appreciation has continued for 21 consecutive months, peaking at 5.6% in December
• The Northeast and Midwest markets showed the strongest price growth
• Cleveland led with over 10% price increase, followed by Chicago, New York, and Pittsburgh
• Four markets experienced price declines: Orlando, Jacksonville, San Francisco, and Tampa

The market shows signs of shifting from a seller's to a buyer's market, supported by increased housing inventory and slightly lower mortgage rates in March, which improve affordability and buyer leverage.

CoStar Group (NASDAQ: CSGP) has emerged victorious in a trade secrets lawsuit filed by Move Inc., operator of Realtor.com. The lawsuit, initiated in July 2024, accused CoStar and former Move employee James Kaminsky of trade secret misappropriation. Move initially claimed Kaminsky was hired to launch a news division using confidential information, but this was proven false as he was actually hired to write condominium descriptions for Homes.com.

The court denied Move's request for a preliminary injunction in September 2024, citing speculative allegations and lack of demonstrated harm. After CoStar's legal team threatened sanctions in March 2025, Move abruptly dismissed the case with prejudice. CoStar made no settlement payment, describing the lawsuit as a baseless PR stunt aimed at slowing down Homes.com's market progress.

CoStar Group (NASDAQ: CSGP) announced significant board refreshment and corporate governance enhancements. The company appointed three new independent directors: John Berisford, Rachel Glaser, and Christine McCarthy, while Michael Klein, Christopher Nassetta, and Laura Kaplan retired from the Board. Louise Sams was appointed as independent Board Chair.

The Board established a Capital Allocation Committee to review the company's capital structure, allocation priorities, and financial targets, including international expansion and investments in major brands like CoStar, Apartments.com, LoopNet, and Homes.com. The committee will specifically oversee Homes.com's investment and profitability timeline.

The company entered support agreements with D. E. Shaw Group and Third Point, and plans to review executive compensation programs to align management incentives with stockholder value creation. The refreshed Board will comprise eight directors, with seven being independent.

Apartments.com, a CoStar Group marketplace, released its Q1 2025 multifamily rent report showing stable conditions. National year-over-year asking rent growth remained at 1.1%, consistent with December 2024. The national rent per unit reached $1,754, up from $1,735 in Q1 2024.

Key metrics include:

• Quarter-over-quarter rents increased 1.0%
• Vacancy rate steady at 8.1%
• Absorption reached 137,750 units (35% increase from previous quarter)
• Supply additions of 140,950 units

Regional highlights show Kansas City leading with 3.5% rent growth, followed by Chicago and Pittsburgh at 3.3%. The Midwest showed strength, while Sun Belt markets struggled, with Austin seeing a 4.5% rent decline. Luxury units (4 & 5-Star) showed 0.5% rent growth with 11.4% vacancy, while mid-priced assets achieved 1.4% growth with 7.4% vacancy.

CoStar Group (NASDAQ: CSGP), a leading provider of online real estate marketplaces, information, and analytics in the property markets, has scheduled its first quarter 2025 financial results announcement for Tuesday, April 29, 2025 after market close.

The company will host a conference call at 5:00 PM EDT on the same day, where management will discuss Q1 results and provide the company's outlook. Investors can access the live audio webcast in listen-only mode through the Investors section of CoStar's website, with a replay available afterward.

CoStar Group (NASDAQ: CSGP) has announced the winners of its fourth annual CoStar Impact Awards, recognizing outstanding commercial real estate projects completed in 2024 across 129 international markets. The selection process involved over 630 industry professionals who evaluated nearly 350 winners in categories including Lease of the Year, Commercial Development of the Year, Multifamily Development of the Year, Redevelopment of the Year, and Sale/Acquisition of the Year.

Notable winners include Chicago's 333 West Wacker, which won Sale/Acquisition of the Year. The 36-story Class A office building, recently sold to Beacon Capital Partners, underwent a $36 million renovation and secured a long-term lease renewal with anchor tenant Nuveen. In Calgary, the Three Sisters Mountain Village, an 800-acre master-planned development, won Commercial Development of the Year for its innovative blend of residential, commercial, and recreational uses.