Howard HannaFranchise Cost, Revenue & Review 2026
Data from FDD filing
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). Verdict grade: B. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $45K – $259K
- 23rd pct Real Estate
- Avg gross sales
- N/A
- 25th pct Real Estate
- Royalty
- N/A
- Units
- 452
- 68th pct Real Estate
- SBA default
- N/A
Quick verdict · Real Estate · color = vs category peers
Green = >15% above Real Estate avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Franchised units fell from 48 to 45 over 3 years. Investigate why operators are leaving.
Bottom line
- Total investment $45K – $259K including a $25K franchise fee.
- No Item 19 financial performance data disclosed. The franchisor chose not to publish revenue figures.
- Verdict B (Above Average) with a risk score of 55/100.
- System contracting at -6.2% CAGR over 3 years. Investigate whether closures are franchisor-driven (consolidation) or franchisee-driven (economics).
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- Howard Hanna Real Estate Associates, LLC
- Parent company
- Hanna Holdings, Inc.
- Predecessor
- and affiliates have not offered
- Prior franchisor entity
- Incorporated in
- PA
- HQ
- 119 Gamma Drive, Pittsburgh, Pennsylvania 15238
- Auditor
- Schneider Downs & Co., Inc.
- Audited financials
- Franchisor revenue
- $2.4M
- vs $2.3M prior year
Overview
About
Howard Hanna franchisees operate residential real estate brokerage offices, managing agents who list and sell properties. Franchisees recruit and supervise sales agents, handle client relationships, manage listings, and coordinate transactions while paying royalties on gross receipts. The model relies on local market activity and agent productivity in a cyclical, interest-rate-sensitive industry.
- CEO
- Helen Hanna Casey
- Headquarters
- PA
- Founded
- 2010
- FDD year
- 2025
- States available
- 12
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
- Better than avg vs category
- Liquid capital req'd
- $8K – $30K
- Better than avg vs category
- Franchise fee
- $25K – $25K
- Better than avg vs category
- Royalty
- Sliding scale: 6% of first $1M Annual Gross Receipts, dec…
- Ad fund
- -n/d
- Total fee load
- 6.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Transfer fee | $25 |
| Renewal fee | $5K |
| Inventory (initial) | $4K – $12K |
| Total fee load | 6.0% of rev |
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
vs Real Estate averages
How Howard Hanna Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 452
- Opened
- 0
- Last reporting year
- Closed
- 1
- Turnover rate
- 0.2%
- Company-owned
- 407
- Corporate units in the system
- % franchised
- 10%
- vs corporate-owned
- Net growth (yr3)
- +0.0%
- Net unit change last year
- 3-yr CAGR
- -6.2%
- Compounded over last 3 years
3-year detail · Item 20
- Closed (3yr)
- 4
- 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.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
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)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Must buy proprietary products: No
- Restricted to system-approved products: Yes
Score breakdown · what drove the 55 / 100 rating
- 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
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Territory type | Radius |
| Protected territory | Yes |
| Online sales rightsℹ | Granted |
| Franchisor can compete | Yes |
| Hire a manager? | Not allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| Termination notice | 60 days |
| Curable defaultsℹ | 3 |
| Mandatory arbitration | No |
| Jury trial waiver | Yes |
| Governing law | Pennsylvania |
| 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
- On-site and corporate
- Site selection
- franchisee
- 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 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 452 total units in the United States, including 48 franchised units and 407 company-owned units.
Is Howard Hanna a good franchise to buy?
FranchiseVerdict rates Howard Hanna as a B-grade franchise with a risk score of 55 out of 100, 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.
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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.