Red Barn HomebuyersFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A Red Barn Homebuyers franchise requires a total initial investment of $59K – $258K, including a $35K franchise fee and an ongoing 3.0% royalty[2]. 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
- $59K – $258K
- 36th pct Real Estate
- Avg gross sales
- N/A
- 25th pct Real Estate
- Royalty
- 3.0%
- 5th pct Real Estate
- Units
- 90
- 38th 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 86 to 13 over 3 years. Investigate why operators are leaving.
Bottom line
- Total investment $59K – $258K including a $35K franchise fee, 3.0% ongoing royalty.
- No Item 19 financial performance data disclosed. The franchisor chose not to publish revenue figures.
- Verdict B (Above Average) with a risk score of 57/100.
- 5 units terminated last reporting year (5.6% of the system). Ask existing franchisees why.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- Red Barn Homebuyers, LLC
- CEO title
- Chief Executive Officer
- Dr. Kevin D. Corsini
- Founder active
- Yes
- Original founder still leading the business
- Incorporated in
- GA
- HQ
- 105 Towne Lake Parkway, Woodstock, Georgia 30188
- Auditor
- REESE CPA LLC
- Audited financials
- Franchisor revenue
- $2.1M
- vs $2.0M prior year
Overview
About
Red Barn Homebuyers franchisees operate in residential real estate through three revenue streams: acquiring distressed properties below market value, wholesaling deals to other investors, and listing residential properties for sale. Day-to-day work involves property sourcing, negotiations, market analysis, and client management across acquisition, wholesale, and traditional MLS-based listing operations.
- CEO
- Dr. Kevin D. Corsini
- Headquarters
- GA
- Founded
- 2021
- FDD year
- 2025
- States available
- 26
FDD Item 7 · 2025 filing · 12 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Feesnot refundable | $35K | $35K | |
| Vehicle | $0 | $15K | |
| Technology Systems | $70 | $2K | |
| Technology Fee (pre-opening)not refundable | $760 | $1K | |
| Home Office Supplies | $100 | $300 | |
| Lead Generation Fees (pre-opening) | $3K | $5K | |
| Permits and Business License | $35 | $200 | |
| Bookkeeping Software & Services | $300 | $1K | |
| Professional Fees | $500 | $3K | |
| Insurance (3 months' premium) | $200 | $600 | |
| Property Acquisition Reserve | $5K | $165K | |
| Additional Funds (3 months) | $15K | $30K | |
| Total initial investment | $59K | $258K |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $59K – $258K
- Better than avg vs category
- Liquid capital req'd
- $15K – $30K
- Near category avg vs category
- Franchise fee
- $31K – $35K
- Better than avg vs category
- Royalty
- 3.0%
- percentage · typical 6–8%
- Ad fund
- 10.0%
- typical 3–5%
- Total fee load
- 10.3%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 3.0% of gross sales |
| Marketing / ad fund | 10.0% of gross sales |
| Technology fee | $260 |
| Transfer fee | $17K |
| Renewal fee | $1K |
| Total fee load | 10.3% 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 Red Barn Homebuyers Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 90
- Opened
- 40
- Last reporting year
- Closed
- 8
- Terminated
- 5
- Franchisor ended the franchise (per Item 20)
- Turnover rate
- 8.9%
- Company-owned
- 3
- Corporate units in the system
- % franchised
- 97%
- vs corporate-owned
- Net growth (yr3)
- +59.3%
- Net unit change last year
3-year detail · Item 20
- Transfers (3yr)
- 7
- Transfer rate
- 7.8%
- Owners selling to other franchisees
- Continuity rate
- 91.5%
- Units that stayed open
- Termination rate
- 5.6%
- Franchisor-initiated terminations
- Ceased ops
- 1.1%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 31 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.
Fast growth in a small system. Newer franchisors expanding quickly may not yet have the support infrastructure of larger systems.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 1 7(a) loan on file; statistical reliability is limited below 10 loans.
- Total loans
- 1
- Loan volume
- N/A
- Amount data pending
- Median loan
- N/A
- Charge-off rate
- N/A
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
- 0
- Defaults
- 0
Explore lender portfolios on Bank Reports or regional data on State Reports.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Red Barn presents CAUTION-level risk due to absent financial disclosures, false going concern status, unprotected territory, and opaque royalty structures that obscure true earnings potential.
Litigation (Item 3)
No litigation is required to be disclosed in this Item.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · REESE CPA LLC
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
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: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 57 / 100 rating
- 01MEDNo Item 19 financial performance data disclosed — impossible to validate earnings claims or ROI expectations
- 02HIGHGoing Concern status is FALSE, indicating potential financial instability or undisclosed operational challenges at franchisor level
- 03MINORUnprotected territory creates direct competition risk; franchisees in same area compete against each other and franchisor's own operations
- 04MEDComplex tiered royalty structure (0.25%-3% acquisition, 5%-10% wholesale, 10% listing commission) creates unpredictable income and payment opacity
- 05MINORRapid unit growth (59.3% YoY) may indicate aggressive recruitment over sustainable support; high churn risk typical in real estate franchises
- 06MEDHigh initial investment ($257,820 max) with no disclosed average revenue makes ROI assessment impossible
- 07MINORReal estate transaction-based model creates highly variable monthly income and feast-famine cash flow cycles
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 | 5 years |
|---|---|
| Renewal term | 5 years |
| Allowed renewalsℹ | 3 |
| Territory type | Municipal boundaries |
| Protected territory | No |
| Exclusive territoryℹ | No |
| Territory population | 250,000 |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Arbitration location | Cherokee County, Georgia |
| Jury trial waiver | Yes |
| Governing law | Georgia |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation is required to be disclosed in this Item.
Items 10, 11
Training & Operations
- Classroom training
- 40 hrs
- On-the-job training
- 63 hrs
- Training location
- Online / Remotely Conducted
- Ongoing training
- Required
- Field support
- 27 hrs/yr
- On-site visits per year
- Time to open
- 5 mo
- From signing to launch
- POS system
- Red Barn Central (RBC)
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Red Barn Central (RBC)
Item 20 · call current owners
Franchisee Contacts
87 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Red Barn Homebuyers · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Red Barn Homebuyers franchise?
The total investment to open a Red Barn Homebuyers franchise ranges from $59K – $258K, 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 Red Barn Homebuyers franchise owners earn?
Red Barn Homebuyers 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 Red Barn Homebuyers's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Red Barn Homebuyers (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 Red Barn Homebuyers franchise locations are there?
As of their most recent FDD filing, Red Barn Homebuyers has 90 total units in the United States, including 86 franchised units and 3 company-owned units. 40 new units were opened in the latest reporting year.
Is Red Barn Homebuyers a good franchise to buy?
FranchiseVerdict rates Red Barn Homebuyers as a B-grade franchise with a risk score of 57 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.