Howard Hanna Franchise Cost, Revenue & Review 2026
- Investment
- $45K – $259K
- Disclosed sales
- not disclosed
- SBA charge-off
- Not SBA-matched
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 and an ongoing 6.0% royalty[2]. This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. FranchiseVerdict grade: B (Above average), an editorial assessment, not investment advice. Run a live ROI scan →
Sources, dates and evidence
FDD issued: · Data extracted: · Last cited check: · Staleness risk: medium - issued 12 to 24 months ago; a newer filing is likely on file
Evidence: strong✓ Investment (Item 7)✓ Item 19 status✓ Units and owners (Item 20)✗ SBA loan coverage✓ Litigation (Item 3)✓ Financial statements (Item 21)✓ Franchisor identityhow this is scored3 of 4 headline figures on this page cite a page of the filing; the rest are marked “Not cited” beside the figure.
Overview
- Investment
- $45K – $259K
- 26th pct Real Estate
- Avg gross sales
- N/A
- Royalty
- 6.0%
- 24th pct Real Estate
- Units
- 452
- 79th pct Real Estate
- SBA charge-off
- N/A
Quick verdict · Real Estate · color = vs category peers
Green = favorable by >10% vs Real Estate median · 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, 6.0% ongoing royalty.
- RETURNSThis franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.
- RISKVerdict B (Above average), verdict score 65/100 (higher is better).
- GROWTHFlat: no net change in franchised outlets in the latest year (0 opened, 1 closed) (Item 20).
- 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.
- FDD Item 1, page 12 of the 2025 FDD
- 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 14% above 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
- 6.0%
- Tiered by sales volume · typical 6–8%
- 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 |
|---|---|
| Royalty | 6.0% of gross sales |
| 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 makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. The return models need a revenue figure to start from, and the operating costs that turn gross sales into a profit are in no FDD. Enter your own and the calculator runs on your assumptions — nothing here is modelled until you do.
Returns model · single-unit ROIC
What would one Howard Hanna unit return on the cash you put in?
Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.
Unlevered ROIC · per unit
Your modelled return on total invested capital, before any debt financing.
—
An FDD discloses gross sales, not profit. We hold no sourced figure for annual revenue, ad fund rate, COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
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
No financial performance representation
This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.
Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
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 median of 7.5%.
Disclosure
This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
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 medians
How Howard Hanna Compares
Category median of published Real Estate brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 452
- 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
Last fiscal year · Item 20 exits and transfers
- Signed, not yet open
- 0
- 0.00 per open outlet · Item 20 Table 5
- Projected new
- 6
- Franchisor's next-year forecast
- 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).
Where the owners are · Item 20 owner list
44 current owners across 7 states.
- PA 26
- NY 7
- OH 4
- IN 2
- MI 2
- WV 2
- NC 1
Counts only, from the list the franchisor prints in Item 20. Names and phone numbers are for your own due diligence and are not shown here.
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
Litigation (Item 3)
Subject: officers or affiliates. The franchisor is not a named party in these cases.
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)
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.
ⓘ 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 65 / 100 verdict
- 01MEDNo Item 19 financial performance data disclosed — impossible to validate ROI claims or typical unit economics
- 02MINORMinimum royalty of $25,000/year creates fixed cost burden regardless of revenue; franchisees hitting $416,667 in AGR break even on 6% rate
- 03MINORWide investment range ($45K–$258.5K) indicates highly variable startup costs and unclear initial capital requirements
- 04MINOR452 units with unknown growth trajectory — no disclosure of unit openings/closures makes it impossible to assess system health
- 05MINORSliding 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 territory |
| 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
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 makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Who owns Howard Hanna?
Howard Hanna is franchised by Howard Hanna Real Estate Associates, LLC. Its parent company is Hanna Holdings, Inc.. Source: FDD Item 1, 2025 filing.
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 452 total units in the United States, including 45 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 verdict score of 65 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. 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.