Crexi v. Costar - Battle of the CRE sites. Which is better?

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• Crexi v. Costar - Battle of the CRE sites. Which is better?

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Crexi v. Costar - Battle of the CRE sites. Which is better?

If you’re new to CRE then you may not know the two leading tech sites to find commercial real estate listings are both Crexi and Costar.

However, they are much more than just listing sites. Both actually provide a ton of data, property info, and other things that aren’t easily accessible.

Crexi is completely free to use for browsing available listings, while advanced tools and information require a subscription. Costar is not free, but has a free version call Loopnet that is just the listings portion.

So let’s talk about them, are they the same? Different? Which is better? 

Let’s start with Costar.

Costar has been the leading giant, a massive monopoly for a long, long time… Since 1987 in fact.

Branding itself as the go-to site for listing a commercial properties, it’s used by over 100,000 commercial professionals and over 5,000,000 listings worldwide.

But they are more than just a listing site, Costar does heavy lifting when it comes to property data, ownership info, lease/sale comps, demographics, loan data, and more.

They’ve established themselves as the #1 source of information in the CRE space.

But what’s the cost? Buckle up, because an individual subscription is $500/month. And sure, there are discounts for longer contracts or multiple subs within a large brokerage.

But still… that’s steep.

So why would someone pay that? Well, being able to look up any property owner’s name & contact info is very helpful as a broker or prospective buyer.

Also seeing lease/sale comps (especially in non-disclosure states like Texas) is very valuable information.

Costar also has hundreds of employees called Researchers that solely focus on acquiring this private information. With a subscription, you are assigned a researcher who will personally pull any info/records that you need.

And remember… Information is powerful.

Let’s use a simple example. I’m a commercial agent and want to prospect tenant’s in my market.

Costar provides me all the tenants names and contact info as well as their lease signing/expiration dates. This is data they own, not easily findable elsewhere.

I now can call up these tenants advertising my services and mention information such as their lease expiration coming up.

The call goes from “Hey, I’m a broker, how can I help you?” to “Hey, I see your lease is coming up, have you had someone look at that?”

Very different phone call.

Another things Costar tracks is loan data. There are many CRE owners that have loans maturing and will likely need to sell if refinancing isn’t an option.

Well, as a broker, I can call these individuals and mention this information, then advertise my services and how I can help solve their problem.

Ahh… so the data is getting us results.

And if this data ends up bringing me even one deal, the commission would easily pay for an entire year’s subscription cost.

That’s why people pay it. Because information in CRE is fragmented and hard to obtain, and very powerful if used correctly.

Let’s talk Crexi.

The younger of the two, only been around since 2015. Designed to be more modern and user friendly than Costar.

We talked about Costar’s data, and Crexi is also building their own database with similar information. However, they are behind with how extensive their research goes.

And the reason is simple. They aren’t as large of a company yet. They don’t have the manpower to dig up all this info that Costar has spent decades building.

This is why larger firms that want heavy analytics and data are still relying on Costar.

But what makes Crexi unique is that it’s a simpler, more modern site that is an enhanced experience for newer users. Often making Crexi more ideal for smaller shops or individuals with less of a learning curve.

So what’s the premium version of Crexi?

Right now they are providing access to lease/sale comps, demographics, loan data, and property information through their subscription that sets in at $300/month.

Wow… still expensive.

But again, information like that is valuable if used properly.

And so this is a cheaper alternative to Costar. But as we mentioned, Crexi still has a lot of work to do in catching up on the depth of their tools and quantity of information they provide.

You also do not get a personal Researcher like you do with Costar. While not necessary, having a dedicated person to pull any data you want is very beneficial.

Key Differences:

Company Size:

• Costar: Much larger company with over 6,000 employees and 37 years in the business

• Crexi: Only been around since 2015 with less than 400 employees.

Free Services:

• Costar: The free version of Costar is “Loopnet” which is a listing site that allows anyone to view CRE properties for sale or lease. Costar has listings all over the world at an estimated 5mm listings.

• Crexi: Is a free service that allows users to browse listings. Mostly in U.S. territory and haven’t expanded globally. Deemed to be “more user friendly” than its counterpart, Costar.

Premium Services:

• Costar: $500/month subscription. Access to Property Data, Owner Information, Lease/Sale Comps, Demographics, Loan data, and you’re given a designated Researcher.

• Crexi: $300/month subscription. Access to the same premium services Costar provides, except data is not as extensive and is limited to the U.S. markets. You also do not get a Researcher.

Which is best for you?

If you’re simply browsing listings: Crexi is the more modern and user friendly version that most people enjoy.

If you’re a Broker: Costar gives the most extensive tools that brokers can use to generate more business and access more information.

If you’re a Buyer: Either site is fine however Costar may provide more information if you’re looking for off market properties or want the best analytics.

If you’re a Seller: Crexi is the simplest and most modern of the two with ease of getting your property on the internet for viewership.

All in all, both are fine tools that excel in different areas. It’s good there’s competition as Costar has dominated the game for too long.

We hope this helps guide your decision for choosing the best site for you.