Keller Williams Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Keller Williams is one of the largest residential and commercial real-estate brokerage franchises by agent count. Franchisees run market-center offices recruiting, training, and supporting agents, earning from commission splits.
FranchiseVerdict summary · 2026
A Keller Williams franchise requires a total initial investment of $182K – $336K, including a $35K 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 →
Data last verified · figures per the 2025 FDD issuance
Overview
- Investment
- $182K – $336K
- 82nd pct Real Estate
- Avg gross sales
- N/A
- Royalty
- 6.0%
- 24th pct Real Estate
- Units
- 773
- 85th 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 $182K – $336K including a $35K 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 64/100 (higher is better).
- LEGAL29 litigation matters disclosed in Item 3, higher than typical. Review the summary for patterns (franchisor-initiated vs. franchisee-initiated).
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Keller Williams Realty, LLC
- Parent company
- KW Intermediate Co LLC
- Ultimate parent
- Trident Keller Williams Realty Holdings, Inc.
- Predecessor
- Keller Williams, Inc. Realtors
- Prior franchisor entity
- CEO title
- Chief Executive Officer and President
- Chris Czarnecki
- Incorporated in
- TX
- HQ
- 1221 South Mopac Expressway, Suite 400, Austin, Texas 78746
- Auditor
- RSM US LLP
- Audited financials
- Franchisor revenue
- $431.9M
- vs $497.3M prior year
Overview
About
- CEO
- Chris Czarnecki
- Headquarters
- TX
- Founded
- 1983
- FDD year
- 2025
- States available
- 51
Can you afford it, and what does the money buy?
Entry cost runs 18% 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 | $35K | $35K |
| Working capital (3–6 mo) | $75K | $150K |
| Equipment, build-out, other | $72K | $151K |
| Total initial investment | $182K | $336K |
Source: Keller Williams 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
- $182K – $336K
- Bottom third — review vs category
- Liquid capital req'd
- $75K – $150K
- Bottom third — review vs category
- Franchise fee
- $35K – $35K
- Middle of category vs category
- Royalty
- 6.0%
- typical 6–8%
- Ad fund
- 0.5%
- typical 3–5%
- Total fee load
- 6.5%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 0.5% |
| Technology fee | $79 |
| Training fee | $60 |
| Transfer fee | $2K |
| Renewal fee | $4K |
| Inventory (initial) | $4K – $7K |
| Total fee load | 6.5% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
Keller Williams 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 Keller Williams 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, 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 6.5% — below the Real Estate average of 9.3%.
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 -2.8% 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 Keller Williams Compares
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 773
- Opened
- 9
- Last reporting year
- Closed
- 9
- Terminated
- 4
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 5
- Term expired, not renewed (per Item 20)
- Turnover rate
- 2.4%
- Company-owned
- 11
- Corporate units in the system
- % franchised
- 99%
- vs corporate-owned
- Net growth (3-yr)
- -2.8%
- Net unit change over 3 years
- 3-yr CAGR
- -2.8%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 9
- Closed (3yr)
- 9
- Terminated (3yr)
- 4
- Non-renewed (3yr)
- 5
- Transfers (3yr)
- 13
- Reacquired (3yr)
- 5
- Franchisor bought back
- Projected new
- 0
- Franchisor's next-year forecast
- Transfer rate
- 1.7%
- Owners selling to other franchisees
- Termination rate
- 0.7%
- Franchisor-initiated terminations
- Ceased ops
- 1.2%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 51 states reported
The Territory Map
FDD Item 12 reports the state count, but the specific list isn't in our current data. The map will appear once we re-extract from the FDD or enough franchisee contacts are available.
51
states with franchisees (per FDD Item 12)
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 12
- Loan volume
- $5.8M
- Median loan
- $155K
- 50th percentile
- Charge-off rate
- N/A
- no resolved loans yet — rate needs a terminal outcome
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 11
- Defaults
- 0
- Typical loan rate
- 6.4%
- avg rate to borrowers
- Franchised industry avg
- 14.8%
- n=527 loans
- Jobs supported
- 431
- 7.4 per loan
- Lender concentration
- 17%
- top lender's share
Franchise vs independent — in offices of real estate agents and brokers, franchised businesses charge off at 14.8% vs 29.6% for independents — franchising is associated with 50% lower SBA default risk in this category.
Top lenders financing Keller Williams franchisees
Showing 3 of 11 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 Keller Williams's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 10 lenders with concentration factor
- Per-state charge-off rates across 8 states
- Startup risk premium and job creation velocity
- 7-year lending trend
- SBA 504 real estate/equipment data
Instant access. No subscription.
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
Keller Williams presents HIGH RISK due to declining unit count, unresolved antitrust litigation threatening commission model viability, absence of financial performance disclosure, unprotected territory, and going concern indicators.
Litigation (Item 3)
Multiple pending antitrust class actions (Moehrl/Sitzer/buyer-side) related to MLS buyer broker commission conspiracies; several TCPA class actions; individual business disputes (Davis, Basinski, Morris, Fetick, Coffey, Montalbano); global $70M settlement of Moehrl/Sitzer/Umpa cases achieved in 2024; several concluded cases settled including $40M TCPA class settlement (DeShay)
Largest disclosed settlement: $70,000,000
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · RSM US LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Audited consolidated statements for Keller Williams Realty, Inc. and Subsidiaries, year ended December 31, 2024 (with 2023 and 2022 comparatives). FDD also includes an unaudited Q1 2025 interim statement for Keller Williams Realty, LLC; audited annual figures used here. Net income $127,081,338 is consolidated; net income attributable to KW Realty, Inc. (excluding noncontrolling interest) was $114,459,826. Total stockholders' equity of $63,015,518 includes $49,431,722 noncontrolling interest; equity attributable to KW Realty, Inc. was $13,583,796. Auditor report signed in Austin, Texas, March 20, 2025; firm name appears only as a signature image and is not present in extractable text.
ⓘ 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: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: No
- Can negotiate own supplier terms: Yes
Score breakdown · what drove the 64 / 100 verdict
- 01MEDMultiple active class action antitrust lawsuits (Moehrl, Sitzer) alleging commission inflation conspiracy create existential legal and reputational risk to the franchise system
- 02HIGHSystem declining 0.5% YoY with 773 units suggests erosion of franchisee confidence and potential accelerating departures if litigation outcomes are unfavorable
- 03MEDNo disclosed average revenue or net income (missing Item 19 equivalent) prevents validation of the $182k–$335k investment ROI and profitability claims
- 04MED6% royalty on Gross Commission Income is high relative to industry peers and creates ongoing cash drain even during market downturns or individual underperformance
- 05MINORUnprotected territory enables franchisor to recruit competing franchisees in same market, undercutting individual franchisee profitability and customer acquisition
- 06HIGHGoing Concern = False status indicates franchisor financial instability or auditor concerns about long-term viability, threatening support infrastructure and system cohesion
- 07MINOR5-year term with no renewal guarantees combined with litigation risk creates uncertainty in franchisee's ability to recoup initial investment
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 6.5% 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 | 5 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 1 |
| Territory type | protected |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Online sales rightsℹ | Granted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 5 mi |
| Right of first refusalℹ | Yes |
| RoFR response window | 90 days |
| Transfer requires consent | Yes |
| Termination notice | 14 days |
| Curable defaultsℹ | 4 |
| Mandatory arbitration | Yes |
| Arbitration location | Austin, Texas |
| Jury trial waiver | Yes |
| Governing law | TX |
| Litigation count | 29 |
View Item 3 litigation summary
Multiple pending antitrust class actions (Moehrl/Sitzer/buyer-side) related to MLS buyer broker commission conspiracies; several TCPA class actions; individual business disputes (Davis, Basinski, Morris, Fetick, Coffey, Montalbano); global $70M settlement of Moehrl/Sitzer/Umpa cases achieved in 2024; several concluded cases settled including $40M TCPA class settlement (DeShay)
Items 10, 11
Training & Operations
- Classroom training
- 27 hrs
- On-the-job training
- 0 hrs
- Training location
- Austin, Texas or another location designated by franchisor
- Ongoing training
- Required
- Time to open
- 3 mo
- From signing to launch
- Site selection
- franchisee
- Franchisor financing
- Not offered
- Item 10
- POS system
- CommandMC
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: CommandMC
Item 20 · call current owners
Franchisee Contacts
952 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Keller Williams · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Keller Williams franchise?
The total investment to open a Keller Williams franchise ranges from $182K – $336K, with an initial franchise fee of $35K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Keller Williams franchise owners earn?
Keller Williams 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.
What is Item 19 in the Keller Williams 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 Keller Williams FDD and qualifies whose outlets they describe.
What is Keller Williams's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Keller Williams (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 Keller Williams franchise locations are there?
As of their most recent FDD filing, Keller Williams has 773 total units in the United States, including 762 franchised units and 11 company-owned units. 9 new units were opened in the latest reporting year.
Is Keller Williams a good franchise to buy?
FranchiseVerdict rates Keller Williams as a B-grade franchise with a verdict score of 64 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.
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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.