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]. The 2025 FDD does not disclose unit-level revenue (no Item 19). SBA 7(a) loans show a 0.0% charge-off rate across 12 loans[1]. 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
- $182K – $336K
- 75th pct Real Estate
- Avg gross sales
- N/A
- 25th pct Real Estate
- Royalty
- 6.0%
- 20th pct Real Estate
- Units
- 773
- 77th pct Real Estate
- SBA charge-off
- 0.0%
- % of SBA 7(a) loans not repaid · median varies by category
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
- Total investment $182K – $336K including a $35K franchise fee, 6.0% ongoing royalty.
- 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.
- Verdict A (Strongest tier), verdict score 74/100 (higher is better). SBA loan charge-off rate of 0.0% across 12 loans (well below the franchise average, based on all SBA 7(a) franchise lending, 2010–2025).
- 29 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 21% 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%
- percentage · 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% of gross sales |
| Technology fee | $79 |
| Training fee | $60 |
| Transfer fee | $2K |
| Renewal fee | $4K |
| Inventory (initial) | $4K – $7K |
| Total fee load | 6.5% of rev |
Financial Performance
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.
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 9.1%.
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 -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
- 0.0%
- rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- 100.0%
- 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%
- brand beats franchise avg ↓
- 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.
With a 0.0% charge-off rate across 12 loans, banks have historically viewed this brand favorably for lending.
What could kill this investment?
SBA loans charge off at 0.0% — 100% below the 16.0% national norm, i.e. lower lender-observed risk.
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)
ⓘ 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 74 / 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
94 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 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 Keller Williams's franchise failure rate?
Based on SBA 7(a) loan data, Keller Williams has a charge-off rate of 0.0% across 12 loans, meaning 0.0% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
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 A-grade franchise with a verdict score of 74 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.