From the filed FDD — automated extraction, check the source
2026 FDD
SBA-eligible · directory code S1407 since 2017
REAL PROPERTY MANAGEMENT
Property management · parent company: not identified
Real Property Management, a Neighborly brand, provides residential property management services including leasing, rent collection, maintenance coordination, and owner reporting. A franchisee operates a local management office serving rental-property owners and investors for recurring management fees.
REAL PROPERTY MANAGEMENT net unit count grew 6.6% over 2023–2025 per its FDD Item 20.
New to franchising? Start here
A franchise is a business where you (the franchisee) pay a company (the franchisor) for the right to open and run a location using their brand and system — think a local Anytime Fitness or Taco John's owned by a small-business owner, not the corporation.
Before you can buy in, U.S. law requires the franchisor to give you a Franchise Disclosure Document (FDD) — a long legal filing covering its fees, finances, and history. Most numbers on this page come from that document; others come from federal SBA loan records and labor and census data, each labelled with its source:
- Franchise fee — the one-time cost to buy in.
- Royalty — the ongoing cut of your sales you pay the franchisor.
- Item 20 — how many locations opened, transferred and left the system, the main basis for our verdict, which rates how strong the disclosed record is, or says when the system is too new, the filing too old, or the disclosure too thin to judge.
Our rating · opinion
Proven & steady
A real track record, solid rather than standout. Units grew 7% (2023–2025: 422 → 450); the fiscal 2025 exit rate was 6.3%, in line with the 7.1% median across 21 comparable systems (real estate).
Exit rate · fiscal 2025
6.3%
vs 7.1% median across 21 comparable systems (real estate)
Cost to open
$99K–$244K
Item 7 total investment range
SBA loan losses
Too few to rate
19 seasoned resolved loans; 30 needed
Market density · California
Dense market
19% denser than the national average
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Data as of 2026-10-29. Figures come from REAL PROPERTY MANAGEMENT's public FDD filings (latest: MN 2026, extracted 2026-07-30) and SBA FOIA loan records (through FY2026), extracted by us and possibly containing errors. The rating is our opinion, not investment, legal, or tax advice. Franchisor or owner and see something wrong? Report a correction — we review every request.
What each source says
FDD record · SBA loans · model · auditor
The sources broadly agree, and the verdict follows the FDD's operating record.
FDD record · Item 20
Steady operating record
Units grew 7% (2023–2025: 422 → 450); exit rate 6.3% (fiscal 2025) vs 7.1% median.
SBA loans · vs same-year loans
Too few seasoned loans
19 resolved loans approved by FY2020; 30 needed.
Modeled risk
Higher modeled risk
Directional only — too few seasoned loans to check it.
Auditor opinion · Item 21
Clean opinion
Unqualified audit, 2026 FDD. Says nothing about franchisee results.
Behind the verdict
the record, factor by factor · Item 20
latest consecutive years · Item 20 Table 1
terminations + ceased-ops vs. all exits · Table 3
transfers vs. base · Table 3
actual vs. projected openings · Table 5
Item 19 disclosure + completeness · shown, not counted in the verdict
Systemwide units
2023–2025
Survival record
FDD Item 20 · outlet status by year
In fiscal 2025, 28 of 447 franchised outlets left the system — an exit rate of 6.3% (fiscal 2025), vs a 7.1% median across 21 comparable systems (real estate). An exit is not a failure: this counts terminations, non-renewals and "ceased — other reasons" as reported, and excludes transfers to new owners.
Show the outlet tables ↓Hide the evidence ↑
| Status (FTC) | 2023 | 2024 | 2025 |
|---|---|---|---|
| Outlets at start | 389 | 422 | 447 |
| Opened | 39 | 37 | 31 |
| Transfers | 14 | 14 | 13 |
| Terminations | 5 | 11 | 19 |
| Non-renewals | 1 | 0 | 7 |
| Reacquired by franchisor | 0 | 0 | 0 |
| Ceased — other reasons | 0 | 1 | 2 |
| Outlets at end | 422 | 447 | 450 |
| Net change | +33 | +25 | +3 |
The franchisor's own finances
FDD ITEM 21 · AUDITED STATEMENTS · 2026 FDD
Ernst & Young LLP gave an unmodified (clean) opinion on the statements in the 2026 FDD; revenue rose 4% from FY2024 to FY2025.
This is the company selling the franchise, not any franchisee. A clean opinion means the statements are fairly presented — not that the business is healthy.
Revenue · FY2025
$480.8M
p. 174 · matched to statement
Net income · FY2025
$154.1M
p. 174 · matched to statement
Where FY2025 revenue came from
74% royalties
initial-fee share not extracted
Show the statement figures ↓Hide the evidence ↑
| Fiscal year | FY2024 | FY2025 |
|---|---|---|
| Total revenue | $461.7Mp. 174 · matched to statement | $480.8Mp. 174 · matched to statement |
| Royalty revenue | $321.2Mextracted · not cross-checked | $353.9Mextracted · not cross-checked |
| Net income (loss) | $159.4Mp. 174 · matched to statement | $154.1Mp. 174 · matched to statement |
| Equity (deficit) at year end | $3.03Bp. 173 | $2.95Bp. 173 |
| Cash at year end | $2.5Mp. 173 | $4.2Mp. 173 |
The lender's view
SBA 7(a)/504 loan outcomes · compared with franchise loans of the same years
Banks have made 114 SBA-backed loans to REAL PROPERTY MANAGEMENT franchisees since 2015. Only 19 of its loans approved by FY2020 have resolved — fewer than the 30 we need to compare it fairly with other franchise loans, so we don't rate it.
All-time, 4 of 34 resolved loans charged off (11.8%). That raw figure mixes every approval year since 2015 — loans made in 2006–08 failed at several times the rate of loans made in 2010–13 across all franchises — so it is shown as evidence, not as the score. 70% of the brand's loans have not resolved yet.
—
19 seasoned resolved · 30 needed
11.8%
4 of 34 resolved, every approval year
—
charged-off $ ÷ approved $, defaulted loans
$286,969
what recent franchisees borrowed
—
shown with 10+ defaults
22 vs 11
distinct banks still lending
Charge-off rate by loan approval year (%) · dashed line = all franchise loans that year
Loan performance by state
SOURCE: SBA 7(a)/504 FOIA LOAN DATA (DATA.SBA.GOV), FY1991–PRESENT · MATCHED TO REAL PROPERTY MANAGEMENT BY SBA FRANCHISE NAME/CODE · RESOLVED = CHARGED-OFF + PAID-IN-FULL · EXPECTED = SAME-YEAR RATE ACROSS ALL SBA FRANCHISE LOANS, LOANS ≥ ~6 YEARS OLD
The owner's side of the deal
FDD × federal loan record
Who finances it
United Midwest Savings Bank National Association
46.2% of this brand's loans
That lender charges off 34.7% of its resolved SBA loans to other franchise brands in the FOIA file, vs 14.8% nationally — a read on that lender's portfolio mix, not a finding about the bank.
Who buys it
82.0%
borrowers with no other franchise SBA loan on record
The rest already owned at least one other franchise. Across the corpus, brands bought mostly by repeat operators have charged off less often than brands sold mostly to newcomers (see methodology).
Does experience help here?
Not enough resolved loans to split
Computed from 114 SBA 7(a)/504 loans matched to REAL PROPERTY MANAGEMENT by SBA franchise code in the SBA FOIA file. Debt service assumes level amortization at the average disclosed term and rate. Owner-level splits rely on borrower-name matching and may misclassify. A lender's rate excludes its loans to this brand, so it reads the lender, not the brand.
What it costs — and what it drags
FDD Items 5–7 · fees, investment, royalty
Buying in means a $69,900 franchise fee (Item 5) and a total investment of $99K–$244K (Item 7). The franchisor publishes an earnings claim (Item 19) — read its methodology closely.
To open (Item 7)
$99K–$244K
all-in investment range
Franchise fee (Item 5)
$69,900
upfront, one-time
Royalty (Item 6)
See Item 6
not a single flat % — read the fee table
This is not profit. It covers what the FDD fixes: what you put in, and the royalty you owe on sales. Your take-home depends on agent commission splits, office costs, and the months to breakeven, none of which the FDD fixes for your unit (some Item 19s include cost data — read it).
Build a real pro-forma for REAL PROPERTY MANAGEMENT with a buyer-paid CPAHow the earnings claim is built
FDD ITEM 19 · BASIS · 2026 FDD
The headline figure is Average Annual Revenue per Unit (per managed property unit) for Calendar year 2025, for 421 of 450 units, leaving out opened during 2025, closed during 2025 without full-period data. It is not an annual per-outlet figure, so we don't treat it as unit revenue. It shows no costs, so it says nothing about what an owner keeps.
Graded on three things the filing states: coverage (2 points if the figure covers at least 75% of the units it is compared with, 1 point for 50–75%), centre (2 points if it prints both a median and a mean, 1 for one of them), and costs (2 points for costs through a profit line or full cost detail, 1 for some cost items). 5–6 points = More complete, 3–4 = Partial, 0–2 = Limited. The grade describes the disclosure, not the business.
Show the basis ↓Hide the evidence ↑
| What is measured | Average Annual Revenue per Unit (per managed property unit) (revenue; not an annual per-outlet figure) |
| Period | Calendar year 2025 |
| Whose results | Franchised outlets |
| Units included | 421 of 450 Real Property Management franchises at Dec 31, 2025 |
| Left out |
|
| Average (mean) | printed, but not an annual per-outlet figure |
| Median | printed, but not an annual per-outlet figure |
| Met or beat the average | 191 (45%) |
| Costs shown | None — sales only |
| Where | p. 78 (Item 19 runs pp. 76–79) |
| The filing's words | “This Item 19 includes data from 421 franchised businesses, which were all in operation and reporting sales for the entire calendar year 2025.” |
Labor record
US Dept. of Labor enforcement · franchisee-level · FY2005–present
Federal investigators have concluded 5 wage cases against operators of this system, recovering $5K in back wages for 8 workers. These cases name franchisee-owned locations, not the franchisor itself.
Concluded cases
5
Back wages owed
$5K
Employees affected
8
Since 2020
0
Read this carefully. The employers in these cases are individual REAL PROPERTY MANAGEMENT franchisees — separately owned businesses operating under the brand name — not REAL PROPERTY MANAGEMENT itself. The franchisor is not the respondent and in most cases is not a party. What the record shows is how this system's operators run their payrolls, which is worth knowing before you become one of them. Counts rise with system size and with age: a 20-year-old, 10,000-unit system will out-count a young one regardless of conduct. Cases are matched to the brand by trade name and may include misattributed employers. Source: DOL Wage and Hour Division concluded compliance actions, FY2005–present, most recent finding 2014.
Modeled risk
FDD Risk Score · a prediction from disclosure and loan-file features
The model puts this brand in its higher-risk band — but this brand has too few seasoned SBA loans to check the score against, so read it as a band, not a number.
Risk percentile
Higher modeled risk
Directional · no point estimate
Modeled · vs same-year loans
band only
too few seasoned loans to check
Top drivers: Share financed by high-loss lenders (raises) · System size (log units) (lowers) · Item 3 litigation (log) (lowers) · Investment ceiling (log) (raises). Too few seasoned SBA loans to check the score — read it as a band. A linear scorecard trained on brands' vintage-adjusted SBA loss records; full spec and cross-validated accuracy on the methodology page. A score is context, not a verdict.
Public records
Bankruptcy, closure & federal court records · coverage is selective · dockets are not scored
We have no verified public-record signals published for REAL PROPERTY MANAGEMENT. This is not evidence that no events exist. Check PACER, the FDD's Item 3 (litigation) and Item 4 (bankruptcy), and recent news yourself.
8 questions to ask a REAL PROPERTY MANAGEMENT franchisee
Built from this brand's own disclosures · take it to your validation calls
The franchisor will give you a list of owners to call. Most buyers ask whether they like it. These questions come from what REAL PROPERTY MANAGEMENT has disclosed. Each one carries the number it came from, so you can check the answer against the record.
- 01
REAL PROPERTY MANAGEMENT’s own Item 20 shows 28 of 447 franchised outlets left the system in fiscal 2025 — about 6.3%. Do you know any of those owners, and do you know why they left?
A franchisor will call these “transitions.” An owner three doors down usually knows whether they sold at a profit or handed the keys back.
FDD Item 20 · FY2025
- 02
13 units transferred to new owners in fiscal 2025. When you look at those, were they people cashing out a good business — or getting out of a bad one?
Item 20 counts transfers as neutral, but a transfer can be a good sale or a reluctant exit — the filing does not say which.
FDD Item 20 · FY2025
- 03
REAL PROPERTY MANAGEMENT makes an earnings claim in Item 19. Does your unit look like that number — and do you know which units they included to build it?
Item 19 is legal to build from a flattering subset. Ask whether they excluded new units, closed units, or company stores.
FDD Item 19 · 2026
- 04
How many months did it take to cover your own costs, and how much cash did you burn getting there?
Ramp-to-breakeven working capital is the most underestimated line in any franchise purchase, and the most common reason otherwise-good units fail.
Not disclosed in any FDD — ask an owner
- 05
Item 3 discloses 6 legal matters. Do you know what those were about, and were any brought by franchisees?
Franchisee-brought suits over territory, fees or support tell you how the franchisor behaves when there's a disagreement.
FDD Item 3 · 2026
- 06
What does the franchisor charge for that you didn't expect — required tech fees, mandatory remodels, approved-supplier pricing?
Required spending appears across Items 6, 8 and 11 rather than in one place, so buyers routinely miss the total.
FDD Items 6, 8, 11
- 07
If your agreement came up for renewal tomorrow at current terms, would you sign again?
The single most predictive question you can ask. A hesitation is the answer.
Ask every owner you speak to
- 08
Who else should I call — including someone who left?
The franchisor's list is curated by definition. Former franchisees are where the unflattering truth lives, and current owners usually know how to reach them.
Ask every owner you speak to
Want this as a checklist you can take to the calls?
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A broker is usually paid by the franchisor to place you. I'm paid only by you, never by a franchisor you're considering — and the job is pressure-testing REAL PROPERTY MANAGEMENT’s numbers, including talking you out of a bad deal.
This page is what buyers see before they call you for validation. If the record above is wrong — or right in a way the numbers can't show — say so. Franchisors: send corrections with the page reference and we will review them against the filing and update or annotate the page. Corrections are checked against the filings; nothing you write is published with your name unless you agree to it.
REAL PROPERTY MANAGEMENT franchise questions, answered from the filings
How many REAL PROPERTY MANAGEMENT franchised outlets left the system last year?
In REAL PROPERTY MANAGEMENT's latest FDD Item 20 (fiscal 2025), 28 of 447 franchised outlets left the system — an exit rate of 6.3% — compared with a 7.1% median across 21 comparable systems (real estate) tracked here. That counts terminations, non-renewals, and "ceased operations — other reasons" as the franchisor reported them; it excludes transfers to new owners. The FDD does not say why each outlet left, and an exit is not the same as a failure.
How much does a REAL PROPERTY MANAGEMENT franchise cost?
Per REAL PROPERTY MANAGEMENT's 2026 FDD, buying in requires an initial franchise fee of $69,900 (Item 5) and a total initial investment of $99K–$244K (Item 7).
Does REAL PROPERTY MANAGEMENT disclose earnings (Item 19)?
Yes — REAL PROPERTY MANAGEMENT makes a financial performance representation in Item 19 of its 2026 FDD. Read it closely: franchisors choose which units and which metrics to include.