ERA Real Estate Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
ERA Real Estate is a residential real-estate brokerage franchise. Franchisees run offices recruiting and supporting agents, managing listings and transactions, and earning from commissions.
FranchiseVerdict summary · 2026
A ERA Real Estate franchise requires a total initial investment of $33K – $260K, including a $25K franchise fee and an ongoing 6.0% royalty[2]. The 2024 FDD does not disclose unit-level revenue (no Item 19). SBA 7(a) loans show a 27.3% charge-off rate across 11 loans[1]. FranchiseVerdict grade: C (Average), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2024 FDD issuance
Overview
- Investment
- $33K – $260K
- 15th pct Real Estate
- Avg gross sales
- N/A
- Royalty
- 6.0%
- 21st pct Real Estate
- Units
- 464
- 80th pct Real Estate
- SBA charge-off
- 27.3%
- % of SBA 7(a) loans not repaid · median varies by category
Quick verdict · Real Estate · color = vs category peers
Green = favorable by >10% vs Real Estate avg · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $33K – $260K including a $25K franchise fee, 6.0% ongoing royalty.
- RETURNSConsolidated financial statements of parent/guarantor companies Anywhere Real Estate Inc. and Anywhere Real Estate Group LLC (no stand-alone statements of franchisor ERA Franchise Systems LLC are included). Net revenues in millions: $5,636 (2023), $6,908 (2022), $7,983 (2021). 2023 revenue components: gross commission income $4,570M, service revenue $569M, franchise fees $351M, other $146M. Net loss of $(98)M for 2023. Total stockholders' equity $1,679M; total equity (incl. noncontrolling interests) $1,681M. As of December 31, 2023.
- RISKVerdict C (Average), verdict score 40/100 (higher is better). SBA loan charge-off rate of 27.3% across 11 loans (well above the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2025).
- DATANo Item 19 financial performance representation. Without franchisor-disclosed revenue data, you'll need to gather unit economics directly from existing franchisees.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- ERA Franchise Systems LLC
- Parent company
- Anywhere Real Estate Services Group LLC
- Ultimate parent
- Anywhere Real Estate Inc.
- CEO title
- President
- Alex Vidal
- Incorporated in
- DE
- HQ
- 175 Park Avenue, Madison, New Jersey 07940
- Auditor
- PricewaterhouseCoopers LLP
- Audited financials
- Franchisor revenue
- $5.6B
- vs $6.9B prior year
Overview
About
- CEO
- Alex Vidal
- Headquarters
- NJ
- Founded
- 1972
- FDD year
- 2024
- States available
- 44
Can you afford it, and what does the money buy?
Entry cost runs 31% below the typical real estate franchise.
Source: FDD 2024 · Items 5–7
Full Item 7 breakdown19 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $0 | $25K | |
| Real Estate | — | — | |
| Leasehold Improvements | $0 | $105K | |
| Yard Signs/Posts/Frames | $5K | $10K | |
| Open House Signs | $800 | $2K | |
| Exterior Signs | $700 | $20K | |
| Miscellaneous Riders | $200 | $400 | |
| Name Badges | $120 | $400 | |
| Miscellaneous | $250 | $500 | |
| Printed Materials | $5K | $8K | |
| Computer Equipment and Electronic Data System | $5K | $10K | |
| Website | $0 | $10K | |
| Multiple Listing Service (MLS) Dues | $0 | $3K | |
| Data Feed Transmission | $0 | $5K | |
| Insurance Deposits and Premiums | $500 | $4K | |
| Travel and Living Expenses During LaunchERA | $500 | $3K | |
| Legal Expenses | $0 | $4K | |
| Advertising/Public Relations, including Grand Opening Promotion | $0 | $10K | |
| Additional Funds (3 months) | $15K | $40K | |
| Total initial investment | $33K | $260K |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $33K – $260K
- Top 40% of category vs category
- Liquid capital req'd
- $15K – $40K
- Middle of category vs category
- Franchise fee
- $25K – $25K
- Top 40% of category vs category
- Royalty
- 6.0%
- percentage · typical 6–8%
- Ad fund
- 1.5%
- typical 3–5%
- Total fee load
- 7.5%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 1.5% of gross sales |
| Transfer fee | $5K |
| Renewal fee | $0 |
| Total fee load | 7.5% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
ERA Real Estate did not disclose financial performance in FDD Item 19. The ROIC and return models require Item 19 revenue. Without it all inputs are estimates. You can still run the calculator with your own assumptions by entering an expected revenue figure.
Returns model · single-unit ROIC
What would one ERA Real Estate unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
67%
Above the 30–60% band. Verify revenue is per-unit average
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2024 FDD
Financial Performance
Consolidated financial statements of parent/guarantor companies Anywhere Real Estate Inc. and Anywhere Real Estate Group LLC (no stand-alone statements of franchisor ERA Franchise Systems LLC are included). Net revenues in millions: $5,636 (2023), $6,908 (2022), $7,983 (2021). 2023 revenue components: gross commission income $4,570M, service revenue $569M, franchise fees $351M, other $146M. Net loss of $(98)M for 2023. Total stockholders' equity $1,679M; total equity (incl. noncontrolling interests) $1,681M. As of December 31, 2023.
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Fee burden
Total ongoing fee load of 7.5% — below the Real Estate average of 9.1%.
Disclosure
Franchisor chose not to disclose financial performance representations. You will need to gather unit economics directly from existing franchisees.
Operator retention
System roughly stable (-1.7% 3-year CAGR) with 464 units.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Real Estate averages
How ERA Real Estate Compares
Is the system healthy?
Source: FDD 2024 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 464
- Opened
- 31
- Last reporting year
- Closed
- 25
- Terminated
- 2
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 10
- Term expired, not renewed (per Item 20)
- Turnover rate
- 8.0%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (3-yr)
- -1.7%
- Net unit change over 3 years
- 3-yr CAGR
- -1.7%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 31
- Closed (3yr)
- 25
- Terminated (3yr)
- 2
- Non-renewed (3yr)
- 10
- Transfers (3yr)
- 2
- Reacquired (3yr)
- 0
- Franchisor bought back
- Projected new
- 40
- Franchisor's next-year forecast
- Transfer rate
- 0.4%
- Owners selling to other franchisees
- Termination rate
- 2.5%
- Franchisor-initiated terminations
- Ceased ops
- 5.3%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 45 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator. Not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
Available to sell in · Item 12
- California
- Hawaii
- Illinois
- Indiana
- Michigan
- New York
- North Dakota
- Rhode Island
- South Dakota
- Wisconsin
States where the franchisor is registered to sell new franchises (FDD registration filings).
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 11
- Loan volume
- $818K
- Median loan
- $60K
- 50th percentile
- Charge-off rate
- 27.3%
- rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- 72.7%
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 9
- Defaults
- 3
- Typical loan rate
- N/A
- Franchised industry avg
- 21.5%
- brand above franchise avg ↑
- Jobs supported
- 12
- 1.5 per loan
- Lender concentration
- 18%
- top lender's share
Franchise vs independent — in residential property managers, franchised businesses charge off at 21.5% vs 27.5% for independents — franchising is associated with 22% lower SBA default risk in this category.
Top lenders financing ERA Real Estate franchisees
Showing 3 of 9 lenders. The full breakdown — every lender, state distribution, interest rates & risk ratings — is in the SBA Lending Report below.
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into ERA Real Estate's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 9 lenders with concentration factor
- Per-state charge-off rates across 8 states
- Startup risk premium and job creation velocity
- 4-year lending trend
- SBA 504 real estate/equipment data
Instant access. No subscription.
A 27.3% charge-off rate means roughly 1 in 4 franchisees failed to repay their SBA loan. Investigate what changed.
What could kill this investment?
SBA loans charge off at 27.3% — 70% above the 16.0% national norm, i.e. higher lender-observed risk.
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
ERA Real Estate presents high-risk investment characteristics: a shrinking franchise network, hidden financial performance metrics, active antitrust litigation threatening the business model, unprotected territory, and documented franchisor-franchisee disputes.
Litigation (Item 3)
Multiple matters disclosed including antitrust class actions related to NAR commission practices (Moehrl, Burnett, Nosalek settled for $83.5M by Anywhere), TCPA class action against Anywhere Advisors, and various franchise collection actions resolved in favor of ERA.
Largest disclosed settlement: $83,500,000
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · PricewaterhouseCoopers LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
ⓘ These are the parent company's consolidated financials (the parent guarantees the franchisor), not this brand's standalone results — the figure reflects the whole corporate group, not this brand alone.
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
Score breakdown · what drove the 40 / 100 verdict
- 01MINORDeclining unit count (-1.3% YoY) signals system contraction and potential franchisee dissatisfaction
- 02MEDNo disclosed average revenue or net income (missing FTC Item 19) prevents accurate ROI assessment and suggests underperformance
- 03MEDMultiple active antitrust class actions (Moehrl, Burnett, etc.) regarding commission practices create regulatory and reputational risk to franchisees
- 04MINORUnprotected territory exposes franchisees to direct competition from other ERA licensees and internal cannibalization
- 05MINORPending and resolved contract disputes with former franchisees indicate potential franchisor-franchisee relationship issues
- 06HIGHTrademark infringement litigation suggests brand IP vulnerabilities that could affect franchisee operations
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 7.5% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2024 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Allowed renewalsℹ | 0 |
| Territory type | none |
| Protected territory | No |
| Exclusive territoryℹ | No |
| Online sales rightsℹ | Granted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Right of first refusalℹ | Yes |
| RoFR response window | 120 days |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Curable defaultsℹ | 7 |
| Mandatory arbitration | No |
| Jury trial waiver | No |
| Governing law | NJ |
| Litigation count | 9 |
View Item 3 litigation summary
Multiple matters disclosed including antitrust class actions related to NAR commission practices (Moehrl, Burnett, Nosalek settled for $83.5M by Anywhere), TCPA class action against Anywhere Advisors, and various franchise collection actions resolved in favor of ERA.
Items 10, 11
Training & Operations
- Classroom training
- 25 hrs
- On-the-job training
- 0 hrs
- Training location
- ERA headquarters in Madison, New Jersey, or virtually
- Ongoing training
- Required
- Time to open
- 1 mo
- From signing to launch
- Site selection
- Franchisee
- Franchisor financing
- Offered
- Item 10
- POS system
- Internet Reporting System
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Internet Reporting System
Item 20 · call current owners
Franchisee Contacts
455 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
ERA Real Estate · FDD (2024) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a ERA Real Estate franchise?
The total investment to open a ERA Real Estate franchise ranges from $33K – $260K, with an initial franchise fee of $25K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do ERA Real Estate franchise owners earn?
ERA Real Estate does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
What is Item 19 in the ERA Real Estate FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the ERA Real Estate FDD and qualifies whose outlets they describe.
What is ERA Real Estate's franchise failure rate?
Based on SBA 7(a) loan data, ERA Real Estate has a charge-off rate of 27.3% across 11 loans, meaning 27.3% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
How many ERA Real Estate franchise locations are there?
As of their most recent FDD filing, ERA Real Estate has 464 total units in the United States, including 464 franchised units and 0 company-owned units. 31 new units were opened in the latest reporting year.
Is ERA Real Estate a good franchise to buy?
FranchiseVerdict rates ERA Real Estate as a C-grade franchise with a verdict score of 40 out of 100 (higher is better), based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
For franchisors
Are you the franchisor?
If you represent ERA Real Estate, you can request corrections or provide updated information.
Other Real Estate franchises
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.