How much does a HomeSmart franchise cost?

The FDD lists a total initial investment of about $65,500–$205,000, including a $20,000 initial franchise fee.

How much do HomeSmart franchise owners make?

HomeSmart 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.

Is a HomeSmart franchise worth it?

It depends on the numbers, not the pitch. HomeSmart scores F on disclosure honesty, carries about 4% of sales in ongoing fees, and discloses 3 legal matters. Get the real owner take-home before you sign.

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The real numbers on owning a HomeSmart franchise

Real Estate Brokerage Franchise · FDD 2026 · from public state filings

FDisclosure honesty

This franchisor discloses little to no earnings data (Item 19).

★☆☆☆☆ FranchiseValidate transparency rating: 1/5

Investment

$65,500–$205,000

Total fees

4% of sales

Outlets

258

Closure signals

12 ceased, 8 terminated

Lawsuits

Is HomeSmart worth it? How it compares to 223 similar franchises

Ongoing fees	4% of sales	lower than most (median 8%)
Startup cost	from $65,500	cheaper than most (median $128,950)
Disclosure honesty	Grade F	less honest than most of the category
Closure rate	4.7% of outlets	worse than 69% of peers
Disclosed lawsuits	3	more litigious than 73% of peers

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

What their own earnings claim actually says

Franchisor explicitly disclaims all financial performance representations. No earnings claims provided; actual results vary by unit.

Honesty grade F: the disclosed numbers are incomplete or framed to look better than an owner's real take-home.

Failure & turnover reality (Item 20)

4 net outlet decline 2024-2025; 12 ceased operations in 2025 alone.

Legal history (Item 3)

3 matters disclosed.

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The franchisor won't put real owner profit in writing. We do — reconstructed from their own FDD.

Franchisor's framing: Franchisor explicitly disclaims all financial performance representations. No earnings claims p…

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Break-even timeline + cash-on-cash ROI on your investment
Full fee stack + required-purchase markups
Decoded real failure / closure rate
How it ranks vs comparable franchises
Validation-call playbook — who to call + the exact questions

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HomeSmart franchise — frequently asked

How much does a HomeSmart franchise cost?: The FDD lists a total initial investment of about $65,500–$205,000, including a $20,000 initial franchise fee.
How much do HomeSmart franchise owners make?: HomeSmart 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 is the HomeSmart franchise failure rate?: 4 net outlet decline 2024-2025; 12 ceased operations in 2025 alone.
Is a HomeSmart franchise worth it?: It depends on the numbers, not the pitch. HomeSmart scores F on disclosure honesty, carries about 4% of sales in ongoing fees, and discloses 3 legal matters. Get the real owner take-home before you sign.

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Compare HomeSmart to similar franchises

Huddle HouseD Restore Hyper WellnessC Mr. ApplianceF 1 Percent ListsF

See all franchises ranked by disclosure honesty →

Source: MN CARDS 36016-202604-09 (Clean FDD 2026). FranchiseValidate is independent and not affiliated with HomeSmart or its franchisor. Figures are extracted from the franchisor's own public disclosure document; verify against the current FDD before any decision.