Realty World, Inc.

Does Franchising Make Sense In The Real Estate Business?

If the real estate industry did not find value and profit in franchising as a business strategy, it would not have lasted for over 40 years. In addition, franchised real estate offices would not dominate the residential resale market share in the United States, which they do. It is estimated that Realogy, the public company that owns the real estate franchise brands of Century 21, Coldwell Banker, Sotheby's and ERA, controls over 25% of the U.S. residential resale market share. Any one company controlling more than 10% of the national market share in any industry is considered extraordinary! Does franchising make sense in the real estate business? You bet it does! The question really comes down to... "which one fits your needs and cost structure?"

What Benefits Can A Franchise Provide For A Real Estate Company That It Can Not Achieve On Its Own?

Franchises traditionally provide many fine and relevant services and resources to businesses in all types of industries but, generally, there are three that are predominate in any legitimate franchise:

• A proven nationally recognizable "Brand Name"
• A structured business operating system
• The economies of scale enjoyed only by large companies, which help to lower the costs of operation

If A Real Estate Franchise Makes Such Great Sense, Why Doesn’t Every Realtor Own One?

It’s simple... for over 30 years, real estate franchises have been too costly and difficult to acquire. Initial franchise fees range from $20,000 to $25,000 and must be paid up front. Royalty fees, including national ad fund fees, cost up to 8½% off of all gross income. In addition, the franchisor usually dictates to the real estate broker how to run his or her business. Finally, if you are a one to five person company, the franchisor typically says that you are not qualified.

Is There A Real Estate Franchise Solution For The Masses, Even For The 1 To 5 Person Company?

We are one of few in the real estate industry that offers a winning combination of benefits to the smaller real estate companies. These benefits include:

• A successful and well known "Brand Name"
• A structured business operating system  
• Advanced technology tools with one of the most succesful online and offline advertising programs 
• Economies of scale on all types of products and services that is absolutely affordable for even a one person office

We are the only franchise that encourages you to run your business your way. This means that a broker with a good reputation who happens to enjoy working from his or her home qualifies just like the broker with 30 agents and 3,000 square feet of retail space. This is, indeed, an affordable franchise that carries a well respected name and offers a viable alternative for the masses in the real estate business!

How Successful Has The Realty World System Become?

We introduced our franchise system to the market place in Northern California on January 1, 1997 and, to date, we have added over 400 franchises. We have increased our network size six fold in the last 10 years, now boasting over 400 independently owned franchise offices consisting of well over 1,500 licensed brokers and sales associates. We have also grown from 3 franchises in the Silicon Valley to over 140. We fully expect to have 500 franchises in Northern California by the end of 2009.

If you would like further confidential information, Click Here  to inquire with one of our franchise sales directors, or give us a call at 800-460-2288.