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SUBJECT DOSSIER · FDD 2026

CENTURY 21 REAL ESTATE Franchise

Cost, fees, owner earnings, closure rate and litigation for a CENTURY 21 REAL ESTATE franchise — pulled from the franchisor's own public FDD (2026), not its sales material.

Other Franchises · disclosure-honesty grade · from public state filings
GRADE F · FAILS DISCLOSURE

Disclosure honesty

F
Transparency 1 / 5

CENTURY 21 REAL ESTATE discloses little or no owner-earnings data (Item 19) — the franchisor won't put real profit in writing.

Outlets1,685
Disclosed lawsuits10
Closure signals95 ceased
Investment
$35,770–$286,100
Total fees
6.5% of sales
Outlets
1,685
Closure signals
95 ceased, 11 terminated
Lawsuits
10
◢ FINDINGS
ITEM 19
No real earnings disclosure
The franchisor won't put owner profit in writing — you can't verify the pitch.
ITEM 20
95 outlets ceased operations
95 ceased operations in 2025; 49 net outlet decline (2.8% annual shrinkage)
ITEM 03
10 legal matters disclosed
Litigation in Item 3 signals how the franchisor treats its franchisees.

What their own earnings claim actually says

No financial performance representations made. Franchisor explicitly states it does not make representations about franchisee future or past outlet financial performance.

What a CENTURY 21 REAL ESTATE franchise actually costs to run

FeeDisclosedWhere it comes from
Initial franchise fee$25,000Item 5 — paid up front, before you open
Royalty6% of gross salesItem 6 — charged on revenue, not profit
Advertising fund0.5% of gross salesItem 6 — brand marketing, spent at the franchisor's discretion
Total recurring fees6.5% of gross salesBefore rent, labor, food or debt service
Total initial investment$35,770 – $286,100Item 7 — franchisor's own low/high estimate

6% royalty; 0.5% Brand Marketing Fund; $500/mo minimum; liquidated damages up to 36 months fees on early termination

Royalty and ad-fund percentages are charged on gross sales — an owner pays them whether or not the location is profitable.

CENTURY 21 REAL ESTATE system size and owner turnover

Total outlets1,685
Ceased operations95
Terminated by franchisor11
Transferred to new owners59
Closure rate5.6% of outlets

95 ceased operations in 2025; 49 net outlet decline (2.8% annual shrinkage)

From Item 20 of the FDD 2026. Terminations and ceased operations are the franchisor's own count of owners who stopped — the number the sales pitch leaves out.

Is CENTURY 21 REAL ESTATE worth it? — how it compares to 436 similar franchises

Ongoing fees6.5% of saleslower than most (median 8%)
Startup costfrom $35,770cheaper than most (median $138,750)
Disclosure honestyGrade Fless honest than most of the category
Closure rate5.6% of outletsworse than 75% of peers
Disclosed lawsuits10more litigious than 93% of peers

Benchmarked against every other franchises franchise we've graded from public FDDs — the context the franchisor's pitch never gives you.

◤ CLASSIFIED · ITEM 19 RECONSTRUCTED

Owner take-home for a CENTURY 21 REAL ESTATE

The franchisor's framing: No financial performance representations made. Franchisor explicitly states it does not ma… We reconstruct what an owner actually keeps, from their own FDD.

LOW
MEDIAN
HIGH

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CENTURY 21 REAL ESTATE franchise — frequently asked

How much does a CENTURY 21 REAL ESTATE franchise cost?
The FDD lists a total initial investment of about $35,770–$286,100, including a $25,000 initial franchise fee.
How much do CENTURY 21 REAL ESTATE franchise owners make?
CENTURY 21 REAL ESTATE discloses little or no earnings data (Item 19) — meaning the franchisor won't put real owner profit in writing. That's a red flag worth questioning.
What are the CENTURY 21 REAL ESTATE franchise fees?
CENTURY 21 REAL ESTATE's FDD discloses a $25,000 initial franchise fee, a 6% royalty on gross sales, a 0.5% advertising-fund contribution, for roughly 6.5% of gross sales in recurring fees before rent, labor, or debt service. 6% royalty; 0.5% Brand Marketing Fund; $500/mo minimum; liquidated damages up to 36 months fees on early termination
What is the CENTURY 21 REAL ESTATE franchise profit margin?
CENTURY 21 REAL ESTATE discloses no Item 19 earnings representation, so no profit margin can be derived from the FDD at all. Any margin figure quoted elsewhere is an estimate, not a disclosure.
What is the CENTURY 21 REAL ESTATE franchise failure rate?
95 ceased operations in 2025; 49 net outlet decline (2.8% annual shrinkage)
How many CENTURY 21 REAL ESTATE locations are there?
CENTURY 21 REAL ESTATE's FDD reports 1,685 total outlets, with 95 that ceased operations in the most recent reporting year and 59 transferred to new owners. Item 20 is where system health shows up before the marketing does.
Does CENTURY 21 REAL ESTATE have complaints or lawsuits?
CENTURY 21 REAL ESTATE discloses 10 legal matters in Item 3 of its FDD. Item 3 covers the franchisor's litigation history, which is the closest thing to a public record of how it treats franchisees — read the case descriptions, not just the count.
Is a CENTURY 21 REAL ESTATE franchise worth it?
It depends on the numbers, not the pitch. CENTURY 21 REAL ESTATE scores F on disclosure honesty, carries about 6.5% of sales in ongoing fees, and discloses 10 legal matters. Get the real owner take-home before you sign.

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Source: MN CARDS 35701-202603-09 (Clean FDD 2026). FranchiseValidate is independent and not affiliated with CENTURY 21 REAL ESTATE or its franchisor. Figures are extracted from the franchisor's own public disclosure document; verify against the current FDD before any decision.