FranchiseVerdict
Intero Real Estate Services / Intero Resorts logo
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Intero Real Estate Services / Intero Resorts

Real EstateFranchising since 2005Website
Investment
$210K – $855K
98th pct Real Estate
Avg revenue
32nd pct Real Estate
Royalty
5.0%
13th pct Real Estate
Units
40
30th pct Real Estate
SBA default

Bottom line

  • Total investment $210K – $855K including a $25K franchise fee, 5.0% ongoing royalty.
  • No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
  • Rated CAUTION with a risk score of 72/100.
  • System contracting at -21.2% 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
INTERO FRANCHISE SERVICES, INC.
Parent company
HomeServices of California, Inc.
Incorporated in
California
HQ
10080 N. Wolfe Road Suite SW3, Cupertino, California 95014

Yale framework · single-unit ROIC

Returns Analysis

Pulls Item 7 (investment) and Item 19 (revenue) from this brand's FDD into the Yale unlevered-ROIC formula. Override any input to stress-test it against your own assumptions.

The model · Yale framework

What would one Intero Real Estate Services / Intero Resorts unit return on the cash you put in?

Revenue · per unit, per year
$
Item 19 not disclosed — typing your own estimate
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: generic
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $210K–$855K
Working capital
$
FDD reports $75K–$150K

Unlevered ROIC · per unit

17%

Below typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$113K
EBITDA margin
15.0%
Total invested
$645K
Payback
69 mo
Unit-level only. A multi-unit portfolio gives up roughly 5–15% of this to shared services (corporate G&A) before reaching the ~10-unit break-even Yale describes.

Overview

About

Intero franchisees operate residential real estate brokerage offices, managing agents who list and sell properties, managing transaction coordination, and handling buyer/seller relationships. Revenue depends entirely on commission splits from agent productivity and market conditions. Franchisees must recruit and retain licensed agents in an increasingly commoditized brokerage market.

CEO
Brian Crane
Founded
2004
FDD year
2025
States available
3

Item 7 · what it costs

The Vitals

Total investment
$210K – $855K
All-in to open one unit
Liquid capital
$75K – $150K
Cash you must have on hand
Franchise fee
$25K
Royalty
5.0%
Gross Revenue · typical 6–8%
Ad fund
n/d
Total fee load
5.0%
vs 9–13% typical

Item 19

Financial Performance

This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.

Item 20 · unit dynamics

The Growth Chart

Total units
40
Opened
0
Last reporting year
Closed
3
Turnover rate
7.5%
Company-owned
14
Corporate units in the system
% franchised
65%
vs corporate-owned
Net growth (yr3)
-10.3%
Net unit change last year
3-yr CAGR
-21.2%
Compounded over last 3 years
2023
26-3
Franchised units
2024
29
Franchised units
2025
33
Franchised units

Year-over-year franchised unit counts and net change. Source: FDD Item 20.

Item 20 · 4 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).

AK
ME
VT
NH
MA
RI
CT
NY
NJ
PA
DE
MD
DC
WA
OR
CA
NV
ID
MT
WY
UT
CO
AZ
NM
ND
SD
NE
KS
OK
TX
MN
IA
MO
AR
LA
WI
IL
MS
TN
MI
IN
KY
AL
OH
WV
GA
VA
NC
SC
FL
HI
Registered · 4 states
Not registered

States derived from franchisee phone area codes (Item 20). Approximate — ported numbers may show the original state, not the franchisee's current location.

Government records

SBA Loan Data

Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.

No SBA loan data available for this brand.

FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17

Risk & Legal

72
Risk · 0-100
CAUTION72 / 100

Contracting franchise system facing material antitrust litigation, zero financial transparency, and unprotected territory creates elevated risk of franchisee underperformance and legal exposure.

Score breakdown · what drove the 72 / 100 rating

  1. 01MINORUnit count declining 10.3% YoY (40 units) indicates system contraction and potential franchisee underperformance or attrition
  2. 02MEDMultiple active antitrust and commission-fixing lawsuits with jury verdict against parent companies creating ongoing legal/reputational risk and potential operational disruptions
  3. 03MINORNo Item 19 (average revenue/net income) disclosure prevents assessment of actual franchisee profitability and ROI on $210k–$855k investment
  4. 04MINORUnprotected territory creates direct competition risk from other Intero franchisees and company-owned locations in same market
  5. 05MINORHigh upper-end investment ($855k) paired with declining unit economics suggests franchisees may be struggling to justify capital outlay
  6. 06MED10-year term is long-duration commitment in volatile real estate market with no clear exit liquidity or buyback provisions disclosed

Severity inferred from the FDD text · not a regulatory classification

FDD Items 5, 6, 12, 17 · continued from Risk & Legal

Contract & Territory Detail

Protected territory
No
Initial term
10 years
Renewal term
10 years
Online sales rights
Granted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
3
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
Yes
Jury trial waiver
Yes
Owner-operator
Optional
Governing law
Delaware

Item 11

Training & Operations

Classroom training
0 hrs
On-the-job training
0 hrs

Item 20

Franchisee Contacts

Phone numbers extracted directly from this brand's FDD Item 20. After purchase, you'll also receive a list of validation questions tailored to this brand.

Franchisee contacts

33 numbers

Locked
(213) 576-••••
Suite
CA
(415) 972-••••
One Sansome Street, Suite
CA
(916) 683-••••
CA

One-time purchase · CSV download · Validation questions included

FDD download

Intero Real Estate Services / Intero Resorts · FDD (2025) PDF

Single-page checkout · instant download · CSV export of contacts available separately above