As any broker who has built a real estate business from the ground up knows, there are good reasons to consider buying a franchise instead. The benefits of buying a franchise can make it one of the easiest ways to add another revenue stream to a real estate brokerage. At the same time, however, the success of even a turnkey franchise depends heavily on the business model upon which operations are based. In many ways, choosing a franchise that offers the right business model for your brokerage is critical to your future entrepreneurial success.
Among the many different revenue models currently in use, there are some that have clear advantages over the others. For example, one revenue model getting a lot of attention right now is the annuity-based model. As the name suggests, the most prominent feature of an annuity-based revenue model is the stability it offers. Income is both recurring and predictable, with very little seasonal fluctuation. Franchise owners that opt for this type of business model benefit from knowing how much revenue they will bring in every month.
One of the fastest growing franchise opportunities that offer an annuity-based revenue model is property management. The advantages of adding a property management franchise to a brokerage are many, and include complementary services, a stable monthly revenue stream, and the opportunity to build equity for a profitable exit strategy, when the time is right. These benefits have made a property management franchise the clear choice for successful real estate professionals.
While there are a number of franchise opportunities available to brokers, a Real Property Management franchise offers a quality unmatched in the industry. Real Property Management excels in maximizing rental revenue through economies of scale and strategic partnerships. Our average annual revenue per rental property is one of the highest in the country. What is more, new members of the Real Property Management team are provided with the tools and comprehensive training they need to run a successful property management business. Brokers can leverage their existing skill sets while gaining valuable insider experience in the property management field.
Unlike other franchise opportunities that are part of a saturated brand or that have a limited shelf life, the property management industry is growing and here to stay. There are more renters in the United States now than there have been since 1965. Statistics show that, on average, more than 1 out of every 3 homes in your neighborhood – and every neighborhood – is a rental home. With increasing numbers of young adults who are renting more and for longer periods of time, the pool of potential tenants is unlikely to decrease anytime soon. What is more, the rental market is one of the safest places to be in the event of an economic downturn. No matter how poor the economy, people will always need a place to live. In fact, during challenging economic times, the number of renters often increases, as does the need for quality property management services.
When in the hands of a motivated business professional like you, a Real Property Management franchise offers one of the best opportunities in the industry. All it takes is your dedication to success. With over 300 locations in North America, world-class marketing, and support center staff dedicated to changing an industry, a Real Property Management franchise can be the complementary revenue stream that will give your real estate brokerage a competitive edge.
