ITEMS 5–7 · FDD 2021
How much is a HomeSmart franchise?
Per HomeSmart's 2021 FDD, the initial franchise fee is $20K (Item 5) and the total initial investment runs $66K–$205K (Item 7).
$20K
one-time, to buy in
$66K–$205K
franchisor's own estimate
The buy-in is the smaller number. The larger one is the drag: royalties and fees leaves before rent, labor, or your salary — so breakeven depends on volume you cannot know from the FDD, and this brand publishes no Item 19 earnings data to anchor it.
To open (Item 7)
$66K–$205K
all-in investment range
Franchise fee (Item 5)
$20K
upfront, one-time
Royalty (Item 6)
—
of sales, ongoing
Your figure — this brand discloses no Item 19 earnings; validate with current & former owners.
Royalty you'd pay / yr
$0
0% of sales, before profit
Over a 10-yr term
$0
royalties alone, excl. ad fund
This is not profit. It's the only money the FDD actually pins down — what you put in, and the royalty you owe on every dollar of sales. Your real take-home depends on labor, rent, food cost, and ramp-to-breakeven, none of which any FDD discloses.
Build a real pro-forma for HomeSmart with an independent CPAHomeSmart cost questions, answered from the filing
How much is a HomeSmart franchise?
Per HomeSmart's 2021 FDD, opening a franchise requires an initial franchise fee of $20K (Item 5) and a total initial investment of $66K–$205K (Item 7). Item 7 is the franchisor's own estimate — treat the low end as a floor, not a budget.
Does HomeSmart tell you what franchisees earn?
No — HomeSmart's 2021 FDD makes no Item 19 earnings claim, so any revenue figure you hear comes from sales conversations, not disclosure documents. Validate with current and former franchisees.
The HomeSmart validation checklist
questions built from this brand's own filings · read them all on the profile
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A broker is paid by the franchisor to place you. I'm paid by you — and the job is pressure-testing HomeSmart's numbers, including talking you out of a bad deal.