Howard Hanna Franchise Cost, Revenue & Review 2026
Data from FDD filing
Analysis by FranchiseVerdict Research · Methodology
Howard Hanna is a residential real-estate brokerage franchise concentrated in the eastern United States. Franchisees run offices recruiting and supervising agents, managing listings and transactions, and earning from commissions.
FranchiseVerdict summary · 2026
A Howard Hanna franchise requires a total initial investment of $45K – $259K, including a $25K franchise fee. The 2025 FDD does not disclose unit-level revenue (no Item 19). FranchiseVerdict grade: A (Strongest tier), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2025 FDD issuance
Overview
- Investment
- $45K – $259K
- 26th pct Real Estate
- Avg gross sales
- N/A
- Royalty
- N/A
- Units
- 451
- 79th pct Real Estate
- SBA charge-off
- N/A
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 $45K – $259K including a $25K franchise fee.
- RETURNSFigures from the audited financial statements of Howard Hanna Real Estate Associates, LLC (the franchisor/Company), Pittsburgh, PA, FY ended December 31, 2024 (most recent of 2024/2023/2022 presented). Stated in whole US dollars (not in thousands). Primary revenue line is "Fee Income" of $2,324,417 (2024) vs $2,414,023 (2023). Interest income of $22,415 reported separately (other_revenue). Net income $882,262. Balance sheet reconciles: total liabilities $244,155 + member's equity $1,486,620 = total assets $1,730,775. Single entity; no separate parent statements presented. Auditor: Schneider Downs & Co., Inc., dated March 14, 2025.
- RISKVerdict A (Strongest tier), verdict score 66/100 (higher is better).
- DECLINESystem contracting at -8.3% CAGR over 3 years. Investigate whether closures are franchisor-driven (consolidation) or franchisee-driven (economics).
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Howard Hanna Real Estate Associates, LLC
- Parent company
- Hanna Holdings, Inc.
- Predecessor
- and affiliates have not offered
- Prior franchisor entity
- CEO title
- President / Chief Executive Officer
- Helen Hanna Casey
- Incorporated in
- PA
- HQ
- 119 Gamma Drive, Pittsburgh, Pennsylvania 15238
- Auditor
- Schneider Downs & Co., Inc.
- Audited financials
- Franchisor revenue
- $2.3M
- vs $2.4M prior year
Overview
About
- CEO
- Helen Hanna Casey
- Headquarters
- PA
- Founded
- 2010
- FDD year
- 2025
- States available
- 12
Can you afford it, and what does the money buy?
Entry cost runs 29% below the typical real estate franchise.
Source: FDD 2025 · Items 5–7
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $25K | $25K |
| Working capital (3–6 mo) | $8K | $30K |
| Equipment, build-out, other | $12K | $204K |
| Total initial investment | $45K | $259K |
Source: Howard Hanna 2025 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $45K – $259K
- Top 40% of category vs category
- Liquid capital req'd
- $8K – $30K
- Top 40% of category vs category
- Franchise fee
- $25K – $25K
- Top 40% of category vs category
- Royalty
- 6% of first $1M Annual Gross Receipts; 5.5% of $1M-$2M; 5…
- Ad fund
- No advertising fund required; franchisees are not require…
- Total fee load
- 6.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Transfer fee | $6K |
| Renewal fee | $5K |
| Inventory (initial) | $4K – $12K |
| Total fee load | 6.0% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
Howard Hanna 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 Howard Hanna unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
61%
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: 2025 FDD
Financial Performance
Figures from the audited financial statements of Howard Hanna Real Estate Associates, LLC (the franchisor/Company), Pittsburgh, PA, FY ended December 31, 2024 (most recent of 2024/2023/2022 presented). Stated in whole US dollars (not in thousands). Primary revenue line is "Fee Income" of $2,324,417 (2024) vs $2,414,023 (2023). Interest income of $22,415 reported separately (other_revenue). Net income $882,262. Balance sheet reconciles: total liabilities $244,155 + member's equity $1,486,620 = total assets $1,730,775. Single entity; no separate parent statements presented. Auditor: Schneider Downs & Co., Inc., dated March 14, 2025.
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 6.0% — 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 contracting at -8.3% CAGR over 3 years. Investigate whether closures are franchisor-driven consolidation or franchisee exits.
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 Howard Hanna Compares
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 451
- Opened
- 0
- Last reporting year
- Closed
- 1
- Turnover rate
- 2.3%
- Company-owned
- 407
- Corporate units in the system
- % franchised
- 10%
- vs corporate-owned
- Net growth (3-yr)
- -8.3%
- Net unit change over 3 years
- 3-yr CAGR
- -8.3%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 0
- Closed (3yr)
- 1
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 0
- Reacquired (3yr)
- 0
- Franchisor bought back
- Continuity rate
- 97.8%
- Units that stayed open
- Ceased ops
- 2.1%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 7 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
- Minnesota
- North Dakota
- Rhode Island
- South Dakota
- Washington
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.
No SBA loan data available for this brand.
What could kill this investment?
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Opaque financial performance data combined with going concern flag and substantial fixed royalty minimums create material risk; real estate market sensitivity and lack of disclosed franchisee profitability metrics demand extensive validation.
Litigation (Item 3)
0 case reference(s): 3 pending, 0 settled.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Schneider Downs & Co., Inc.
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: No
- Kickbacks from required suppliers: No
- Must buy proprietary products: No
- Restricted to system-approved products: Yes
Score breakdown · what drove the 66 / 100 verdict
- 01MEDNo Item 19 financial performance data disclosed — impossible to validate ROI claims or typical unit economics
- 02HIGHGoing Concern status is FALSE, suggesting potential financial instability or accounting issues at franchisor level
- 03MINORMinimum royalty of $25,000/year creates fixed cost burden regardless of revenue; franchisees hitting $416,667 in AGR break even on 6% rate
- 04MINORWide investment range ($45K–$258.5K) indicates highly variable startup costs and unclear initial capital requirements
- 05MINOR452 units with unknown growth trajectory — no disclosure of unit openings/closures makes it impossible to assess system health
- 06MINORSliding royalty scale heavily incentivizes high-volume operations; smaller franchisees subsidize system through minimum fees
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 6.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2025 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Territory type | protected |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory radius | 1 mi |
| Online sales rightsℹ | Granted |
| Franchisor can compete | Yes |
| Hire a manager? | Not allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 25 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 60 days |
| Curable defaultsℹ | 3 |
| Mandatory arbitration | No |
| Arbitration location | Pennsylvania |
| Jury trial waiver | Yes |
| Governing law | PA |
| Litigation count | 0 |
View Item 3 litigation summary
0 case reference(s): 3 pending, 0 settled.
Items 10, 11
Training & Operations
- Classroom training
- 15 hrs
- On-the-job training
- 0 hrs
- Training location
- Franchisor offices at 119 Gamma Drive, Pittsburgh, PA or Hanna Holdings brokerage offices, or live webinars
- Time to open
- 1 mo
- From signing to launch
- Site selection
- Franchisee selects; franchisor approves within 30 days
- Franchisor financing
- Not offered
- Item 10
- POS system
- Profit Power
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Profit Power
Item 20 · call current owners
Franchisee Contacts
44 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Howard Hanna · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Howard Hanna franchise?
The total investment to open a Howard Hanna franchise ranges from $45K – $259K, 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 Howard Hanna franchise owners earn?
Howard Hanna 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 Howard Hanna 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 Howard Hanna FDD and qualifies whose outlets they describe.
What is Howard Hanna's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Howard Hanna (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many Howard Hanna franchise locations are there?
As of their most recent FDD filing, Howard Hanna has 451 total units in the United States, including 44 franchised units and 407 company-owned units.
Is Howard Hanna a good franchise to buy?
FranchiseVerdict rates Howard Hanna as a A-grade franchise with a verdict score of 66 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
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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.