US Real Estate Franchises Reach $27.8 Billion in 2025

US real estate franchises generated $27.8 billion in 2025, according to a report from L'Express Franchise. That single figure frames the scale of a sector that spans brokerage networks, property-management brands and franchise-operated transaction services across the country.

The headline number, reported by L'Express Franchise, puts a hard edge on a market often discussed in vaguer terms. It covers the franchise channel of US real estate — the branded networks that license names and systems to local operators — rather than the industry's total transaction volume, which runs far higher.

What does the $27.8 billion represent?

The figure is a sector-level aggregate for 2025. L'Express Franchise presents it as evidence that the franchised model remains a durable structure in real estate, even as the broader housing market has worked through elevated mortgage rates and tight inventory.

What the report does not spell out, at least in the summary now circulating, is the composition of that revenue: how much comes from brokerage commissions versus franchise fees, royalties or ancillary services. Without that breakdown, the number measures the channel's footprint but not its margins. Readers should treat $27.8 billion as a top-line gauge, not a profitability verdict.

Why franchising still anchors US real estate

Franchise networks have long concentrated a large share of US residential brokerage activity under a handful of national brands. The model shifts recruiting, training and technology costs onto franchisees while the franchisor collects fees tied to their revenue. In a year when transaction counts have been pressured by affordability constraints, a stable $27.8 billion franchise sector suggests the fee base held.

The caveat: aggregate revenue can hold flat or grow even as individual franchisees earn less, because fees are often charged regardless of per-office profitability. L'Express Franchise's figure does not disclose unit-level economics.

What to watch next

The next test for the sector is whether 2026 volumes recover enough to lift franchisee-level earnings, not just brand-level revenue. If mortgage rates ease and transaction counts rebound, the $27.8 billion baseline gives the franchise channel a concrete benchmark to beat.

By Olivia Hart, Business Bearings.