CoStar wants faster Homes.com growth, is shifting sales into the field

CoStar Group may have recorded its 62nd consecutive quarter of double-digit annual revenue growth in the third quarter of 2026, but CEO and founder Andy Florance wants more. Company-wide, net new bookings came in at $37 million for the quarter, below expectations. “Our renewal rates remained high, but with a growing multibillion-dollar subscription base, we need to continue to grow high ROI sales force headcount,” Florance, the 2026 HousingWire Vanguard award winner, said on his firm’s Q3 2026 earnings call with investors and analysts Tuesday night. “Our sales team met with hundreds of thousands of clients and prospects, but they lack the scale to reach the hundreds of thousands of additional prospects we have.” According to Florance, CoStar currently has roughly 2,000 sales professionals on staff, down roughly 10% compared to a year ago. Looking ahead, Florance said CoStar is focused on making changes to the Homes.com sales team, which originally launched with a large, centralized inside sales team based out of the company’s headquarters in Richmond, Virginia. “We’ll continue to build the Richmond team, but we are shifting most of our growth effort to the field sales professionals...